Broadcom Inc (AVGO)
🔔 Watch stock
symbol.quality_heading
The business works in principle, but one material question is open. As long as it stays open, our findings do not carry a quality verdict.
The business unquestionably works: high margins, real cash generation, an order book of $164.6 billion and a balance sheet that carries $66.7 billion of debt against $87.7 billion of equity with interest covered roughly twelve times over. What stays open is an operating question, and it is a big one: a single direct customer brings 42 percent of revenue, the top five end customers roughly 45 percent, and since June 8, 2026 Broadcom also stands behind up to $29 billion of one AI customer's lease payments — outside the balance sheet. Broadcom itself writes that the AI-driven upturn "may not be sustainable". Where two ratings are arguable we take the more cautious one; the stock is expensive in any case, but that is a price argument, not a question of quality. The decision is yours.
symbol.quality_note
In the quarter ended May 3, 2026, Broadcom earned $9,310 million on $22,187 million of revenue, up 48 percent. The same quarterly report states that a single direct customer produced 42 percent of that revenue, against 29 percent a year earlier. And in the subsequent-events note, on the second-to-last page, sits a backstop entered into on June 8, 2026 for one AI customer's lease payments: a maximum exposure of $29 billion, nowhere on the balance sheet. We read the filings line by line — including the note where those $29 billion are hiding.
Read the analysis
Stock Watch
This analysis is as of July 29, 2026. Stock Watch will tell you what's changed at AVGO since then.
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Trading Day
Key levels of the most recently completed trading day — not a live quote.
52-Week Range
Current price 389.30 $ — 52% of the range above the low.
Lowest and highest closing price over the last 52 weeks. The marker shows where the current price sits within that range: close to the high speaks for strength, close to the low for weakness.
Basics
Performance
Technical Indicators
Calculated from the price history · as of 08/03/2026
Valuation
Profitability
Balance Sheet & Safety
Growth
Dividend
Quality & Screener
AI Rating
Sells AIBroadcom verkauft KI als eigene Produktlinie: Der Geschäftsbericht führt kundenspezifische KI-Beschleuniger (XPUs), Ethernet-Switching-Silizium, NICs, PHYs, Optik sowie ganze Racks und Systeme als „AI semiconductor solutions“ auf, und sowohl der Jahres- als auch der jüngste Quartalsbericht führen den Umsatzanstieg des Halbleitersegments ausdrücklich auf die Nachfrage nach genau diesen KI-Produkten zurück.
View the full file — quotes, sources, reviewed filings
„Our AI semiconductor solutions include custom accelerators or XPUs, Ethernet switching and routing silicon, Ethernet NICs, physical layer devices (“PHYs”) and optical components, as well as racks and systems based on our XPUs."
Zu unseren KI-Halbleiterlösungen gehören kundenspezifische Beschleuniger beziehungsweise XPUs, Silizium für Ethernet-Switching und -Routing, Ethernet-Netzwerkkarten, Bauteile der Bitübertragungsschicht („PHYs“) und optische Komponenten sowie Racks und Systeme auf Basis unserer XPUs.
„Net revenue from our semiconductor solutions segment increased due to strong demand for our networking solutions, primarily custom AI accelerators and AI networking products."
Der Umsatz unseres Halbleitersegments stieg wegen der starken Nachfrage nach unseren Netzwerklösungen, vor allem nach kundenspezifischen KI-Beschleunigern und KI-Netzwerkprodukten.
„Net revenue from our semiconductor solutions segment increased in the fiscal quarter and two fiscal quarters ended May 3, 2026 compared to the prior year fiscal periods due to strong demand for our networking solutions, primarily custom AI accelerators and AI networking products."
Der Umsatz unseres Halbleitersegments stieg im Quartal und im Halbjahr bis zum 3. Mai 2026 gegenüber den Vorjahreszeiträumen wegen der starken Nachfrage nach unseren Netzwerklösungen, vor allem nach kundenspezifischen KI-Beschleunigern und KI-Netzwerkprodukten.
Filings Reviewed: 10-Q 2026-06-09 · 10-Q 2026-03-11 · 10-Q 2025-09-10 · 10-Q 2025-06-11 · 10-K 2025-12-18 · 10-K 2024-12-20
Rated on July 29, 2026 · How the Rating Is Built
Highlighted are things our editorial team noticed: green = stands out as strong, red = deserves a closer look. No single metric is a verdict on its own — always read it in context.
Analysts & Price Target
The price target sits 35.6% above the current price.
- Consensus
- Strong Sell
- Analyst Ratings
- 46
Combined picture of the price targets and recommendations of every analyst covering the stock. Price targets are expectations for the next 12 months, not promises — and they often follow the price rather than predict it.
Estimates by Fiscal Year
| Fiscal Year | EPS Estimate ($) | EPS Range ($) | Revenue Estimate ($M) | Expected Growth | Analysts |
|---|---|---|---|---|---|
| 10/31/2026 | 11.63 | 11.16 – 12.14 | 106,040 | 70.5% | 44 |
| 10/31/2027 | 19.49 | 16.22 – 22.01 | 173,212 | 67.7% | 46 |
Average of the analyst estimates for the coming fiscal years. The range shows how far the most optimistic and the most cautious estimate sit apart — the wider it is, the less certain the expectation.
Next Reporting Date
- Expected Earnings per Share
- 2.83 $
Expected date of the next quarterly or annual figures. Dates do shift occasionally — only the invitation issued by the company is binding.
Revenue & Profit
Cash Flow
Balance Sheet
Margins
Per Share
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· Total · per year
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Source: fundamental data
Quarterly Figures
| Quarter | EPS (Earnings Per Share) | EPS YoY (%) | Sales ($M) | Sales YoY (%) | Net Margin (%) | OCF ($M) | FCF ($M) |
|---|---|---|---|---|---|---|---|
| 2025: Q1 | 1.14 | 301.10 | 14,916 | 24.70 | 36.90 | 6,113 | 6,013 |
| 2025: Q2 | 1.03 | 132.80 | 15,004 | 20.20 | 33.10 | 6,555 | 6,411 |
| 2025: Q3 | 0.85 | – | 15,952 | 22.00 | 26.00 | 7,166 | 7,024 |
| 2025: Q4 | 1.74 | 94.50 | 18,015 | 28.20 | 47.30 | 7,703 | 7,466 |
| 2026: Q1 | 1.50 | 32.10 | 19,311 | 29.50 | 38.10 | 8,260 | 8,010 |
| 2026: Q2 | 1.91 | 85.60 | 22,187 | 47.90 | 42.00 | 10,493 | 10,262 |
- EPS (Earnings Per Share):
- Quarterly profit divided by the total share count — how much of the profit works out to a single share.
- YoY (Year over Year):
- Change versus the same quarter a year ago — this is how you compare without seasonal distortion (e.g. the holiday shopping season).
- Sales:
- All revenue for the quarter, before any costs are deducted — the top line of the income statement.
- Net Margin:
- What percentage of sales is left over as profit in the end. Negative means the company is posting a loss.
- OCF (Operating Cash Flow):
- The cash that actually flows into the till from the core business during the quarter — harder to dress up than book profit.
- FCF (Free Cash Flow):
- Operating cash flow minus capital expenditures — the money that's genuinely free to use, say for paying down debt, buybacks, or dividends.
Annual Figures
| Fiscal Year | Revenue ($M) | EBIT ($M) | Net Income ($M) | EPS ($) | Operating Cash Flow ($M) | Equity ($M) | Total Assets ($M) |
|---|---|---|---|---|---|---|---|
| 2016 | 13,240 | -409 | -1,739 | -0.45 | 3,411 | 21,876 | 49,966 |
| 2017 | 17,636 | 2,371 | 1,692 | 0.40 | 6,551 | 23,186 | 54,418 |
| 2018 | 20,848 | 5,135 | 12,259 | 2.84 | 8,880 | 26,657 | 50,124 |
| 2019 | 22,597 | 3,444 | 2,724 | 0.65 | 9,697 | 24,970 | 67,493 |
| 2020 | 23,888 | 4,014 | 2,960 | 0.70 | 12,061 | 23,901 | 75,933 |
| 2021 | 27,450 | 8,519 | 6,736 | 1.57 | 13,764 | 24,989 | 75,570 |
| 2022 | 33,203 | 14,225 | 11,495 | 2.72 | 16,736 | 22,709 | 73,249 |
| 2023 | 35,819 | 16,207 | 14,082 | 3.30 | 18,085 | 23,988 | 72,861 |
| 2024 | 51,574 | 13,463 | 5,895 | 1.23 | 19,962 | 67,678 | 165,645 |
| 2025 | 63,887 | 25,484 | 23,126 | 4.77 | 27,537 | 81,292 | 171,092 |
Fiscal years from the audited annual reports, oldest first. EBIT is the operating profit before interest and taxes; total assets are everything the company owns.
Assessment: Opportunities & Risks
Revenue rose 48 percent to $22,187 million in the quarter ended May 3, 2026, with the semiconductor segment alone up 79 percent to $15,009 million. Firmly committed remaining performance obligations stood at roughly $164.6 billion (10-Q as of May 3, 2026); for the following quarter Broadcom guided on June 3, 2026 to roughly $29.4 billion of revenue.
An operating margin of 46.6 percent for the six months ended May 3, 2026 (prior-year period 40.4 percent), a gross margin of 68.9 percent and a return on equity of roughly 37 percent (data as of July 28, 2026). Operating cash flow of $18,753 million for the six months exceeded net income of $16,659 million.
A single direct customer — a distributor — accounted for 42 percent of revenue in both the quarter and the six months ended May 3, 2026, against 29 percent in the prior-year period. The top five end customers together came to roughly 45 percent. Broadcom itself names the loss of one of them as a possible material adverse effect (10-Q as of May 3, 2026, Item 2).
As of May 3, 2026, $126,134 million of the $179,158 million of total assets consisted of goodwill ($97,801 million) and intangible assets ($28,333 million) — 70 percent. Tangible equity is therefore negative. Goodwill was not impaired in any of the annual assessments for fiscal 2023 through 2025 (10-K 2025, Note 7).
On June 8, 2026 Broadcom entered into a backstop for one AI customer's five-year lease obligations with a maximum exposure of $29 billion — 33 percent of stockholders' equity, invisible on the balance sheet (10-Q as of May 3, 2026, Note 11 "Subsequent Events").
Net income of $23,126 million in fiscal 2025 exceeded pre-tax income of $22,729 million because the tax line was a benefit of $397 million. Tax incentives cut the fiscal 2025 provision by roughly $2,709 million. Broadcom expects a material impact from the global minimum tax in Singapore in fiscal 2026 (10-K 2025, Item 7).
Broadcom is one of the most profitable semiconductor companies in the world: an operating margin of 46.6 percent for the six months ended May 3, 2026, $18.3 billion of free cash flow in six months and firmly committed remaining performance obligations of roughly $164.6 billion. The price of that sits in the same filings: 42 percent of revenue through one direct customer, 70 percent of total assets in goodwill and intangibles, $16.5 billion of unallocated expenses in fiscal 2025, and a backstop of up to $29 billion that appears nowhere on the balance sheet. Not investment advice.
- Origin: ranking of the 100 largest U.S. stocks by market value (as of July 28, 2026); Broadcom ranked seventh and had no analysis yet.
- Data cut-offs: annual figures from the Form 10-K for fiscal 2025 (filed December 18, 2025), quarterly and six-month figures from the Form 10-Q as of May 3, 2026 (filed June 9, 2026), valuation metrics as of July 28, 2026. Every filing dated on or after June 3, 2026 was reviewed; the annual report for the fiscal year ending November 1, 2026 had not been filed as of July 29, 2026.
- Risk of confusion: today's Broadcom Inc. is a Delaware corporation and is not identical to the former Broadcom Corporation (until 2016) or to the interim Singapore entity "Broadcom Ltd". The fiscal year ends in early November, not at the turn of the calendar year.
- Break in the time series: fiscal 2024 ran 53 weeks instead of 52 and included VMware from November 22, 2023. Growth rates between fiscal 2023 and 2024 therefore cannot be read as organic.
- Analyses are evergreen; a daily price is not a reason to buy.
About the Company
Broadcom Inc. entwickelt und liefert international diverse Halbleiterbauelemente und Infrastruktursoftware-Lösungen.
| Employees | 33,000 |
|---|---|
| Headquarters | Palo Alto, CA |
| Address | 3421 Hillview Ave, 94304 Palo Alto, United States |
| Phone | 650 427 6000 |
| Website | broadcom.com |
| IPO Date | 6. Aug 2009 |
| ISIN | US11135F1012 |
| Stock Split | 10:1 on 07/15/2024 |
Management
| Name | Title | Birth Year |
|---|---|---|
| Hock E. Tan | President, CEO & Executive Director | 1952 |
| Mark D. Brazeal J.D. | Chief Legal & Corporate Affairs Officer | 1968 |
| Charlie B. Kawwas Ph.D. | President of Semiconductor Solutions | 1971 |
| Kirsten M. Spears | Consultant | 1964 |
| Amie Thuener O'Toole | Chief Financial Officer | 1975 |
| Alan Davidson | Chief Information Officer | – |
| Ji Yoo | Director of Investor Relations | – |
| Jill Turner | Vice President of Human Resources | – |
| Frank Ostojic | Senior VP & GM of ASIC Products Division | – |
| Rich Nelson | Senior VP & GM of Broadband Video Group | – |
Executives per the latest required filings; titles kept in their original language. Source: fundamental data.
Insider Transactions
| Date | Person | Role | Type | Shares | Price | Value |
|---|---|---|---|---|---|---|
| 10. Jul 2026 | Delly Gayla J | Director | Other | 500 | 0.00 | – |
| 10. Jul 2026 | Brazeal Mark David | Chief Legal & Corp Affairs Ofc | Sell | 25,000 | 401.33 | 10,033,225 |
Reportable transactions by officers and major shareholders from SEC Form 4 filings. "Other" includes things like stock grants and option exercises without a buy/sell character.
View all insider transactions →Chart
Interactive price chart (TradingView).
Data as of: July 31, 2026 · Source: fundamental data & SEC filings (annual and quarterly reports, 10-K/10-Q)
Note: pure fact-based analysis, not investment advice and not a solicitation to buy or sell. All figures without guarantee.