Broadcom Inc.

SNSE:AVGOCL Stock Report

Market Cap: CL$1002.3t

Broadcom Valuation

Is AVGOCL undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of AVGOCL when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
CL$132.29k
Fair Value
71.1% overvalued intrinsic discount
37
Number of Analysts

Below Fair Value: AVGOCL (CLP226310) is trading above our estimate of fair value (CLP132287.53)

Significantly Below Fair Value: AVGOCL is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for AVGOCL?

Key metric: As AVGOCL is barely profitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for AVGOCL. This is calculated by dividing AVGOCL's market cap by their current revenue.
What is AVGOCL's PS Ratio?
PS Ratio20.6x
SalesUS$51.57b
Market CapUS$1.06t

Price to Sales Ratio vs Peers

How does AVGOCL's PS Ratio compare to its peers?

The above table shows the PS ratio for AVGOCL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average22.6x
2330 Taiwan Semiconductor Manufacturing
9.8x15.9%NT$28.4t
ARM Arm Holdings
43x18.3%US$162.7b
NVDA NVIDIA
30.3x22.5%US$3.4t
AMD Advanced Micro Devices
7.2x15.1%US$185.9b
AVGOCL Broadcom
20.6x12.9%CL$1.1t

Price-To-Sales vs Peers: AVGOCL is good value based on its Price-To-Sales Ratio (20.6x) compared to the peer average (22.6x).

Price to Sales Ratio vs Industry

How does AVGOCL's PS Ratio compare vs other companies in the Global Semiconductor Industry?

146 CompaniesPrice / SalesEstimated GrowthMarket Cap
AVGOCL 20.6xIndustry Avg. 3.3xNo. of Companies174PS03.26.49.612.816+
146 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: AVGOCL is expensive based on its Price-To-Sales Ratio (20.6x) compared to the Global Semiconductor industry average (3.3x).

Price to Sales Ratio vs Fair Ratio

What is AVGOCL's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

AVGOCL PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio20.6x
Fair PS Ration/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate AVGOCL's Price-To-Sales Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst AVGOCL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentCL$226,310.00
CL$230,343.73
+1.8%
12.3%CL$282,837.00CL$161,782.76n/a37
Feb ’26CL$226,310.00
CL$239,113.17
+5.7%
13.1%CL$295,173.00CL$168,838.96n/a38
Jan ’26CL$172,900.00
CL$234,980.19
+35.9%
13.9%CL$297,204.00CL$170,000.69n/a37
Dec ’25CL$158,290.00
CL$189,593.01
+19.8%
9.4%CL$235,171.20CL$151,881.40n/a37
Nov ’25CL$165,060.00
CL$179,975.05
+9.0%
9.7%CL$223,992.00CL$144,661.50n/a37
Oct ’25CL$160,902.00
CL$172,493.19
+7.2%
9.5%CL$216,348.00CL$139,724.75n/a37
Sep ’25CL$1,591,900.00
CL$179,378.52
-88.7%
9.4%CL$223,922.40CL$144,616.55n/a38
Aug ’25CL$1,591,900.00
CL$182,666.00
-88.5%
9.2%CL$227,179.20CL$146,719.90n/a38
Jul ’25CL$159,190.00
CL$177,026.17
+11.2%
9.5%CL$203,374.95CL$141,889.50n/a37
Jun ’25n/a
CL$139,854.41
0%
9.8%CL$157,902.88CL$96,440.10n/a34
May ’25n/a
CL$144,962.69
0%
11.2%CL$166,117.60CL$101,457.29n/a33
Apr ’25n/a
CL$145,737.78
0%
11.5%CL$167,347.40CL$102,208.40n/a32
Mar ’25n/a
CL$120,370.88
0%
14.2%CL$150,088.05CL$91,989.45n/a30
Feb ’25n/a
CL$107,061.11
0%
9.8%CL$127,920.10CL$86,802.93CL$226,310.0031
Jan ’25n/a
CL$95,600.14
0%
8.9%CL$115,862.50CL$82,440.63CL$172,900.0030
Dec ’24n/a
CL$86,443.55
0%
8.5%CL$104,126.40CL$72,888.48CL$158,290.0027
Nov ’24n/a
CL$90,410.52
0%
5.9%CL$98,043.75CL$76,100.63CL$165,060.0027
Oct ’24n/a
CL$87,003.73
0%
5.7%CL$94,624.43CL$73,446.58CL$160,902.0027
Sep ’24n/a
CL$80,412.53
0%
9.4%CL$89,664.75CL$51,237.00CL$1,591,900.0026
Aug ’24n/a
CL$72,296.48
0%
9.3%CL$85,543.50CL$48,882.00CL$1,591,900.0025
Jul ’24n/a
CL$70,202.85
0%
10.2%CL$84,444.15CL$48,253.80CL$159,190.0025
Jun ’24n/a
CL$58,338.75
0%
11.6%CL$74,448.63CL$48,291.00n/a25
May ’24n/a
CL$55,852.02
0%
7.0%CL$62,277.45CL$48,214.80n/a25
Apr ’24n/a
CL$55,740.81
0%
6.8%CL$62,434.00CL$48,336.00n/a24
Mar ’24n/a
CL$53,427.27
0%
8.1%CL$62,823.83CL$43,774.02n/a24
Feb ’24n/a
CL$52,741.25
0%
8.1%CL$62,267.38CL$43,386.30n/a23
Analyst Price Target
Consensus Narrative from 37 Analysts
CL$243.86k
Fair Value
7.2% undervalued intrinsic discount
37
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/02/21 15:57
End of Day Share Price 2025/02/20 00:00
Earnings2024/11/03
Annual Earnings2024/11/03

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Broadcom Inc. is covered by 86 analysts. 40 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Brett SimpsonArete Research Services LLP
James KelleherArgus Research Company
Tristan GerraBaird