$Broadcom(AVGO.US)
🚨 Broadcom (AVGO): Great Quarter But Valuation Is the Real Question!
Broadcom delivered a strong beat. US$29.59B revenue, US$3.32 non-GAAP EPS and lifted its FY26 AI revenue guidance to US$58B. 📈
But there were caveats: Q4 revenue guidance ~US$34.8B (just below US$35B consensus) and gross margin expected to dip to ~73%.
That triggered volatility in after-hours trading. ⚡
📊 Valuation vs Peers ( It Depends on the Metric) :
• Forward P/E: GAAP ~40x, non-GAAP ~31x → Nvidia ~23x, AMD ~80x
• Growth-Adjusted P/S: AVGO 24.7x → Nvidia 14.7x, AMD 31.4x, Marvell 32.0x
In short: Cheaper than AMD & Marvell but pricier than Nvidia. 📉
🔮 The Big Picture: The bull case hinges on AI revenue scaling from US$58B → US$115B → US$230B across FY26–FY28.
At current share price of US$362 , are you paying a fair price for that future growth, or is it already priced in? 🤔
📊 Full breakdown in the infographic — side-by-side comparison, valuation path and key risks!
Opportunity or still too expensive? What’s your take? 👇