Explain this page
Arphra AIPlain-English read on Broadcom Inc.’s valuationRatios & metrics
Profitability, returns on capital, growth, and credit — all derived from the historical income statement, balance sheet, and cash flow rows in our data warehouse.
Valuation multiples
Price- and EV-based multiples plus shareholder yields. Snapshot at each fiscal year-end from key_metrics (FMP).
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Headline | |||||||||
| Market cap | — | — | — | — | — | — | — | — | — |
| Enterprise value | — | — | — | — | — | — | — | — | — |
| Multiples | |||||||||
| P / E | — | — | — | — | — | — | — | — | — |
| P / B | — | — | — | — | — | — | — | — | — |
| EV / EBITDA | — | — | — | — | — | — | — | — | — |
| EV / Sales | — | — | — | — | — | — | — | — | — |
| EV / FCF | — | — | — | — | — | — | — | — | — |
| Yields | |||||||||
| Earnings yield | — | — | — | — | — | — | — | — | — |
| Free cash flow yield | — | — | — | — | — | — | — | — | — |
| Dividend yield | — | — | — | — | — | — | — | — | — |
Profitability
Margin structure across the last 5 fiscal years
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Margins | |||||||||
| Gross margin | +61.36% | +66.55% | +68.93% | +63.03% | +67.77% | +67.36% | +66.72% | +68.19% | +66.48% |
| Operating margin | +31.03% | +42.84% | +45.25% | +26.10% | +39.89% | +35.98% | +36.23% | +36.98% | +37.72% |
| EBITDA margin | +53.52% | +57.69% | +57.38% | +46.30% | +54.34% | +52.56% | +53.89% | +51.70% | +51.74% |
| EBIT margin | +31.51% | +42.68% | +46.68% | +26.89% | +40.60% | +38.01% | +38.82% | +38.98% | +38.92% |
| Pre-tax margin | +24.64% | +37.45% | +42.15% | +19.23% | +35.58% | +32.72% | +31.77% | +32.04% | +31.36% |
| Net margin | +24.54% | +34.62% | +39.31% | +11.43% | +36.20% | +28.77% | +29.01% | +29.72% | +28.33% |
| Cost structure | |||||||||
| Cost of revenue / sales | +38.64% | +33.45% | +31.07% | +36.97% | +32.23% | +33.25% | +33.91% | +33.52% | +32.91% |
| R&D intensity | +17.68% | +14.81% | +14.67% | +18.05% | +17.18% | +16.88% | +16.51% | +16.64% | +16.68% |
| SG&A intensity | +4.91% | +4.16% | +4.44% | +9.62% | +6.59% | +7.02% | +6.82% | +6.72% | +6.79% |
| Effective tax rate | +0.43% | +7.55% | +6.72% | +37.80% | -1.75% | +14.00% | +14.57% | +14.58% | +14.55% |
Returns on capital
ROE / ROA / ROC / ROIC over the relevant capital base, plus the 3-step DuPont decomposition of ROE.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Returns | |||||||||
| Return on equity (ROE) | +26.96% | +50.62% | +58.70% | +8.71% | +28.45% | +27.06% | +26.42% | +27.17% | +26.63% |
| Return on assets (ROA) | +8.91% | +15.69% | +19.33% | +3.56% | +13.52% | +10.95% | +10.81% | +11.22% | +11.01% |
| Return on capital (ROC) | +13.05% | +22.69% | +25.47% | +9.95% | +17.40% | +16.24% | +16.34% | +16.55% | +16.92% |
| Return on invested capital (ROIC) | +10.32% | +18.34% | +22.13% | +4.36% | +15.79% | +12.99% | +13.08% | +13.31% | +12.71% |
| Asset turnover | +36.32% | +45.33% | +49.16% | +31.14% | +37.34% | +38.07% | +37.27% | +37.75% | +38.85% |
| DuPont · ROE decomposition | |||||||||
| Net margin | +24.54% | +34.62% | +39.31% | +11.43% | +36.20% | +28.77% | +29.01% | +29.72% | +28.33% |
| Asset turnover (× revenue / assets) | +36.32% | +45.33% | +49.16% | +31.14% | +37.34% | +38.07% | +37.27% | +37.75% | +38.85% |
| Equity multiplier (× assets / equity) | +302.41% | +322.55% | +303.74% | +244.75% | +210.47% | +247.04% | +244.40% | +242.13% | +241.91% |
Activity & efficiency
Turnover ratios and days-outstanding — how efficiently the business converts assets and working capital into sales and cash.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Turnover | |||||||||
| Asset turnover | 0.36 | 0.45 | 0.49 | 0.31 | 0.37 | 0.38 | 0.37 | 0.38 | 0.39 |
| Fixed-asset turnover | 11.69 | 14.94 | 13.69 | 20.46 | 25.25 | — | — | — | — |
| Inventory turnover | 8.18 | 5.77 | 5.86 | 10.83 | 9.07 | — | — | — | — |
| Receivables turnover | 13.25 | 11.22 | 11.36 | 11.68 | 8.94 | — | — | — | — |
| Payables turnover | 9.77 | 11.13 | 9.20 | 11.47 | 13.20 | — | — | — | — |
| Days outstanding | |||||||||
| Days sales outstanding (DSO) | 27.54 | 32.52 | 32.14 | 31.25 | 40.82 | — | — | — | — |
| Days inventory outstanding (DIO) | 44.64 | 63.25 | 62.25 | 33.70 | 40.23 | — | — | — | — |
| Days payables outstanding (DPO) | 37.37 | 32.79 | 39.68 | 31.82 | 27.65 | — | — | — | — |
| Cash conversion cycle | 34.80 | 62.98 | 54.70 | 33.13 | 53.41 | — | — | — | — |
Cash flow quality
How well reported earnings translate into operating and free cash flow, plus reinvestment intensity.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Operating CF / Net income | 2.04 | 1.46 | 1.28 | 3.39 | 1.19 | 1.55 | 1.55 | 1.47 | 1.57 |
| FCF / Net income | 1.98 | 1.42 | 1.25 | 3.29 | 1.16 | 1.48 | 1.52 | 1.41 | 1.51 |
| FCF margin | +48.53% | +49.13% | +49.23% | +37.64% | +42.13% | +42.69% | +44.06% | +41.81% | +42.69% |
| OCF margin | +50.14% | +50.41% | +50.49% | +38.71% | +43.10% | +44.61% | +45.08% | +43.78% | +44.45% |
| CapEx / Revenue | +1.61% | +1.28% | +1.26% | +1.06% | +0.98% | +1.11% | +1.13% | +1.11% | +1.13% |
| CapEx / D&A | 0.07 | 0.09 | 0.12 | 0.05 | 0.07 | — | — | — | — |
| Stock-based comp / Revenue | +6.21% | +4.62% | +6.06% | +11.13% | +11.85% | — | — | — | — |
Per-share & shareholder yield
EPS, book value, sales, cash flow and dividends per share — plus payout / retention.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| EPS · diluted | 1.50 | 2.65 | 3.30 | 1.23 | 4.77 | 11.27 | 18.28 | 22.83 | 19.71 |
| EPS · basic | 1.57 | 2.74 | 3.39 | 1.27 | 4.91 | 11.62 | 18.84 | 23.60 | 20.00 |
| Book value / share | 5.82 | 5.37 | 5.62 | 14.16 | 16.75 | 22.81 | 37.32 | 47.09 | 50.88 |
| Tangible BV / share | -6.95 | -6.62 | -5.51 | -14.81 | -10.05 | 22.81 | 37.32 | 47.09 | 50.88 |
| Sales / share | 6.40 | 7.85 | 8.39 | 10.79 | 13.16 | 21.46 | 33.99 | 43.04 | 47.83 |
| Operating CF / share | 3.21 | 3.96 | 4.24 | 4.18 | 5.67 | 9.57 | 15.32 | 18.84 | 21.26 |
| Free cash flow / share | 3.11 | 3.86 | 4.13 | 4.06 | 5.55 | 9.16 | 14.98 | 17.99 | 20.42 |
| Dividends / share | 1.45 | 1.66 | 1.79 | 2.05 | 2.30 | 4.20 | 6.40 | 8.35 | 8.98 |
| Payout ratio | +92.22% | +61.17% | +54.29% | +166.48% | +48.18% | +68.05% | +64.88% | +65.29% | +66.30% |
| Retention ratio | +7.78% | +38.83% | +45.71% | -66.48% | +51.82% | +31.95% | +35.12% | +34.71% | +33.70% |
Growth
Year-over-year change for headline P&L lines, plus through-cycle CAGR
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E | 8y CAGR |
|---|---|---|---|---|---|---|---|---|---|---|
| Top-line | ||||||||||
| Revenue · YoY | — | +20.96% | +7.88% | +43.99% | +23.87% | +61.61% | +58.51% | +27.12% | +10.95% | +30.49% |
| Gross profit · YoY | — | +31.17% | +11.74% | +31.67% | +33.18% | +60.64% | +57.01% | +29.91% | +8.17% | +31.81% |
| Profit | ||||||||||
| Operating income · YoY | — | +66.98% | +13.93% | -16.93% | +89.29% | +45.79% | +59.60% | +29.75% | +13.17% | +33.72% |
| EBITDA · YoY | — | +30.39% | +7.30% | +16.18% | +45.37% | +56.34% | +62.53% | +21.95% | +11.03% | +29.94% |
| Net income · YoY | — | +70.65% | +22.51% | -58.14% | +292.30% | +28.46% | +59.79% | +30.26% | +5.76% | +32.86% |
| Operating | ||||||||||
| EBIT · YoY | — | +63.83% | +17.98% | -17.05% | +87.03% | +51.28% | +61.90% | +27.64% | +10.80% | +33.99% |
| R&D · YoY | — | +1.34% | +6.79% | +77.23% | +17.91% | +58.74% | +55.02% | +28.19% | +11.16% | +29.54% |
| Per-share | ||||||||||
| EPS · diluted · YoY | — | +76.67% | +24.53% | -62.73% | +287.80% | +136.28% | +62.20% | +24.89% | -13.67% | +37.98% |
| EPS · basic · YoY | — | +74.52% | +23.72% | -62.54% | +286.61% | +136.62% | +62.14% | +25.28% | -15.26% | +37.45% |
Credit & leverage
Balance-sheet health + interest coverage + liquidity. Coverage ratios use period-end debt and trailing interest expense.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Leverage | |||||||||
| Total debt | $40.27B | $39.98B | $39.65B | $67.57B | $65.14B | $118.99B | $183.28B | $237.13B | $268.88B |
| Net debt | $28.11B | $27.56B | $25.46B | $58.22B | $48.96B | $90.2B | $137.28B | $180.35B | $206.34B |
| Net debt / EBITDA | 1.91 | 1.44 | 1.24 | 2.44 | 1.41 | 1.66 | 1.56 | 1.68 | 1.73 |
| Debt / equity | 1.61 | 1.76 | 1.65 | 1.00 | 0.80 | 1.08 | 1.02 | 1.04 | 1.09 |
| Debt / assets | +53.29% | +54.58% | +54.42% | +40.79% | +38.07% | +43.87% | +41.74% | +43.02% | +45.26% |
| Equity / assets | +33.07% | +31.00% | +32.92% | +40.86% | +47.51% | +40.48% | +40.92% | +41.30% | +41.34% |
| Coverage | |||||||||
| EBITDA / interest expense | 7.79 | 11.03 | 12.67 | 6.04 | 10.81 | 9.37 | 9.43 | 8.89 | 8.79 |
| Operating income / interest | 4.52 | 8.19 | 9.99 | 3.41 | 7.94 | 6.41 | 6.34 | 6.36 | 6.41 |
| Interest expense | $1.89B | $1.74B | $1.62B | $3.95B | $3.21B | $5.79B | $9.35B | $12.1B | $13.59B |
| Liquidity | |||||||||
| Current ratio | 2.64 | 2.62 | 2.82 | 1.17 | 1.71 | — | — | — | — |
| Quick ratio | 2.27 | 2.18 | 2.34 | 0.82 | 1.26 | — | — | — | — |
| Cash ratio | 1.94 | 1.76 | 1.92 | 0.56 | 0.87 | — | — | — | — |
| Working capital | $10.31B | $11.45B | $13.44B | $2.9B | $13.06B | — | — | — | — |
| Working capital / revenue | +37.54% | +34.49% | +37.53% | +5.62% | +20.44% | — | — | — | — |
Methodology. ROE / ROA / ROC use period-end balance-sheet denominators (no average-of- period smoothing). ROIC = Operating Income × (1 − inferred effective tax rate) over invested capital, with the effective tax inferred from net-to-operating income when both are positive and a 25% default otherwise. Net debt / EBITDA, debt ratios, and interest-coverage ratios are calculated point-in-time at each fiscal year-end. TTM = trailing 4 quarters (income / cash flow summed, balance sheet = most-recent quarterly snapshot). Through-cycle CAGR in the Growth panel uses the geometric mean of first-to-last period growth across the window (positive values only).