---
title: Broadcom (AVGO) — intrinsic value and fair price
canonical: https://sweetvaluelab.com/stocks/avgo
ticker: AVGO
as_of: 2026-10-17
sector: Technology
industry: Semiconductors
---
# Broadcom (AVGO)

Broadcom (AVGO) closed at $328.75 on Oct 16, 2026, undervalued by 49% vs its model value of $643.14 (from a five-year discounted cash flow).

## Key figures

| Figure | Value |
| --- | ---: |
| Last close | $328.75 (Oct 16, 2026) |
| Model value (from a five-year discounted cash flow) | $643.14 |
| Price vs model | undervalued by 49% vs model |
| Range of that model | $427.70 – $1,252.27 |
| Market value | $1.6T |
| P/E (fiscal 2025) | 68.9 |
| Net margin (fiscal 2025) | 36.2% |
| Free cash flow (fiscal 2025) | $26.9B |
| Dividend yield (trailing twelve months) | 0.79% |
| Beta | 1.48 |
| Cost of capital (WACC) | 10.29% |
| Business classification | High Growth (High revenue growth (~34% recent), High profitability (36% net margin), Highly cyclical earnings) |

## On the stock lists

| List | Place | Figure | Page |
| --- | ---: | ---: | --- |
| Largest companies | #8 | $1.6T | https://sweetvaluelab.com/lists/largest-companies |

## Dividends

| Figure | Value |
| --- | ---: |
| Trailing dividend yield | 0.79% |
| Dividends per share, last 12 months | $2.60 |
| Dividends / free cash flow (fiscal 2025) | 41.4% |
| Raised | 15+ years in a row |
| Growth over 5 years | 12.5% a year |
| Latest payment | $0.65, ex-date Sep 21, 2026, paid Sep 30, 2026 |

| Year of payments | Dividends per share |
| --- | ---: |
| To Sep 21, 2021 | $1.44 |
| To Sep 21, 2022 | $1.64 |
| To Sep 20, 2023 | $1.84 |
| To Sep 19, 2024 | $2.11 |
| To Sep 22, 2025 | $2.36 |
| Trailing twelve months (to Sep 21, 2026) | $2.60 |

## Valuation models

Each model's value per share and the role the engine gave it for this business. The headline above is one model's value; every other model is listed with its own, and each has a page of its own under the valuation. Computed Oct 17, 2026.

| Model | Role | Value per share | Low | High |
| --- | --- | ---: | ---: | ---: |
| DCF · Perpetuity growth · 5y | primary | $643.14 | $427.70 | $1,252.27 |
| DCF · Perpetuity growth · 10y | cross check | $1,034.76 | $686.77 | $2,012.45 |
| DCF · EBITDA exit · 5y | cross check | $637.20 | $446.45 | $861.34 |
| DCF · EBITDA exit · 10y | cross check | $1,026.92 | $709.43 | $1,448.49 |
| P/E · peers | cross check | $366.61 | $183.59 | $471.44 |
| P/E · own history | cross check | $348.06 | $274.14 | $676.54 |
| PEG | sanity check | $291.88 | $291.88 | $291.88 |
| EV/EBITDA · peers | cross check | $314.60 | $142.73 | $538.07 |
| EV/Revenue · peers | cross check | $264.65 | $78.66 | $285.37 |
| Earnings power value | cross check | $16.00 | $12.68 | $20.46 |

## Insider activity (SEC Form 4)

Past 90 days: 0 open-market buys ($0) and 16 open-market sales ($250.0M); 10b5-1 plan sales included.

| Date | Insider | Relationship | Transaction | Shares | Value |
| --- | --- | --- | --- | ---: | ---: |
| Sep 23, 2026 | SAMUELI HENRY | Director | Bona fide gift (10b5-1 plan) | 72,474 | $0 |
| Sep 23, 2026 | SAMUELI HENRY | Director | Open-market sell (10b5-1 plan) | 11,309 | $4.1M |
| Sep 23, 2026 | SAMUELI HENRY | Director | Open-market sell (10b5-1 plan) | 407 | $147,000.3 |
| Sep 23, 2026 | SAMUELI HENRY | Director | Open-market sell (10b5-1 plan) | 22,579 | $8.1M |
| Sep 23, 2026 | SAMUELI HENRY | Director | Open-market sell (10b5-1 plan) | 44,618 | $16.0M |

## Recent SEC filings

| Filed | Form | What | Filing |
| --- | --- | --- | --- |
| Sep 10, 2026 | 10-Q | Quarterly report | https://www.sec.gov/Archives/edgar/data/1730168/000173016826000080/avgo-20260802.htm |
| Sep 10, 2026 | S-4 | Merger registration | https://www.sec.gov/Archives/edgar/data/1730168/000119312526387881/d154803ds4.htm |
| Sep 2, 2026 | 8-K | 2.02 Results of Operations (Earnings); 8.01 Other Events; 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/1730168/000173016826000076/avgo-20260902.htm |
| Jul 6, 2026 | 8-K | 8.01 Other Events | https://www.sec.gov/Archives/edgar/data/1730168/000119312526295589/d84378d8k.htm |
| Jun 18, 2026 | 8-K | 8.01 Other Events; 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/1730168/000119312526275077/d149683d8k.htm |

## Superinvestors holding it (latest 13F)

| Manager | Quarter | Shares | Value |
| --- | --- | ---: | ---: |
| Polen Capital | 2026-06-30 | 1,960,209 | $740.5M |
| Chase Coleman | 2026-06-30 | 1,754,062 | $662.6M |
| Bridgewater | 2026-06-30 | 1,317,923 | $497.8M |
| Jensen | 2026-06-30 | 392,082 | $148.1M |

15 tracked managers in all.

## About

Broadcom Inc. is a prominent global technology enterprise focused on the innovation, development, and supply of advanced semiconductor solutions and critical infrastructure software. The company's headquarters are situated in San Jose, California, and it maintains a significant team of 19,000 full-time staff. Its operations are segmented into four primary divisions: Wired Infrastructure, Wireless Communications, Enterprise Storage, and Industrial & Other. Broadcom’s diverse product range is integrated into numerous end-user technologies, including enterprise and data center networking, residential internet solutions, digital television receivers, telecommunications apparatus, mobile phones, data center servers and storage architectures, industrial automation, alternative and power generation systems, and electronic display technologies. The company's product offerings extend from fundame…

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Source: https://sweetvaluelab.com/stocks/avgo (SweetValueLab, free, no account). Prices and statements from Financial Modeling Prep; filings from SEC EDGAR. Research and educational data, not investment advice; nothing here is a recommendation to buy, sell or hold any security.