Broadcom Valuation
| 1YD Stock | EUR 217.50 9.20 4.42% |
At this time, the firm appears to be undervalued. Broadcom shows a prevailing Real Value of €258.83 per share. The current price of the firm is €217.5. Our model approximates the value of Broadcom from analyzing the firm fundamentals such as Return On Equity of 0.48, profit margin of 0.35 %, and Current Valuation of 234.65 B as well as examining its technical indicators and probability of bankruptcy.
Undervalued
Today
Please note that Broadcom's price fluctuation is very steady at this time. Calculation of the real value of Broadcom is based on 3 months time horizon. Increasing Broadcom's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Broadcom stock is determined by what a typical buyer is willing to pay for full or partial control of Broadcom. Since Broadcom is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Broadcom Stock. However, Broadcom's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 217.5 | Real 258.83 | Hype 217.5 | Naive 224.28 |
The real value of Broadcom Stock, also known as its intrinsic value, is the underlying worth of Broadcom Company, which is reflected in its stock price. It is based on Broadcom's financial performance, growth prospects, management team, or industry conditions. The intrinsic value of Broadcom's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, or news.
Estimating the potential upside or downside of Broadcom helps investors to forecast how Broadcom stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Broadcom more accurately as focusing exclusively on Broadcom's fundamentals will not take into account other important factors: Broadcom Total Value Analysis
Broadcom is presently estimated to have takeover price of 234.65 B with market capitalization of 234.75 B, debt of 39.08 B, and cash on hands of 11.11 B. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Broadcom fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
234.65 B | 234.75 B | 39.08 B | 11.11 B |
Broadcom Investor Information
About 84.0% of the company shares are owned by institutions such as pension funds. The company has Price/Earnings To Growth (PEG) ratio of 0.87. Broadcom recorded earning per share (EPS) of 24.94. The entity last dividend was issued on the 19th of December 2022. The firm had 1:10 split on the 15th of July 2024. Broadcom is not in a good financial situation at the moment. It has a very high risk of going through financial straits in March.Broadcom Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Broadcom has an asset utilization ratio of 45.33 percent. This implies that the Company is making €0.45 for each dollar of assets. An increasing asset utilization means that Broadcom is more efficient with each dollar of assets it utilizes for everyday operations.Broadcom Ownership Allocation
Broadcom holds a total of 416.92 Million outstanding shares. The majority of Broadcom outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to acquire positions in Broadcom to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Broadcom. Please pay attention to any change in the institutional holdings of Broadcom as this could imply that something significant has changed or is about to change at the company. Please note that no matter how many assets the company secures, if the real value of the firm is less than the current market value, you may not be able to make money on it.Broadcom Profitability Analysis
The company reported the revenue of 33.2 B. Net Income was 11.49 B with profit before overhead, payroll, taxes, and interest of 24.95 B.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Broadcom's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Broadcom and how it compares across the competition.
About Broadcom Valuation
The stock valuation mechanism determines Broadcom's current worth on a weekly basis. Our valuation model uses a comparative analysis of Broadcom. We calculate exposure to Broadcom's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Broadcom's related companies.Broadcom Inc. designs, develops, and supplies semiconductor infrastructure software solutions. The company was incorporated in 2018 and is based in San Jose, California. BROADCOM INC operates under Semiconductors classification in Germany and is traded on Frankfurt Stock Exchange. It employs 21000 people.
8 Steps to conduct Broadcom's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Broadcom's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Broadcom's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Broadcom's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Broadcom's revenue streams: Identify Broadcom's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Broadcom's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Broadcom's growth potential: Evaluate Broadcom's management, business model, and growth potential.
- Determine Broadcom's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Broadcom's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Complementary Tools for Broadcom Stock analysis
When running Broadcom's price analysis, check to measure Broadcom's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Broadcom is operating at the current time. Most of Broadcom's value examination focuses on studying past and present price action to predict the probability of Broadcom's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Broadcom's price. Additionally, you may evaluate how the addition of Broadcom to your portfolios can decrease your overall portfolio volatility.
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