Broadcom Inc. (AVGO) is a Technology company in the Semiconductors & Related Devices industry with a market capitalisation of $1.7T. The stock trades at 45.36x trailing earnings and yields 0.73%.
Sector
Technology
Industry
Semiconductors & Related Devices
Market cap
$1.7T
P/E ratio
45.36
EPS (TTM)
$4.77
Revenue (TTM)
$63.9B
Free cash flow
$26.9B
Profit margin
42.9%
Dividend yield
0.73%
Shares outstanding
4.8B
Financial health: Strong9.4/10
8 strengths, 0 concerns. No red flags against these benchmarks.
Debt to equity: 0.83 (Watch, benchmark < 0.5) β Debt of 0.83x equity is moderate against the 0.5x benchmark. It has deteriorated over the last 4 years.
Net debt vs cash flow: 1.9y (Strong, benchmark < 4 years) β Net debt of $50.9B is 1.9x annual free cash flow β about 2 years of cash flow to repay.
Current ratio: 1.71 (Strong, benchmark > 1.5) β Short-term assets cover 1.71x short-term liabilities, against Graham's 1.5x floor. It has deteriorated over the last 4 years.
Return on equity: 38.4% (Strong, benchmark > 15%) β Earns 38.4% on shareholder equity, comfortably past the > 15% mark.
Gross margin: 67.8% (Strong, benchmark > 40%) β Keeps 67.8% of revenue after the direct cost of sales, comfortably past the > 40% mark.
Net margin: 42.9% (Strong, benchmark > 10%) β Turns 42.9% of revenue into profit, comfortably past the > 10% mark.
Free cash flow: $26.9B (Strong, benchmark positive) β Generated $26.9B of free cash flow after capital spending. It has improved over the last 4 years.
Revenue growth: 23.9% (Strong, benchmark > 10%) β Revenue changed 23.9% year on year, comfortably past the > 10% mark.
Earnings growth: 216.1% (Strong, benchmark > 10%) β Earnings changed 216.1% year on year, comfortably past the > 10% mark.