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Broadcom Inc. (AVGO) stock analysis

AVGONasdaqSemiconductors & Related DevicesFiscal year ends November 1
Financials through Q3 FY2026, quarter ended Aug 2, 2026Last filing: 10-Q on Sep 10, 2026Score 12/30
$364.36+19.14 (+5.54%)

Close on Nov 12, 2026Market cap $1.74TP/E –Yield 0.65%

StockData Score

Prices as of Nov 11, 2026How the score works

Value1Growth4Performance0Health4Dividend3

Mixed12 of 30 checks passed

Broadcom passes 12 of the 30 checks behind our score; 15 could not be run for lack of data and count as not passed. Each dot in the shape is one check — hover it for the numbers.

Valuation
1/6
Growth
4/6
Past performance
0/6
Financial health
4/6
Dividend
3/6

What stands out

  • Revenue growing 10%+ a year

    Revenue grew 24.4% a year over the last three fiscal years.

  • EPS growing 10%+ a year

    Diluted EPS grew 21.6% a year over the last three fiscal years.

  • Interest well covered

    Operating income covers interest expense 13.7 times.

  • Debt covered by cash flow

    Operating cash flow over the last twelve months equals 68.4% of total debt.

What to watch

  • P/S above the industry

    Broadcom's price-to-sales of 18.49 is above the Electronic Components and Accessories median of 4.82 (book value is negative, so we use sales).

  • Yield below Treasuries

    The 0.8% yield is below the 4.4% on a 1-year Treasury.

  • Yield below the top quarter

    The top quarter of US dividend payers yield 3.8% or more; Broadcom yields 0.8%.

Valuation1/6

  • P/E against its history

    Not enough price and earnings history to compare.

  • P/E against the industry

    Needs positive earnings and enough profitable companies in the industry.

  • EV/EBITDA below its 5-year median

    Broadcom's EV/EBITDA of 39.3 is below its 5-year median of 40.9.

  • P/S above the industry

    Broadcom's price-to-sales of 18.49 is above the Electronic Components and Accessories median of 4.82 (book value is negative, so we use sales).

  • Price against fair value

    We could not estimate a fair value: it needs at least two valuation methods with positive inputs.

  • Margin of safety

    Depends on the fair value estimate.

Growth4/6

  • Revenue growing 10%+ a year

    Revenue grew 24.4% a year over the last three fiscal years.

  • EPS growing 10%+ a year

    Diluted EPS grew 21.6% a year over the last three fiscal years.

  • Earnings acceleration

    Needs positive net income now, a year ago and five years ago.

  • Growing faster than the industry

    Revenue grew 48.7% over the last twelve months; the Electronic Components and Accessories median is 17.3%.

  • Guidance issued

    The latest outlook (Fourth quarter fiscal year 2026 revenue guidance, Sep 2, 2026) was issued for the first time, so it neither adds nor takes away points.

  • Gross margin improving

    Gross margin was 68.8% over the last twelve months, against 66.8% a year earlier.

Past performance0/6

  • Return on equity

    Needs positive equity and five years of results.

  • Return on invested capital

    Needs operating income and invested capital.

  • Return on equity against the industry

    Needs positive equity.

  • Earnings over 5 years

    Needs positive net income five years ago and in the latest year.

  • Net margin against its history

    Needs five years of revenue and net income.

  • Net margin against the industry

    Needs revenue and net income.

Financial health4/6

  • Debt level

    Needs debt and equity figures.

  • Debt trend

    Needs a balance sheet from five years ago with positive equity.

  • Debt covered by cash flow

    Operating cash flow over the last twelve months equals 68.4% of total debt.

  • Interest well covered

    Operating income covers interest expense 13.7 times.

  • Short-term assets cover short-term debts

    Current assets are 2.50 times current liabilities.

  • Low bankruptcy risk

    The Altman Z-score is 12.77; above 3 is the safe zone and below 1.8 the distress zone.

Dividend3/6

  • Pays a dividend

    Broadcom paid dividends worth 0.8% of the share price over the last twelve months.

  • Yield below Treasuries

    The 0.8% yield is below the 4.4% on a 1-year Treasury.

  • Yield below the top quarter

    The top quarter of US dividend payers yield 3.8% or more; Broadcom yields 0.8%.

  • Dividend not cut

    The dividend per share has not fallen by more than 10% in any of the last 10 fiscal years.

  • Earnings cover

    Needs dividends paid and net income.

  • Covered by free cash flow

    Dividends take 30.7% of free cash flow.

Scores of similar companies

Fair value

How we estimate it

We don't publish a fair value for Broadcom. It needs a US-dollar share price, at least two valuation methods with positive inputs (earnings, EBITDA, book value or sales) and, for companies with several share classes, classes that trade at the same price.

Valuation over time

Using the earnings and balance sheet published at each date, not today's.

  • P/E at month end
  • Own 5-year median 31.7
  • Electronic Components and Accessories median 34.8

An estimate from reported numbers and market multiples, not a price target or investment advice. It can be far off for companies whose profits are about to change sharply.

Market risk

From the past year of daily prices.

Liquidity

Low risk

Average value traded per day
$8.29B
Value traded per 1% price move
$4.17B

Downside

Medium risk

Typical loss in a bad month
18.3%
Volatility (annualized)
48%
Sharpe ratio, 1 year
-0.17
Beta to the S&P 500 (5Y)
1.86

Typical bad-month loss, week by week

25%: high

Margins

Share of revenue, fiscal years 2015 to 2025

Gross margin

67.8%+11.2 pts over 5 years

Operating margin

39.9%+23.1 pts over 5 years

Net margin

–

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