Broadcom Inc. (AVGO) Financials
A multiple compares the market's price with a filed figure; it says what the market pays, not how the business is doing. The market capitalization is the vendor's as of Oct 13, 2026; every other figure is from the SEC filings on this page. Not financial advice.
Newest figures come from the 10-Q for Q3 FY2026, filed Sep 10, 2026. Each column of the statement tables below links to the filing it was taken from, and every filing is listed on the AVGO SEC filings page.
Broadcom Inc. (AVGO) reported $84.7B in revenue over the twelve months to Aug 2, 2026, up 48.7% from the prior twelve months. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 10 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Broadcom’s scaled, cash-generative business saw its FY2024 balance-sheet expansion followed by sharply improved profitability in FY2025.
Assets and goodwill more than doubled between FY2023 and FY2024, while profitability compressed sharply; the enlarged balance sheet initially outpaced the earnings benefit it produced. FY2025 paired net income of$23.1B with operating cash flow of$27.5B , indicating the profit rebound converted into cash rather than remaining purely accounting-driven.
Operating margin recovered to
Free cash flow was
Financial Health Signals
Scored against operating companies for FY2025. Each of the six dimensions is a percentile rank within that peer group; the overall is their average, with missing dimensions counted as zero out of six. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →
Health score ≠ stock price. This rates the quality of Broadcom Inc.'s business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
Broadcom Inc. has an operating margin of 39.9%, meaning the company retains $40 of operating profit per $100 of revenue. This strong profitability earns a score of 91/100, reflecting efficient cost management and pricing power. This is up from 26.1% the prior year.
Broadcom Inc.'s revenue surged 23.9% year-over-year to $63.9B, reflecting rapid business expansion. This strong growth earns a score of 91/100.
Broadcom Inc. has a moderate D/E ratio of 0.76. This balance of debt and equity financing earns a leverage score of 41/100.
Broadcom Inc.'s current ratio of 1.71 indicates adequate short-term liquidity, earning a score of 50/100. The company can meet its near-term obligations, though with limited headroom.
Broadcom Inc. converts 42.1% of revenue into free cash flow ($26.9B). This strong cash generation earns a score of 98/100.
Broadcom Inc. earns a strong 28.4% return on equity (ROE), meaning it generates $28 of profit for every $100 of shareholders' equity. This efficient capital use earns a returns score of 78/100. This is up from 8.7% the prior year.
Broadcom Inc. scores 12.35, well above the 2.99 safe threshold. The score is driven primarily by a large market capitalization ($1.7T) relative to total liabilities ($89.8B). This indicates low bankruptcy risk based on profitability, leverage, and asset efficiency.
Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.
Broadcom Inc. passes 8 of 9 financial strength tests. All 4 profitability signals pass (positive income, cash flow, and earnings quality), 2 of 3 leverage/liquidity signals pass, both operating efficiency signals pass.
For every $1 of reported earnings, Broadcom Inc. generates $1.19 in operating cash flow ($27.5B OCF vs $23.1B net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.
Broadcom Inc. earns $7.94 in operating income for every $1 of interest expense ($25.5B vs $3.2B). This wide margin provides strong safety for debt servicing, even if earnings decline temporarily.
Key Financial Metrics
Earnings & Revenue
Broadcom Inc. generated $29.6B in revenue in Q3 2026. This represents an increase of 85.5% from the same quarter a year earlier. Against the prior quarter it is up 33.4%.
Broadcom Inc.'s EBITDA was $18.1B in Q3 2026, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 125.1% from the same quarter a year earlier. Against the prior quarter it is up 40.4%.
Broadcom Inc. reported $13.1B in net income in Q3 2026. This represents an increase of 216.1% from the same quarter a year earlier. Against the prior quarter it is up 40.6%.
Broadcom Inc. earned $2.68 per diluted share (EPS) in Q3 2026. This represents an increase of 215.3% from the same quarter a year earlier. Against the prior quarter it is up 40.3%.
Cash & Balance Sheet
Broadcom Inc. generated $13.7B in free cash flow in Q3 2026, representing cash available after capex. This represents an increase of 94.5% from the same quarter a year earlier. Against the prior quarter it is up 33.2%.
Broadcom Inc. held $24.0B in cash against $57.2B in long-term debt as of Q3 2026.
Broadcom Inc. paid $0.65 per share in dividends in Q3 2026. This represents an increase of 10.2% from the same quarter a year earlier. It is unchanged from the prior quarter.
Margins & Returns
Broadcom Inc.'s gross margin was 69.1% in Q3 2026, indicating the percentage of revenue retained after direct costs. This is up 2.0 percentage points from the same quarter a year earlier. Against the prior quarter it is down 0.3 percentage points.
Broadcom Inc.'s operating margin was 53.9% in Q3 2026, reflecting core business profitability. This is up 17.0 percentage points from the same quarter a year earlier. Against the prior quarter it is up 5.3 percentage points.
Broadcom Inc.'s net profit margin was 44.2% in Q3 2026, showing the share of revenue converted to profit. This is up 18.3 percentage points from the same quarter a year earlier. Against the prior quarter it is up 2.3 percentage points.
Broadcom Inc.'s ROE was 13.1% in Q3 2026, measuring profit generated per dollar of shareholder equity. This is up 7.5 percentage points from the same quarter a year earlier. Against the prior quarter it is up 2.5 percentage points.
Capital Allocation
Broadcom Inc. invested $2.9B in research and development in Q3 2026. This represents a decrease of 5.1% from the same quarter a year earlier. Against the prior quarter it is down 3.3%.
Broadcom Inc. repurchased no shares in Q3 2026. Against the prior quarter it is down 100.0%.
Broadcom Inc. invested $532.0M in capex in Q3 2026, funding long-term assets and infrastructure. This represents an increase of 274.6% from the same quarter a year earlier. Against the prior quarter it is up 130.3%.
AVGO Income Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q3'2610-Q | Q2'2610-Q | Q1'2610-Q | Q4'2510-Q | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K |
|---|---|---|---|---|---|---|---|---|
| Revenue | $29.6B+85.5% | $22.2B+47.9% | $19.3B+29.5% | $13.6B+22.7% | $16.0B+22.0% | $15.0B+20.2% | $14.9B+24.7% | $11.1B+19.4% |
| Cost of Revenue | $9.1B+74.0% | $6.8B+40.9% | $6.2B+29.0% | $4.4B-9.9% | $5.2B+11.3% | $4.8B+2.0% | $4.8B+4.0% | $4.9B+68.5% |
| Gross Profit | $20.5B+91.1% | $15.4B+51.2% | $13.2B+29.7% | $9.2B+48.2% | $10.7B+28.1% | $10.2B+31.1% | $10.1B+37.6% | $6.2B-2.7% |
| R&D Expenses | $2.9B-5.1% | $3.0B+11.2% | $3.0B+31.6% | $2.3B-0.9% | $3.0B+29.6% | $2.7B+11.5% | $2.3B-2.4% | $2.3B+64.9% |
| SG&A Expenses | $996.0M-7.1% | $1.1B-2.6% | $1.0B+7.4% | $1.0B-36.5% | $1.1B-2.5% | $1.1B-15.2% | $949.0M-39.6% | $1.6B+290.7% |
| Operating Income | $16.0B+171.0% | $10.8B+85.1% | $8.6B+36.8% | $5.2B+1056.7% | $5.9B+55.4% | $5.8B+96.6% | $6.3B+200.5% | $450.0M-89.4% |
| EBITDA | $18.1B+125.1% | $12.9B+62.3% | $10.7B+27.2% | $7.4B-6.1% | $8.1B+104.6% | $8.0B+155.6% | $8.4B+277.9% | $7.9B+3.6% |
| Interest Expense | $778.0M-3.6% | $776.0M+0.9% | $801.0M-8.2% | $833.0M-14.0% | $807.0M-24.2% | $769.0M-26.6% | $873.0M-5.7% | $969.0M+139.3% |
| Income Tax | $2.2B+91.0% | $820.0M+583.3% | $846.0M+6607.7% | -$2.5B-594.7% | $1.1B-73.0% | $120.0M+203.4% | -$13.0M-119.1% | -$361.0M-181.5% |
| Net Income | $13.1B+216.1% | $9.3B+87.5% | $7.3B+33.5% | $6.7B+4469.9% | $4.1B+320.8% | $5.0B+134.1% | $5.5B+315.3% | $146.0M-95.9% |
| EPS (Basic) | $2.75+212.5% | $1.96+86.7% | $1.55+32.5% | $1.81+94.6% | $0.88+320.0% | $1.05+128.3% | $1.17+303.4% | $0.93-89.0% |
| EPS (Diluted) | $2.68+215.3% | $1.91+85.4% | $1.50+31.6% | $1.75 | $0.85+312.5% | $1.03 | $1.14 | $0.90 |
| Diluted Shares (Avg) | 4.89B+0.6% | 4.88B+1.0% | 4.89B+1.1% | N/A | 4.86B+4.2% | 4.83B | 4.84B | N/A |
AVGO Balance Sheet
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q3'2610-Q | Q2'2610-Q | Q1'2610-Q | Q4'2510-Q | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $188.1B+13.6% | $179.2B+8.8% | $169.9B+2.7% | $171.1B+3.3% | $165.6B-1.4% | $164.6B-6.0% | $165.4B-7.0% | $165.6B+127.3% |
| Current Assets | $52.2B+108.7% | $42.2B+90.3% | $32.1B+52.7% | $31.6B+61.1% | $25.0B+25.3% | $22.2B-12.3% | $21.0B-22.8% | $19.6B-6.0% |
| Cash & Equivalents | $24.0B+123.7% | $19.6B+107.2% | $14.2B+52.3% | $16.2B+73.1% | $10.7B+7.7% | $9.5B-3.4% | $9.3B-21.6% | $9.3B-34.1% |
| Short-Term Investments | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Inventory | $4.5B+107.5% | $4.3B+114.6% | $3.0B+55.2% | $2.3B+29.0% | $2.2B+15.1% | $2.0B+9.5% | $1.9B-0.6% | $1.8B-7.3% |
| Accounts Receivable | $13.7B+111.1% | $10.8B+94.7% | $8.5B+70.7% | $7.1B+61.8% | $6.5B+39.2% | $5.6B+1.1% | $5.0B-0.3% | $4.4B+40.0% |
| Long-Term Investments | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Goodwill | $97.8B0.0% | $97.8B0.0% | $97.8B-0.1% | $97.8B-0.1% | $97.8B-0.1% | $97.8B-0.1% | $97.9B+0.3% | $97.9B+124.2% |
| Total Liabilities | $88.5B-4.2% | $91.5B-3.8% | $90.0B-5.8% | $89.8B-8.3% | $92.3B-9.7% | $95.0B-9.7% | $95.6B-11.2% | $98.0B+100.5% |
| Current Liabilities | $20.8B+24.7% | $18.9B-8.4% | $16.9B-19.4% | $18.5B+10.9% | $16.7B-13.1% | $20.6B+2.1% | $20.9B+2.7% | $16.7B+125.5% |
| Non-Current Liabilities | $67.6B-10.6% | $72.6B-2.5% | $73.2B-2.0% | $71.3B-12.3% | $75.6B-9.0% | $74.4B-12.5% | $74.7B-14.4% | $81.3B+96.0% |
| Long-Term Debt | $57.2B-9.0% | $62.7B+1.5% | $63.8B+4.7% | $62.0B-6.5% | $62.8B-5.9% | $61.8B-13.7% | $60.9B-17.1% | $66.3B+76.2% |
| Total Equity | $99.7B+36.0% | $87.7B+26.0% | $79.9B+14.4% | $81.3B+20.1% | $73.3B+11.6% | $69.6B-0.5% | $69.8B-0.7% | $67.7B+182.1% |
| Retained Earnings | $22.2B+448.3% | $12.2B+352.9% | $6.5B+138.9% | $9.8B | $4.0B+315.5% | $2.7B | $2.7B | $0-100.0% |
AVGO Cash Flow Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q3'2610-Q | Q2'2610-Q | Q1'2610-Q | Q4'2510-Q | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $14.2B+98.1% | $10.5B+60.1% | $8.3B+35.1% | $7.7B+37.5% | $7.2B+44.4% | $6.6B+43.1% | $6.1B+27.0% | $5.6B+16.1% |
| Depreciation & Amortization | $2.2B+0.4% | $2.1B0.0% | $2.1B-0.8% | $2.2B+1310.3% | $2.2B+1355.0% | $2.1B+1330.2% | $2.1B+1437.4% | $156.0M+25.8% |
| Stock-Based Compensation | $2.0B-13.0% | $2.1B+18.1% | $2.2B+70.0% | N/A | $2.3B+68.1% | $1.8B+26.2% | $1.3B-19.1% | N/A |
| Capital Expenditures | $532.0M+274.6% | $231.0M+60.4% | $250.0M+150.0% | $237.0M+94.3% | $142.0M-17.4% | $144.0M+9.1% | $100.0M-18.0% | $122.0M+16.2% |
| Free Cash Flow | $13.7B+94.5% | $10.3B+60.1% | $8.0B+33.2% | $7.5B+36.2% | $7.0B+46.6% | $6.4B+44.1% | $6.0B+28.1% | $5.5B+16.1% |
| Investing Cash Flow | -$1.1B-1284.0% | -$208.0M-56.4% | -$115.0M+33.9% | -$367.0M-178.0% | $94.0M-97.1% | -$133.0M+81.2% | -$174.0M+99.3% | -$132.0M-6.5% |
| Financing Cash Flow | -$8.7B-45.3% | -$4.8B+22.8% | -$10.1B-69.7% | -$1.9B+69.1% | -$6.0B+25.4% | -$6.3B-5.5% | -$6.0B-132.6% | -$6.1B-136.4% |
| Dividends Paid | $3.1B+11.4% | $3.1B+11.0% | $3.1B+11.2% | $2.8B+12.6% | $2.8B+13.6% | $2.8B+14.0% | $2.8B+13.9% | $2.5B+30.5% |
| Share Buybacks | $0 | $600.0M-75.5% | $7.8B | $0 | $0 | $2.5B | $0-100.0% | $0-100.0% |
AVGO Financial Ratios
Margins and returns are percentages; the remaining ratios are unitless multiples. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q3'2610-Q | Q2'2610-Q | Q1'2610-Q | Q4'2510-Q | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 69.1%+2.0pp | 69.5%+1.5pp | 68.1%+0.1pp | 67.8%+11.7pp | 67.1%+3.2pp | 68.0%+5.7pp | 68.0%+6.3pp | 56.1%-12.8pp |
| Operating Margin | 53.9%+17.0pp | 48.6%+9.8pp | 44.3%+2.4pp | 38.2%+34.2pp | 36.9%+7.9pp | 38.9%+15.1pp | 42.0%+24.6pp | 4.0%-41.6pp |
| Net Margin | 44.2%+18.3pp | 42.0%+8.9pp | 38.1%+1.2pp | 49.0%+47.7pp | 25.9%+40.3pp | 33.1%+16.1pp | 36.9%+25.8pp | 1.3%-36.6pp |
| Return on Equity | 13.1%+7.5pp | 10.6%+3.5pp | 9.2%+1.3pp | 8.2%+8.0pp | 5.7%+8.5pp | 7.1%+4.1pp | 7.9%+6.0pp | 0.2%-14.5pp |
| Return on Assets | 7.0%+4.5pp | 5.2%+2.2pp | 4.3%+1.0pp | 3.9%+3.8pp | 2.5%+3.6pp | 3.0%+1.8pp | 3.3%+2.6pp | 0.1%-4.8pp |
| Current Ratio | 2.50+1.0x | 2.24+1.2x | 1.90+0.9x | 1.71+0.5x | 1.50+0.5x | 1.08-0.2x | 1.00-0.3x | 1.17-1.6x |
| Debt-to-Equity | 0.57-0.3x | 0.71-0.2x | 0.80-0.1x | 0.76-0.2x | 0.86-0.2x | 0.89-0.1x | 0.87-0.2x | 0.98-0.6x |
| Asset Turnover | 0.16+0.1x | 0.120.0x | 0.110.0x | 0.080.0x | 0.100.0x | 0.090.0x | 0.090.0x | 0.07-0.1x |
| FCF Margin | 46.2%+2.1pp | 46.3%+3.5pp | 41.5%+1.2pp | 54.8%+5.4pp | 44.0%+7.4pp | 42.7%+7.1pp | 40.3%+1.1pp | 49.4%-1.4pp |
Similar Companies
Newest fiscal year on record for each company. The health score is the peer-relative Financial Health Score for that year; a dash means no score is published for it.
| Company | Fiscal year | Revenue | Net income | Net margin | Market cap | Health score |
|---|---|---|---|---|---|---|
| Broadcom Inc. AVGO | FY2025 | $63.9B | $23.1B | 36.2% | $1.7T | 75/100 |
| Taiwan Semiconductor Manufacturing TSM | FY2025 | $121.4B | $54.0B | 44.5% | $2.4T | 57/100 |
| Nvidia Corp NVDA | FY2026 | $215.9B | $120.1B | 55.6% | $5.5T | 91/100 |
| Advanced Micro Devices AMD | FY2025 | $34.6B | $4.3B | 12.5% | $992.7B | 71/100 |
| Qualcomm Inc QCOM | FY2025 | $44.3B | $5.5B | 12.5% | $187.4B | 78/100 |
| Micron Technology, Inc. MU | FY2026 | $133.2B | $85.0B | 63.8% | $1.2T | 85/100 |
Where Broadcom Inc. Ranks
Frequently Asked Questions
What is Broadcom Inc.'s annual revenue?
Broadcom Inc. (AVGO) reported $63.9B in total revenue for fiscal year 2025. This represents a 23.9% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Broadcom Inc.'s revenue growing?
Broadcom Inc. (AVGO) revenue grew by 23.9% year-over-year, from $51.6B to $63.9B in fiscal year 2025.
Is Broadcom Inc. profitable?
Yes, Broadcom Inc. (AVGO) reported a net income of $23.1B in fiscal year 2025, with a net profit margin of 36.2%.
What is Broadcom Inc.'s EBITDA?
Broadcom Inc. (AVGO) had EBITDA of $34.1B in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does Broadcom Inc. have?
As of fiscal year 2025, Broadcom Inc. (AVGO) had $16.2B in cash and equivalents against $62.0B in long-term debt.
What is Broadcom Inc.'s gross margin?
Broadcom Inc. (AVGO) had a gross margin of 67.8% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Broadcom Inc.'s operating margin?
Broadcom Inc. (AVGO) had an operating margin of 39.9% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Broadcom Inc.'s net profit margin?
Broadcom Inc. (AVGO) had a net profit margin of 36.2% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
Does Broadcom Inc. pay dividends?
Yes, Broadcom Inc. (AVGO) paid $2.36 per share in dividends during fiscal year 2025.
What is Broadcom Inc.'s return on equity (ROE)?
Broadcom Inc. (AVGO) has a return on equity of 28.4% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is Broadcom Inc.'s free cash flow?
Broadcom Inc. (AVGO) generated $26.9B in free cash flow during fiscal year 2025. This represents a 38.6% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Broadcom Inc.'s operating cash flow?
Broadcom Inc. (AVGO) generated $27.5B in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Broadcom Inc.'s total assets?
Broadcom Inc. (AVGO) had $171.1B in total assets as of fiscal year 2025, including both current and long-term assets.
What are Broadcom Inc.'s capital expenditures?
Broadcom Inc. (AVGO) invested $623.0M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
How much does Broadcom Inc. spend on research and development?
Broadcom Inc. (AVGO) invested $11.0B in research and development during fiscal year 2025.
What is Broadcom Inc.'s current ratio?
Broadcom Inc. (AVGO) had a current ratio of 1.71 as of fiscal year 2025, which is generally considered healthy.
What is Broadcom Inc.'s debt-to-equity ratio?
Broadcom Inc. (AVGO) had a debt-to-equity ratio of 0.76 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Broadcom Inc.'s return on assets (ROA)?
Broadcom Inc. (AVGO) had a return on assets of 13.5% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is Broadcom Inc.'s P/E ratio?
Broadcom Inc. (AVGO) trades at 46.5x earnings, its market capitalization divided by net income of $36.4B net income, trailing 12 months to August 2, 2026. The market capitalization is $1.7T as of Oct 13, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
What is Broadcom Inc.'s price-to-sales ratio?
Broadcom Inc. (AVGO) trades at 20.0x sales, its market capitalization divided by revenue of $84.7B revenue, trailing 12 months to August 2, 2026. The market capitalization is $1.7T as of Oct 13, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
What is Broadcom Inc.'s Altman Z-Score?
Broadcom Inc. (AVGO) has an Altman Z-Score of 12.35, placing it in the Safe Zone (low bankruptcy risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is Broadcom Inc.'s Piotroski F-Score?
Broadcom Inc. (AVGO) has a Piotroski F-Score of 8 out of 9, indicating strong financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Broadcom Inc.'s earnings high quality?
Broadcom Inc. (AVGO) has an earnings quality ratio of 1.19x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can Broadcom Inc. cover its interest payments?
Broadcom Inc. (AVGO) has an interest coverage ratio of 7.94x, meaning it can comfortably cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.
How financially healthy is Broadcom Inc.?
Broadcom Inc. (AVGO) scores 75 out of 100 on our Financial Health Score, indicating strong standing within its operating companies peer group. The score is a 0-100 composite of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.