Broadcom Inc.

AVGO · Nasdaq · Technology · Semiconductors

$352.81+0.7%Sep 25 close

1M: -4.2%
6M: +17.7%
1Y: +6.2%
5Y: +664.3%

Broadcom sells chips for data centers, communications and other devices, plus software for businesses’ computer systems and security.

Broadcom Inc. (AVGO) stock — is it a good business? — InspectStocks

Broadcom Inc.

AVGO · Nasdaq · Technology · Semiconductors

$352.81+0.7%Sep 25 close

1M: -4.2%
6M: +17.7%
1Y: +6.2%
5Y: +664.3%

Compare

Broadcom sells chips for data centers, communications and other devices, plus software for businesses’ computer systems and security.

How it makes money

Semiconductor Solutions68%
Infrastructure Software32%

Shares of revenue are estimates for three fiscal quarters ended 2026-08-02, not figures from a filing.

Competes with

What it sells6

Custom accelerators and custom chip design
Chips designed to a customer’s specifications, including accelerators that help run artificial intelligence workloads in large data centers.
Ethernet networking chips
Switching, routing and network interface chips that move data between computers and other equipment in data centers, service-provider networks and business networks.
Optical components
Parts that send and receive data over fibre-optic cables, used in data-center networks, storage systems and telecommunications.

Show 3 more

Wireless-device chips
Radio-frequency components, Wi-Fi and Bluetooth chips, touchscreen controllers and wireless charging chips for phones, tablets and wearable devices.
Server and storage chips
Components that connect servers to storage devices and help read, write and protect data on hard disk drives and solid-state drives.
VMware Cloud Foundation
Software businesses use to manage computing, storage, networking and security across their own data centers and supported cloud services.

Who buys it6

Large cloud and data-center operators and artificial intelligence companies, including Google, Anthropic, OpenAI and Meta, work with Broadcom on custom chips and networking products.
Server makers, equipment manufacturers and system integrators buy Broadcom components for products they build, sometimes through contract manufacturers.
Distributors buy semiconductor products and resell them to equipment makers and other customers.

Show 3 more

Businesses and government agencies buy software for private data centers, cybersecurity, mainframe computers and data storage networks, either directly or through resellers and other partners.
Telecommunications and broadband providers use Broadcom chips in network equipment, broadband devices and set-top boxes.
Makers of phones, tablets, wearable devices and other electronics use Broadcom’s wireless and connectivity chips.

What it stands on, and what could break it

What the business leans on

1A substantial amount of semiconductor sales goes through distributors; one distributor accounted for 50% of revenue in the fiscal quarter ended 2026-08-02 (high confidence).
2Broadcom relies on outside manufacturers for most wafer production and much of assembly and testing, including Taiwan Semiconductor Manufacturing Company.
3Making and deploying artificial intelligence data centers depends on available chips, advanced packaging materials, memory, electricity, land and completed data-center buildings.
4A relatively small group of large end customers accounts for a substantial share of sales; the largest five accounted for approximately 55% of revenue in the fiscal quarter ended 2026-08-02 (high confidence).

What could go wrong

1Customer concentration can make revenue sensitive to orders from a few large buyers: the five largest end customers accounted for approximately 55% of revenue in the fiscal quarter ended 2026-08-02 (high confidence), and a distributor accounted for 50% (high confidence).
2Chip deliveries and customer deployments can be delayed by shortages of manufacturing capacity, advanced substrates or memory, or by customers’ lack of ready data-center sites and power.
3Broadcom’s financing arrangement for one customer’s data-center equipment includes a backstop; its maximum potential liability was approximately $29 billion when all covered racks are deployed (as of 2026-08-02, high confidence). If the customer does not pay, Broadcom may have to cover part of the unpaid lease amount, subject to the agreement’s terms and the value recovered from the equipment.

Full financial statements →

How it compares with its industry

Three ratings, each a percentile against the 72 companies we cover in Semiconductors. Deliberately kept apart rather than blended into one score — cheap, rising and well-run are three different facts, and a single number would hide which one is which.

Momentum

37of 100 in its industry

Below most of its industry

12 months to a month ago22.1%

6 months to a month ago7.7%

The most recent month is left out on purpose: returns tend to persist over 7–12 months and the newest one tends to reverse. This describes what the price has done, and says nothing about what it will do.

Value

45of 100 in its industry

Middle of its industry

Profit for the price2.27%

Cash for the price2.34%

Sales for the price5.29%

Assets for the price4.83%

Operating profit for the whole business1.97%

Yields, so higher means cheaper — a loss-making company ranks last instead of dropping out. Cheap is not the same as good: a high yield is often a price that fell for a reason. All five measures available.

Capital allocation

4/5Mostly disciplined

1 check not reported

Return on capital13.6%

Shareholder yield0.81%

Share count, 3 years12.8%

Net debt / EBITDA1.47x

Insiders, 12 months-$622.3M

What management does with the money — scored on whatever the filings answer, never as a share of the total.

The six capital-allocation checks

Return on the money invested13.6% on invested capital
Debt against earnings1.47x net debt to operating earnings
Cash returned to shareholders0.8% a year in buybacks and dividends
Share count over three yearsShare count 12.8% higher over three years
Payouts covered by cash flowFree cash flow covers what it pays out
Open-market insider buyingNet selling of $622.3M — not counted against the score

A description of where this company sits among its competitors, not a recommendation. Ratings updated Sep 26, 2026.

About Broadcom Inc.

Broadcom designs and sells semiconductors used in artificial intelligence data centers, computer networks, phones, storage devices and broadband equipment. It also sells business software, including VMware products for running computer systems, cybersecurity software and tools for managing mainframes and data storage networks. Customers include large technology companies, device makers, businesses and government agencies.

Head office: Palo Alto, California
Founded: 1991 (Broadcom)
Employees: approximately 33,000 (as of 2025-11-02, high)
Listed on: NASDAQ
Financial year ends: First Sunday in November (fiscal 2025 ended 2025-11-02)

Built from Broadcom Inc.’s own filings with the SEC. Figures are as reported, with per-share history restated onto today’s share basis. This describes a business — it is not investment advice and not a recommendation to buy or sell anything.

How it makes money

Semiconductor Solutions68%
Infrastructure Software32%

Shares of revenue are estimates for three fiscal quarters ended 2026-08-02, not figures from a filing.

Competes with

What it sells6

Custom accelerators and custom chip design
Chips designed to a customer’s specifications, including accelerators that help run artificial intelligence workloads in large data centers.
Ethernet networking chips
Switching, routing and network interface chips that move data between computers and other equipment in data centers, service-provider networks and business networks.
Optical components
Parts that send and receive data over fibre-optic cables, used in data-center networks, storage systems and telecommunications.

Show 3 more

Wireless-device chips
Radio-frequency components, Wi-Fi and Bluetooth chips, touchscreen controllers and wireless charging chips for phones, tablets and wearable devices.
Server and storage chips
Components that connect servers to storage devices and help read, write and protect data on hard disk drives and solid-state drives.
VMware Cloud Foundation
Software businesses use to manage computing, storage, networking and security across their own data centers and supported cloud services.

Who buys it6

Large cloud and data-center operators and artificial intelligence companies, including Google, Anthropic, OpenAI and Meta, work with Broadcom on custom chips and networking products.
Server makers, equipment manufacturers and system integrators buy Broadcom components for products they build, sometimes through contract manufacturers.
Distributors buy semiconductor products and resell them to equipment makers and other customers.

Show 3 more

Businesses and government agencies buy software for private data centers, cybersecurity, mainframe computers and data storage networks, either directly or through resellers and other partners.
Telecommunications and broadband providers use Broadcom chips in network equipment, broadband devices and set-top boxes.
Makers of phones, tablets, wearable devices and other electronics use Broadcom’s wireless and connectivity chips.

What it stands on, and what could break it

What the business leans on

1A substantial amount of semiconductor sales goes through distributors; one distributor accounted for 50% of revenue in the fiscal quarter ended 2026-08-02 (high confidence).
2Broadcom relies on outside manufacturers for most wafer production and much of assembly and testing, including Taiwan Semiconductor Manufacturing Company.
3Making and deploying artificial intelligence data centers depends on available chips, advanced packaging materials, memory, electricity, land and completed data-center buildings.
4A relatively small group of large end customers accounts for a substantial share of sales; the largest five accounted for approximately 55% of revenue in the fiscal quarter ended 2026-08-02 (high confidence).

What could go wrong

1Customer concentration can make revenue sensitive to orders from a few large buyers: the five largest end customers accounted for approximately 55% of revenue in the fiscal quarter ended 2026-08-02 (high confidence), and a distributor accounted for 50% (high confidence).
2Chip deliveries and customer deployments can be delayed by shortages of manufacturing capacity, advanced substrates or memory, or by customers’ lack of ready data-center sites and power.
3Broadcom’s financing arrangement for one customer’s data-center equipment includes a backstop; its maximum potential liability was approximately $29 billion when all covered racks are deployed (as of 2026-08-02, high confidence). If the customer does not pay, Broadcom may have to cover part of the unpaid lease amount, subject to the agreement’s terms and the value recovered from the equipment.

Full financial statements →

How it compares with its industry

Momentum

37of 100 in its industry

Below most of its industry

12 months to a month ago22.1%

6 months to a month ago7.7%

Value

45of 100 in its industry

Middle of its industry

Profit for the price2.27%

Cash for the price2.34%

Sales for the price5.29%

Assets for the price4.83%

Operating profit for the whole business1.97%

Capital allocation

4/5Mostly disciplined

1 check not reported

Return on capital13.6%

Shareholder yield0.81%

Share count, 3 years12.8%

Net debt / EBITDA1.47x

Insiders, 12 months-$622.3M

What management does with the money — scored on whatever the filings answer, never as a share of the total.

The six capital-allocation checks

Return on the money invested13.6% on invested capital
Debt against earnings1.47x net debt to operating earnings
Cash returned to shareholders0.8% a year in buybacks and dividends
Share count over three yearsShare count 12.8% higher over three years
Payouts covered by cash flowFree cash flow covers what it pays out
Open-market insider buyingNet selling of $622.3M — not counted against the score

A description of where this company sits among its competitors, not a recommendation. Ratings updated Sep 26, 2026.

About Broadcom Inc.

Head office: Palo Alto, California
Founded: 1991 (Broadcom)
Employees: approximately 33,000 (as of 2025-11-02, high)
Listed on: NASDAQ
Financial year ends: First Sunday in November (fiscal 2025 ended 2025-11-02)

How it makes money

Competes with

What it sells6

Who buys it6

What it stands on, and what could break it

What the business leans on

What could go wrong

How it compares with its industry

About Broadcom Inc.

How it makes money

Competes with

What it sells6

Who buys it6

What it stands on, and what could break it

What the business leans on

What could go wrong

How it compares with its industry

About Broadcom Inc.

Growth & cash — 5 of 5