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How to buy Broadcom stock (AVGO)

Buy Broadcom stock in 5 easy steps, view past price performance and learn what’s ahead for the company.

Broadcom is a semiconductors business based in the US. Broadcom shares (AVGO) are listed on the NASDAQ and all prices are listed in US Dollars. Broadcom employs 20,000 staff and has a trailing 12-month revenue of around $42.6 billion.

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Broadcom stock price (NASDAQ: AVGO)

Use our graph to track the performance of AVGO stocks over time.

Broadcom shares at a glance

Information last updated 2024-07-21.
Latest market close$163.77
52-week range$78.56 - $184.58
50-day moving average $153.20
200-day moving average $123.10
Wall St. target price$194.52
PE ratio 67.5322
Dividend yield $2.035 (1.33%)
Earnings per share (TTM) $2.33

Is it a good time to buy Broadcom stock?

The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.

This chart is not advice or a guarantee of success. Rather, it gauges the real-time recommendations of three popular technical indicators: moving averages, oscillators and pivots. Finder is not responsible for how your stock performs.

Broadcom price performance over time

Historical closes compared with the close of $163.77 from 2024-07-23

1 week (2024-07-17) 4.99%
1 month (2024-06-24) -89.71%
3 months (2024-04-24) -86.97%
6 months (2024-01-24) -86.94%
1 year (2023-07-24) -81.84%
2 years (2022-07-22) -68.05%
3 years (2021-07-23) 483.15
5 years (2019-07-24) 280.559

Is Broadcom stock undervalued or overvalued?

Valuing Broadcom stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of Broadcom's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.

Broadcom's P/E ratio

Broadcom's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 68x. In other words, Broadcom shares trade at around 68x recent earnings.

That's relatively high compared to, say, the trailing 12-month P/E ratio for the NASDAQ 100 at the end of 2019 (27.29). The high P/E ratio could mean that investors are optimistic about the outlook for the shares or simply that they're over-valued.

Broadcom's PEG ratio

Broadcom's "price/earnings-to-growth ratio" can be calculated by dividing its P/E ratio by its growth – to give 1.5601. A low ratio can be interpreted as meaning the shares offer better value, while a higher ratio can be interpreted as meaning the shares offer worse value.

The PEG ratio provides a broader view than just the P/E ratio, as it gives more insight into Broadcom's future profitability. By accounting for growth, it could also help you if you're comparing the share prices of multiple high-growth companies.

Broadcom's EBITDA

Broadcom's EBITDA (earnings before interest, taxes, depreciation and amortisation) is $21.3 billion.

The EBITDA is a measure of a Broadcom's overall financial performance and is widely used to measure a its profitability.

Broadcom financials

Revenue TTM $42.6 billion
Operating margin TTM 31.77%
Gross profit TTM $24.9 billion
Return on assets TTM 7.43%
Return on equity TTM 22.23%
Profit margin 24.1%
Book value $59.22
Market Capitalization $732.4 billion

TTM: trailing 12 months

Broadcom share dividends

47%

Dividend payout ratio: 46.73% of net profits

Recently Broadcom has paid out, on average, around 46.73% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 1.33% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), Broadcom shareholders could enjoy a 1.33% return on their shares, in the form of dividend payments. In Broadcom's case, that would currently equate to about $2.035 per share.

While Broadcom's payout ratio might seem fairly standard, it's worth remembering that Broadcom may be investing much of the rest of its net profits in future growth.

Broadcom's most recent dividend payout was on 27 June 2024. The latest dividend was paid out to all shareholders who bought their shares by 23 June 2024 (the "ex-dividend date").

Have Broadcom's shares ever split?

Broadcom's shares were split on a 10:1 basis on 14 July 2024. So if you had owned 1 share the day before before the split, the next day you'd have owned 10 shares. This wouldn't directly have changed the overall worth of your Broadcom shares – just the quantity. However, indirectly, the new 90% lower share price could have impacted the market appetite for Broadcom shares which in turn could have impacted Broadcom's share price.

Broadcom share price volatility

Over the last 12 months, Broadcom's shares have ranged in value from as little as $78.56 up to $184.576. A popular way to gauge a stock's volatility is its "beta".

AVGO.US volatility(beta: 1.19)Avg. volatility(beta: 1.00)LowHigh

Beta is a measure of a share's volatility in relation to the market. The market (NASDAQ average) beta is 1, while Broadcom's is 1.188. This would suggest that Broadcom's shares are a little bit more volatile than the average for this exchange and represent, relatively-speaking, a slightly higher risk (but potentially also market-beating returns).

Broadcom overview

Broadcom Inc. designs, develops, and supplies various semiconductor devices with a focus on complex digital and mixed signal complementary metal oxide semiconductor based devices and analog III-V based products worldwide. The company operates in two segments, Semiconductor Solutions and Infrastructure Software. It provides set-top box system-on-chips (SoCs); cable, digital subscriber line, and passive optical networking central office/consumer premise equipment SoCs; wireless local area network access point SoCs; Ethernet switching and routing custom silicon solutions; serializer/deserializer application specific integrated circuits; optical and copper, and physical layer devices; and fiber optic components and RF semiconductor devices. The company also offers RF front end modules and filter; Wi-Fi, Bluetooth, and global positioning system/global navigation satellite system SoCs; custom touch controllers; inductive charging; attached small computer system interface, and redundant array of independent disks controllers and adapters; peripheral component interconnect express; fiber channel host bus adapters; read channel based SoCs; custom flash controllers; preamplifiers; optocouplers, industrial fiber optics, and motion control encoders and subsystems; light emitting diode, ethernet PHYs, switch ICs, and camera microcontrollers. Its products are used in various applications, including enterprise and data center networking, home connectivity, set-top boxes, broadband access, telecommunication equipment, smartphones and base stations, data center servers and storage systems, factory automation, power generation and alternative energy systems, and electronic displays. Broadcom Inc.

Frequently asked questions

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What percentage of Broadcom is owned by insiders or institutions?
Currently 2.025% of Broadcom shares are held by insiders and 79.656% by institutions.
How many people work for Broadcom?
Latest data suggests 20,000 work at Broadcom.
When does the fiscal year end for Broadcom?
Broadcom's fiscal year ends in October.
Where is Broadcom based?
Broadcom's address is: 3421 Hillview Ave, Palo Alto, CA, United States, 94304
What is Broadcom's ISIN number?
Broadcom's international securities identification number is: US11135F1012
What is Broadcom's CUSIP number?
Broadcom's Committee on Uniform Securities Identification Procedures number is: Y0486S104

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