Broadcom Inc. (AVGO) Factsheet
Broadcom Inc. (AVGO) Stock Analysis
Analysis from 10-K filed 2025-12-18. Data as of Q1 2026.
Overall Grade: F (Concerning)
Grade F (Concerning). ROIC 19.1%. FCF margin 42.3%. Source: 10-K filed 2025-12-18.
| Metric | Value | Context |
|---|---|---|
| ROIC | 19.1% | Solid returns |
| FCF Margin | 42.3% | Strong cash generation |
ROIC 19.1% — Top 25% of sector peers. FCF margin 42.3% — Top 5%.
Explore Broadcom Inc.: Earnings History | Filings | ROIC Analysis
Programmatic access: Available via MCP at mcp.metricduck.com. Tools for AVGO: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_changes, get_metric_history, compare_companies, screen_filing_signals.
Profitability: Broadcom Inc. earns 19.1% ROIC, Top 25% in Technology
ROIC TTM 19.1%, sector median 4.6%, Top 25%. DuPont: NOPAT margin 40.0% × asset turnover 0.4x. Gross margin 67.8%. Operating margin 40.7%. Source: 10-K filed 2025-12-18.
| Metric | AVGO | Rating | Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 19.1% | Good | Above sector median of 4.6% |
| Gross Margin | 67.8% | Excellent | Strong pricing power |
| Operating Margin | 40.7% | Excellent | Efficient operations |
Cash Flow: Broadcom Inc. generates $28.9B FCF at 42.3% margin, positive NaN/8 quarters
FCF TTM $28.9B. FCF margin 42.3%, Top 5%. OCF/Net income 1.2x. Positive FCF in NaN/8 trailing quarters. Source: 10-K filed 2025-12-18.
| Metric | AVGO | Rating | Context |
|---|---|---|---|
| Free Cash Flow Margin | 42.3% | Excellent | Excellent cash conversion |
| Free Cash Flow (TTM) | $28.9B | Good | Positive cash generation |
| OCF/Net Income | 1.2x | Excellent | High earnings quality |
| FCF Consistency (8Q) | N/A | Warning | Variable cash flow |
Balance Sheet Analysis for Broadcom Inc.
Total debt $66.1B, cash & investments $14.2B. Source: 10-K filed 2025-12-18.
| Metric | AVGO | Rating | Context |
|---|---|---|---|
| Net Cash Position | $-51.9B | Warning | Net debt position |
Valuation: Broadcom Inc. trades at 62.6x earnings
P/E 62.6x. EV/Sales 23.7x. FCF yield 1.8%. Dividend yield 0.7%. Source: 10-K filed 2025-12-18.
| Metric | AVGO | Rating | Context |
|---|---|---|---|
| P/E Ratio | 62.6x | Warning | Premium valuation |
| EV/Sales | 23.7x | Warning | Growth premium priced in |
| FCF Yield | 1.8% | Warning | Lower cash yield |
| Dividend Yield | 0.7% | Adequate | Growth focus over income |
Capital Allocation: Broadcom Inc. returns 1.4% shareholder yield
Total shareholder yield 1.4% (div 0.7% + buyback 0.7%). Capital returned $21.8B TTM. Source: 10-K filed 2025-12-18.
| Metric | AVGO | Rating | Context |
|---|---|---|---|
| Total Shareholder Yield | 1.4% | Adequate | Dividend + buyback yield combined |
| Buyback Yield | 0.7% | Adequate | Minimal buyback activity |
| Total Capital Returned (TTM) | $21.8B | Good | Dividends + buybacks returned to shareholders |
Sector Rankings
| Metric | Value | Percentile | vs Median |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 19.1% | Top 25% | 4.1x above |
| Free Cash Flow Margin | 42.3% | Top 5% | 5.0x above |
| Gross Margin | 67.8% | Top 50% | 1.3x above |
| Operating Margin | 40.7% | Top 5% | 8.5x above |
| P/E Ratio | 62.6x | N/A | - |
Financial Scorecard
| Metric | AVGO | Rating | Sector Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 19.1% | Good | Top 25% of sector (median: 4.6%) |
| Free Cash Flow Margin | 42.3% | Excellent | Top 5% of sector (median: 8.5%) |
| Gross Margin | 67.8% | Excellent | Top 50% of sector (median: 51.0%) |
| P/E Ratio (Price-to-Earnings) | 62.6x | Warning | High expectations priced in |
| Free Cash Flow Yield | 1.8% | Warning | Growth-focused valuation |
Frequently Asked Questions
Q: What is Broadcom Inc.'s Return on Invested Capital (ROIC)?
Broadcom Inc. (AVGO) has a trailing twelve-month Return on Invested Capital (ROIC) of 19.1%. Sector median 4.6%. Source: 10-K filed 2025-12-18.
Q: What is Broadcom Inc.'s Free Cash Flow Margin?
Broadcom Inc. (AVGO) has a free cash flow margin of 42.3%, generating $28.9 billion in free cash flow over the trailing twelve months. Source: 10-K filed 2025-12-18.
Q: What is Broadcom Inc.'s P/E ratio and how does it compare to peers?
Broadcom Inc. (AVGO) trades at a P/E ratio of 62.6x, which is above the sector median of N/A. EV/Sales 23.7x. FCF yield 1.8%. Source: 10-K filed 2025-12-18.
Q: Does Broadcom Inc. pay a dividend?
Broadcom Inc. (AVGO) currently pays a dividend yield of 0.7%. Total shareholder yield (dividend + buybacks) 1.4%. Source: 10-K filed 2025-12-18.
Q: What is Broadcom Inc.'s revenue and earnings growth?
Broadcom Inc. (AVGO) grew revenue by 25.2% year-over-year. EPS +146.6% YoY. Source: 10-K filed 2025-12-18.
Q: Is Broadcom Inc. buying back stock?
Broadcom Inc. (AVGO) repurchased $10.3 billion of stock over the trailing twelve months. This represents a buyback yield of 0.7%. Source: 10-K filed 2025-12-18.
Q: How does Broadcom Inc. compare to competitors in Technology?
Compared to other companies in Technology, Broadcom Inc. (AVGO) shows: ROIC 19.1%, sector median 4.6% (Top 25%). FCF margin 42.3%, sector median 8.5% (Top 5%). Gross margin 67.8%, 16.8pp above sector median. These rankings are based on MetricDuck's analysis of all Technology companies with available SEC filings.
Q: What warning signs should I watch for with Broadcom Inc.?
No quantitative warning flags fired for Broadcom Inc. (AVGO) on margin trend, FCF trend, ROIC trend, or leverage thresholds. Source: 10-K filed 2025-12-18.
Data Source: Data sourced from 10-K filed 2025-12-18. TTM metrics as of Q1 2026.
Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.
Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.
This analysis is for informational purposes only and does not constitute investment advice.