NASDAQ: AVGOBroadcom Inc Stock
$500.59+9.60 (+1.96%)
Updated Sep 22, 2021
AVGO Price
$500.59
Fair Value Price
$525.94
Market Cap
$206.05B
52 Week Low
$344.42
52 Week High
$510.70
P/E
35.4x
P/B
8.47x
P/S
7.53x
PEG
1.21x
Dividend Yield
2.88%
Revenue
$26.51B
Earnings
$6.07B
Gross Margin
60.2%
Operating Margin
28.68%
Profit Margin
21.8%
Debt to Equity
2.12
Operating Cash Flow
$14B
Beta
1.28
Next Earnings
N/A
Ex-Dividend
Sep 21, 2021
Next Dividend
Sep 30, 2021
AVGO Overview
Zen Score
High
Medium
Low
55
Industry average
Reasons for this score
AVGO ($500.59) is undervalued by 4.82% relative to our estimate of its Fair Value price of $525.94 based on Discounted Cash Flow (DCF) modelling, but does not have a significant margin of safety
Valuation
AVGO ($500.59) is trading below its intrinsic value of $1,525.95, according to Benjamin Graham's Formula from Chapter 11 of "The Intelligent Investor"
Valuation
AVGO is good value based on its earnings relative to its share price (35.4x), compared to the US market average -10.34x)
Valuation
AVGO News
Valuation
AVGO fair value
Fair Value of AVGO stock based on Discounted Cash Flow (DCF)
Price
$500.59
Fair Value
$525.94
Undervalued by
4.82%
AVGO ($500.59) is undervalued by 4.82% relative to our estimate of its Fair Value price of $525.94 based on Discounted Cash Flow (DCF) modelling, but does not have a significant margin of safety
Valuation
AVGO ($500.59) is trading below its intrinsic value of $1,525.95, according to Benjamin Graham's Formula from Chapter 11 of "The Intelligent Investor"
Valuation
AVGO price to earnings (PE)
For valuing profitable companies with steady earnings
Company
35.4x
Industry
75.65x
Market
-10.34x
AVGO is good value based on its earnings relative to its share price (35.4x), compared to the US market average -10.34x)
Valuation
AVGO is good value based on its earnings relative to its share price (35.4x), compared to the US Semiconductors industry average (75.65x)
Valuation
AVGO price to book (PB)
For valuing companies that are loss-making or have lots of physical asset
Company
8.47x
Industry
6.71x
AVGO is poor value based on its book value relative to its share price (8.47x), compared to the US Semiconductors industry average (6.71x)
Valuation
AVGO price to earnings growth (PEG)
For valuing profitable companies with growth potential
AVGO is poor value relative to its rate of earnings growth, measured by PEG ratio (1.21x)
Valuation
AVGO's financial health
Profit margin
Revenue
$6.8B
Net Income
$1.9B
Profit Margin
26.6%
AVGO's Earnings (EBIT) of $7.60B are insufficient to safely cover interest payments on company debt ($40.46B)
Financials
AVGO's profit margin has increased (+12.2%) in the last year from (9.6%) to (21.8%)
Financials
Assets to liabilities
Assets
$75.9B
Liabilities
$51.5B
Debt to equity
1.66
AVGO's short-term assets ($15.64B) exceed its short-term liabilities ($6.50B)
Financials
AVGO's long-term liabilities ($45.01B) exceed its short-term assets ($15.64B)
Financials
AVGO's debt has increased relative to shareholder equity (2.12), over the past 5 years ago (1.4)
Financials
AVGO's debt to equity ratio (2.12) is considered high
Financials
Cash flow
Operating
$3.5B
Investing
-$47.0M
Financing
-$1.9B
AVGO's operating cash flow ($13.57B) is sufficient to service the company's debt ($40.46B)
Financials
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Information is provided 'as-is' and solely for informational purposes and is not advice. WallStreetZen does not bear any responsibility for any losses or damage that may occur as a result of reliance on this data.