AV

Broadcom IncNASDAQ AVGO Stock Report

Last reporting period 03 Nov, 2024

Updated 13 Nov, 2024

Last price

Market cap $B

816.6

Mega

Exchange

XNAS - Nasdaq

View Section: Eyestock Rating

Broadcom Fair Value

AV

The fair market value of AVGO stock is 47.47 USD. Relative to the market price of 173.47 USD Broadcom is overvalued by 74.2%

Eyestock's quantitative valuation approach is based on the method of estimating historical multipliers. To determine whether a stock is undervalued, we compare its current price to our estimated of fair value. The more undervalued a stock is, the more investment is profitable.

Fair Relative Value

Greatly overvalued 74.2%
47.47 USD
AVGO Fair Value
173.47 USD
Market price of AVGO

Broadcom Valuation

Current AVGO share ticker price is 173.47 USD.

The fair value level of 47.47 USD can be considered as an effective entry point for long-term investors to start investing in AVGO stock. For a more in-depth assessment, we provide a minimum value that can be used to increase a stock position and a maximum one that can be used to reduce it.

Price chart is not available

1y
3y
5y
All time
Market price

Current market price

Fair value

Current price is 73% higher its fair value

Min value

Current price is 85% higher its minimum value

Max value

Current price is 58% higher its maximum value

22.12.2024

Market price:

* Eyestock is not operated by a broker, a dealer, or a registered investment adviser. Under no circumstances does any information posted on eyestock.io represent a recommendation to buy or sell a security.

AVGO stock is greatly overvalued

It means the current price may concern as a High Risk Entry Point

Broadcom Inc Stock Valuation Calculator

How do we value a stock?

As fair value, we use the product of the median Price-to-earnings ratios at the end of each reporting period for the last 5 years and earnings per share for the last 12 months. By analogy with the fair value, we calculate the maximum and minimum ones using the corresponding P/E extremums.

1

Maximum P/E over 5 years

57.38

2

Median P/E over 5 years

37.56

3

Minimum P/E over 5 years

20.8

4

Earning per share (last 12 months)

1.26 USD

Maximum value

1

x

4

=

72.51 USD

Fair value

2

x

4

=

47.47 USD

Minimum value

3

x

4

=

26.29 USD

Broadcom Inc price metrics

47.47

Annual return (geometric mean)

41.15

Risk (standard deviation) of returns

β

1.06

Beta (volatility compared to market)

It means that AVGO stock is more volatile than the broader market

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View Section: Profitability