NASDAQ: AVGO · Semiconductors
Broadcom Inc.
Broadcom designs semiconductors — custom AI accelerators (XPUs), Ethernet switching and networking chips, wireless, broadband, and storage chips — and sells infrastructure software led by VMware, which it acquired in November 2023. Fiscal 2025 revenue rose 24% to $63.9 billion: semiconductor solutions $36.9 billion and infrastructure software $27.0 billion. One customer accounted for 32% of revenue. AI demand accelerated in fiscal 2026: Q3 revenue rose 86% to $29.6 billion, including $16.7 billion of AI semiconductor revenue, and Broadcom guided Q4 revenue to about $34.8 billion.
Last updated
Analysis last edited: November 6, 2026 · Financial data fetched: October 17, 2026 10:20 (SEC EDGAR) · Source 10-K filed: December 18, 2025
Built on10-K FY2025 · filed 2025-12-1810-Q (quarter ended 2026-08-02) · filed 2026-09-10
Next update expectedAfter FY2026’s 10-K is filed (roughly 60–90 days after fiscal year end (sooner for larger filers)), financials and analysis will be refreshed.
01
At a glanceFrom SEC data
Eight headline measures, each placed among the companies covered on this site.
- Revenue growthCAGRSmooths out year-to-year swings into "grew X% a year on average." Makes growth pace comparable across companies of very different sizes.
- 21.7%
- Operating marginOperating marginHow many cents of operating profit are left per dollar of revenue. Reflects pricing power and cost structure.
- 39.9%
- ROIC minus WACCROIC − WACC spreadThe difference between ROIC and WACC. Consistently positive implies value creation; consistently negative implies value destruction.
- +0.6 pts
- Net debt ÷ EBITDAEBITDAOperating income with D&A added back. A rough proxy for cash-generating power that’s less distorted by capital intensity, depreciation method, or financing/tax differences than net income.
- 2.0x
- Cash conversionOperating CF ÷ net income (cash conversion)How much of reported profit shows up as actual cash. 1x or higher means profit is backed by cash.
- 1.19x
- Dividend raisesDividend per shareTotal annual dividend paid per share (sum of all declared payments for the year).
- 5 of 5
- P/E todayP/EShare price ÷ EPS — how many years of current earnings the stock price represents. This site uses the period-end figure as reported in the filing.
- 41.1x
- Betaβ (beta)How much a stock moves, on average, for a 1% move in the overall market. Above 1 means more volatile than the market, which raises the return shareholders require. This site computes it from about 2.5 years (roughly 130 weeks) of weekly returns, built from Yahoo Finance daily prices, regressed against an S&P 500 ETF (SPY) as the market proxy, then applies the well-known long-run mean-reversion adjustment (0.67 × β + 0.33) as the WACC default.
- 2.02
Higher than 88% of 372 non-financial companies
Average yearly growth over the years shown
Higher than 91% of 311 non-financial companies
Latest fiscal year (FY2025)
Higher than 36% of 311 non-financial companies
Return on capital above (or below) its estimated cost
Higher than 53% of 304 non-financial companies
Below 0 means more cash than debt
Higher than 22% of 349 non-financial companies
Operating cash flow ÷ net income
Years the dividend per share rose, of the last 5
Latest close 2026-11-04; trailing 12 months to 2026-08-02
Above 1 = moves more than the market
Each marker shows where this company sits among the non-financial companies covered on this site, not all listed companies (left = lowest, right = highest). A high position is not automatically good — for net debt ÷ EBITDA, higher means more debt. Details and formulas are in the sections below and in How to read this.
02
Valuation todayFrom SEC data
Price-based measures at the latest close, next to the same measures at the last fiscal year-end.
Share price$332.02close on 2026-11-04
Market cap$1,574.11B
- P/EP/EShare price ÷ EPS — how many years of current earnings the stock price represents. This site uses the period-end figure as reported in the filing. today
- 41.1x
- P/BP/BShare price ÷ book value per share. Below 1x means the market values the company below its accounting net worth. This site uses the closing price nearest the fiscal year-end and highlights sub-1x readings. today
- 19.4x
- EV/EBITDAEV/EBITDAEnterprise value (≈ market cap + interest-bearing debt − cash) as a multiple of EBITDA — roughly, "how many years of EBITDA to buy the whole company." Lower is generally viewed as cheaper, and it’s more comparable than P/E across companies with different debt loads or depreciation policies. This site excludes noncontrolling interests from the EV calculation. today
- 62.4x
- FCF yieldFree cash flow (FCF)Operating CF minus capital expenditures — cash generated by the business after funding its own investment, available for dividends, buybacks, acquisitions, or debt paydown. Acquisitions and securities purchases (also in investing CF) are not subtracted, so FCF can be positive in a year when total investing CF exceeds operating CF. today
- 1.7%
- Dividend yieldDividend per shareTotal annual dividend paid per share (sum of all declared payments for the year). today
- 0.7%
At FY2025 year-end: 77.5x
Earnings: trailing 12 months to 2026-08-02
At FY2025 year-end: 21.6x
Book value at FY2025 year-end
At FY2025 year-end: 69.2x
EBITDA for FY2025
At FY2025 year-end: 1.5%
Free cash flow for FY2025
Dividends per share for FY2025
“Today” uses the latest closing price (2026-11-04, Yahoo Finance daily closing prices) and shares outstanding at the last fiscal year-end. The rest of this page — including the financial table and ROIC vs. WACC — uses fiscal year-end prices. These are reference figures, not a judgment of whether the stock is cheap or expensive.
03
What changed since last earningsFrom SEC data
The latest reported quarter against the same quarter a year earlier, the balance sheet against the previous quarter-end, and what management said in its latest earnings release.
Quarter ended Aug 2, 2026.
- Revenue$15.95B → $29.59B (vs. a year earlier)↑ +85.5%$15.95B → $29.59B (vs. a year earlier)
- Operating margin36.9% → 53.9% (vs. a year earlier)↑ +17.0 pts36.9% → 53.9% (vs. a year earlier)
- Net income$4.14B → $13.09B (vs. a year earlier)↑ +216.1%$4.14B → $13.09B (vs. a year earlier)
- Diluted EPS$0.85 → $2.68 (vs. a year earlier)↑ +215.3%$0.85 → $2.68 (vs. a year earlier)
- Cash$19.63B → $23.98B (vs. previous quarter-end)↑ +22.1%$19.63B → $23.98B (vs. previous quarter-end)
- Long-term debt$64.91B → $59.42B (vs. previous quarter-end)↓ −8.5%$64.91B → $59.42B (vs. previous quarter-end)
Source: Form 10-Q ↗ (SEC XBRL). Long-term debt is the tagged long-term debt figure and leaves out short-term borrowings.
From the earnings release of Sep 2, 2026.
Management outlook • Issued
Expects Q4 revenue of about $34.8B, up 93%. Source sentence
Fourth quarter fiscal year 2026 revenue guidance of approximately $34.8 billion, an increase of 93 percent from the prior year period
Key changes
Q3 AI semiconductor revenue $16.7B, up 221%. Source sentence
Q3 AI semiconductor revenue of $16.7 billion grew 221% year-over-year, and 54% quarter-over-quarter,” said Hock Tan, President and CEO of Broadcom Inc.
Q3 revenue up 86% to $29.6B. Source sentence
We delivered non-GAAP operating income growth of 92% year-over-year, as consolidated revenue grew 86% year-over-year to $29.6 billion,” said Amie Thuener, CFO of Broadcom Inc.
Written by AI. A line appears only if its figures and direction match the quoted sentence, which an automatic check confirms. Companies' outlooks are their own and may not be met. Read the release ↗
04
Company profileFrom SEC dataShow
- Legal name
- Broadcom Inc.
- Headquarters
- PALO ALTO, CA
- Fiscal year end
- 11/01
- Exchange & ticker
- NASDAQ: AVGO
- Industry
- Semiconductors
- CIK
- 1730168
- Website
- https://www.broadcom.com/ ↗
Workforce (as of FY2025 year-end)
Employees
33,000
Source: Form 10-K (FY2025) cover page and business description
05
Earnings calendarFrom SEC dataShow
When the company reports each quarter: the quarter-end date, the day results were released, and when the 10-Q or 10-K was filed.
Next report
Q4 FY2026
Quarter end: November 2026. In past years, Q4 results were released 39 days after quarter end (Dec 11, 2025; Dec 12, 2024; Dec 7, 2023). No date has been announced in the sources this site uses.
Reporting pattern
- Fiscal year ends around November 1.
- Reports four times a year: three quarterly reports (10-Q) and an annual report (10-K) for Q4.
- Earnings releases came 31–39 days after quarter end over the last 12 quarters.
| Quarter | Quarter ended | Earnings release (8-K) | Report filed (10-Q / 10-K) |
|---|---|---|---|
| Q3 FY2026 | Aug 2, 2026 | Sep 2, 2026 (+31 days) | Sep 10, 2026 10-Q (+39 days) |
| Q2 FY2026 | May 3, 2026 | Jun 3, 2026 (+31 days) | Jun 9, 2026 10-Q (+37 days) |
| Q1 FY2026 | Feb 1, 2026 | Mar 4, 2026 (+31 days) | Mar 11, 2026 10-Q (+38 days) |
| Q4 FY2025 | Nov 2, 2025 | Dec 11, 2025 (+39 days) | Dec 18, 2025 10-K (+46 days) |
| Q3 FY2025 | Aug 3, 2025 | Sep 4, 2025 (+32 days) | Sep 10, 2025 10-Q (+38 days) |
| Q2 FY2025 | May 4, 2025 | Jun 5, 2025 (+32 days) | Jun 11, 2025 10-Q (+38 days) |
| Q1 FY2025 | Feb 2, 2025 | Mar 6, 2025 (+32 days) | Mar 12, 2025 10-Q (+38 days) |
| Q4 FY2024 | Nov 3, 2024 | Dec 12, 2024 (+39 days) | Dec 20, 2024 10-K (+47 days) |
| Q3 FY2024 | Aug 4, 2024 | Sep 5, 2024 (+32 days) | Sep 11, 2024 10-Q (+38 days) |
| Q2 FY2024 | May 5, 2024 | Jun 12, 2024 (+38 days) | Jun 13, 2024 10-Q (+39 days) |
| Q1 FY2024 | Feb 4, 2024 | Mar 7, 2024 (+32 days) | Mar 14, 2024 10-Q (+39 days) |
| Q4 FY2023 | Oct 29, 2023 | Dec 7, 2023 (+39 days) | Dec 14, 2023 10-K (+46 days) |
Source: SEC EDGAR filing history. Release dates are the dates the earnings release was furnished to the SEC on Form 8-K (Item 2.02), which is normally the day results are announced. For a quarter whose 10-Q or 10-K isn’t filed yet, the date is the latest Item 2.02 8-K since the previous report, which may be a preliminary or other results-related update. Fiscal years are labeled by the calendar year in which they end.
06
Flagship products & servicesSite analysis
Semiconductor solutions
AI and networking
Examples: Custom XPUs, Ethernet switching and routing silicon, NICs, PHYs, optical components
Semiconductor solutions
Wireless, broadband, storage, industrial
Examples: RF and connectivity chips, set-top box and broadband chips, storage controllers
Infrastructure software
Private cloud
Examples: VMware Cloud Foundation (VCF)
Infrastructure software
Mainframe, cybersecurity, enterprise, FC SAN
Examples: CA mainframe software, Symantec security
From the FY2025 Form 10-K, Item 1.
U.S. and worldwide share of flagship products/services
The filings reviewed give no market share figure for the company's products or services.
Reviewed: Form 10-K (FY2025) · Form 10-Q (quarter ended 2026-08-02)
07
Recent strategic focusSite analysis
Fiscal 2025 from the 10-K, and fiscal 2026 events from 8-Ks.
Q3 FY2026 results
Revenue $29.6B (+86%), GAAP operating income $16.0B, free cash flow $13.7B; Q4 revenue guidance about $34.8B (+93%).
Source: Q3 FY2026 earnings release
Google and Anthropic
A long-term custom TPU agreement with Google, and an expanded collaboration giving Anthropic about 3.5GW of TPU-based compute through Broadcom from 2027.
Source: 8-K filed 2026-04-06
Apple agreements
Multi-year custom ASIC agreements through 2031.
Source: 8-K filed 2026-07-06
CFO change
Kirsten Spears retired; Amie Thuener became CFO on June 12, 2026.
Source: 8-K filed 2026-04-02
Capex ÷ D&A (FY2025)
1.09x
Roughly matches depreciation — mostly maintenance/replacement
formulacapital expenditures ÷ depreciation & amortization
e.g.$623M ÷ $574M = 1.09x
termsCapital expenditures (capex) · Depreciation & amortization (D&A)
R&D-to-revenue ratio (FY2025)
17.2%
formularesearch & development expense ÷ revenue × 100
e.g.$10,977M ÷ $63,887M × 100 = 17.2%
M&A spend (6-year total)
$37.16B
Latest year: $0
Cash-flow-statement spending on acquisitions, net of cash acquired
Where the money goes, over time
Unit: $M. Capex went from $463M in FY2020 to $623M in FY2025
- Capex
- R&D
- M&A spend
formulacapital expenditures ÷ depreciation & amortization
termsCapital expenditures (capex) · Depreciation & amortization (D&A)
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-12-18
08
Key figures at a glanceFrom SEC data
FY2020–FY2025, 6 years.
Revenue (FY2025)
$63.89B
As reported in the 10-K
Revenue CAGR (5 years)
+21.7%▲favorable
formula(last-period revenue ÷ first-period revenue) ^ (1 ÷ years) − 1
e.g.($63,887M ÷ $23,888M) ^ (1÷5) − 1 = 21.7%
termsCAGR · ^ (exponent) · Revenue (net sales)
Operating margin (FY2025)
39.9%▲favorable
+23.1pt vs. 5 years ago
formulaoperating income ÷ revenue × 100
e.g.$25,484M ÷ $63,887M × 100 = 39.9%
ROE (FY2025)
31.0%▲favorable
6-year average: 32.1%
As reported in the 10-K
P/B (FY2025 end)
21.56x
formulafiscal year-end closing price ÷ book value per share
e.g.$369.63 ÷ $17.15 = 21.56x
Period-end (fiscal year-end) value, not today's P/B
EV/EBITDA (FY2025 end)
69.2x
formula(market cap + interest-bearing debt − cash and equivalents) ÷ (operating income + depreciation & amortization)
e.g.($1,752,416M + $67,120M − $16,178M) ÷ ($25,484M + $574M) = 69.2x
termsEV/EBITDA · Market capitalization · Interest-bearing debt · EBITDA · Depreciation & amortization (D&A)
Period-end (fiscal year-end) value, not today's multiple
- ▲
Revenue grew +21.7% a year over 5 years (strong growth)
From $23.89B in FY2020 to $63.89B in FY2025. The annualized rate (CAGR) makes it possible to compare growth pace across companies of different sizes.
- ▲
Operating margin improved: 16.8% → 39.9%
How much operating profit is left per $100 of revenue. It moved +23.1 points over 5 years — pricing power, cost control, and product mix all show up here.
- ―
Equity ratio is 47.5% (a middling level)
The share of total assets funded by equity rather than debt. 50%+ is often read as low bankruptcy risk, though the right level varies by industry (real estate and leasing run lower, for instance).
- ▲
Free cash flow was positive in 6 of 6 years
Operating cash flow minus capital expenditures: the cash left over after funding the business’s own investment, available for dividends, buybacks, acquisitions, or debt paydown. A negative year can mean heavy investment, or weak core earnings — worth distinguishing.
- ▲
ROE averaged 32.1% over 6 years (latest: 31.0%)
How much profit was generated on shareholders’ equity. Roughly 10%+ is often cited as solid for a U.S. company, though this varies a lot by industry and capital intensity.
09
Business modelSite analysis
Business Model Canvas
The whole company in nine blocks. Left side: how it delivers (partners, activities, resources, costs). Right side: who it serves and how it earns. Every entry comes from the company’s filings shown on this page.
08 · who helps
Key partners
- Google
- Anthropic
- Apple
- TSMC
07 · what it does
Key activities
Semiconductor solutions
Designing custom AI accelerators (XPUs) for hyperscalers- Ethernet switching, routing, NICs, and optical components
Infrastructure software
Licensing software and providing support
06 · what it draws on
Key resources
Semiconductor solutions
Outsourced wafer manufacturing, mainly at TSMC- About 33,000 employees, 57% in R&D (company-wide)
Infrastructure software
Software portfolios from CA, Symantec Enterprise Security, and VMware
02 · why customers buy
Value propositions
- Complex digital and mixed-signal chips from its own R&D, plus infrastructure software (VMware Cloud Foundation, mainframe, security).
04 · how it keeps them
Customer relationships
- Enterprise-wide software licenses, which Broadcom says reduce complexity and ease renewals.
- Custom-chip work with hyperscalers.
03 · how it reaches them
Channels
- Direct sales force.
- A select network of distributors and channel partners (48% of FY2025 net revenue went through distributors).
01 · who it serves
Customer segments
Semiconductor solutions
Hyperscalers and companies with AI frontier models- OEMs, contract manufacturers, and distributors
Infrastructure software
Most of the Fortune 500 and many government agencies
09 · where money goes
Cost structure
FY2025, share of revenue ($63.89B)
- Cost of revenue32.2%
- Research & development17.2%
- Selling, general & administrative6.6%
- Other operating costs4.1%
Operating profit left: 39.9% of revenue. Depreciation & amortization (inside the costs above): $574M. Capital spending: $623M.
Source: Form 10-K income statement and cash-flow statement (SEC XBRL).
05 · how money comes in
Revenue streams
Semiconductor solutions
Product salesInfrastructure software
Software licenses, subscriptions, and support
Value propositions, channels and customer relationships: Form 10-K (FY2025)
Semiconductor solutions
Fabless design of complex digital and mixed-signal chips, network interface cards, switches, and in some cases full AI racks, sold into networking, wireless, server and storage, broadband, and industrial markets.
01 what it draws on
Inputs & resources
- Outsourced wafer manufacturing, mainly at TSMC
- About 33,000 employees, 57% in R&D (company-wide)
02 what it does
Activities
- Designing custom AI accelerators (XPUs) for hyperscalers
- Ethernet switching, routing, NICs, and optical components
- Wireless, broadband, storage, and industrial chips
03 who it serves
Customers
- Hyperscalers and companies with AI frontier models
- OEMs, contract manufacturers, and distributors
04 how money comes in
How it earns
- Product sales
Semiconductor solutions: how it makes money
- Revenue $36.9B (+22%) and operating income $21.2B in fiscal 2025.
- Growth driven by custom AI accelerators and AI networking.
Infrastructure software
Private cloud (VMware Cloud Foundation), mainframe, cybersecurity, enterprise software, and Fibre Channel SAN management for large enterprises and governments.
01 what it draws on
Inputs & resources
- Software portfolios from CA, Symantec Enterprise Security, and VMware
02 what it does
Activities
- Licensing software and providing support
03 who it serves
Customers
- Most of the Fortune 500 and many government agencies
04 how money comes in
How it earns
- Software licenses, subscriptions, and support
Infrastructure software: how it makes money
- Revenue $27.0B (+26%) and operating income $20.8B in fiscal 2025, helped by strong demand for VCF.
Government & regulation around the business
Non-market factors from the company’s filings: what governments and regulators fund, buy, set, approve or restrict, and which part of the flow above each one touches.
Broadcom manages tariffs and U.S.–China trade tensions through its Asia-based supply chain.
Trade & export rules
Tariffs and U.S.–China tensions
Further tariffs and trade tensions, especially with China, could slow demand; Broadcom manages supply-chain availability and costs to mitigate tariff effects.
Constrains the businessTouches: Inputs & resources · CustomersSource: Form 10-K (FY2025)
Revenue by segment (FY2025)
Unit: $M — bar length = revenue, (%) = share of total company revenue, margin = segment profit ÷ segment revenue × 100
Semiconductor solutions
36,858 (58%)profit 21,232 · margin 57.6%
Infrastructure software
27,029 (42%)profit 20,765 · margin 76.8%
Source: Form 10-K (FY2025) — MD&A, segment results Profit is segment operating income; unallocated expenses (amortization of acquired intangibles, stock compensation, restructuring, and acquisition costs) were −$16.5B.
10
Where it earnsSite analysis
Many U.S.-listed companies earn most of their revenue outside the U.S. — this breaks down revenue by country/region so it's clear where the business actually makes its money.
Largest market (FY2025)
Other countries — 30% of revenue
Revenue by country / region (FY2025)
Unit: $M — bar length = revenue, (%) = share of total company revenue
United States
16,506 (26%)China (incl. Hong Kong)
11,155 (17%)Singapore
10,796 (17%)Taiwan
6,451 (10%)Other countries
18,979 (30%)
Source: Form 10-K (FY2025) — Note 13, geographic information Based on shipment or delivery location, not where end customers are; Broadcom believes much of what ships to China ends up in devices sold in the U.S. and Europe.
11
Contract structureSite analysisShow
Short-term or spot sales carry different earnings quality than long-term or auto-renewing contracts — this shows how the company actually contracts with its customers.
Semiconductors are sold through direct sales and distributors (48% of revenue). Software arrangements give customers rights to use software plus support; some can be cancelled for convenience. In 2026 Broadcom signed multi-year supply agreements with Google and Apple.
Semiconductor product sales
$36.9B (58% of fiscal 2025 revenue)
Typical term: Orders from OEMs, CMs, hyperscalers, and distributors
Distributors accounted for 48% of total revenue.
- Multi-year / recurring
Infrastructure software
$27.0B (42%)
Typical term: Licenses, subscriptions, and support; some arrangements cancellable for convenience
- long
Google TPU long-term agreement
Not disclosed
Typical term: Custom TPUs and AI rack components through up to 2031
Signed 2026.
- long
Apple custom ASIC agreements
Not disclosed
Typical term: Multi-year agreements through 2031
Signed 2026.
Source: Form 10-K (FY2025) — Item 1; Risk Factors; Critical audit matter
12
Alliances & capital tiesSite analysisShow
Equity stakes, joint ventures, and strategic partnerships disclosed across the 10-K, 8-Ks, and proxy statement.
Supply / distribution agreement
Google
A long-term agreement (2026) for Broadcom to develop and supply custom TPUs for Google's future generations, plus a supply assurance agreement for networking and other components in Google's next-generation AI racks through up to 2031.
Source: 8-K filed 2026-04-06
Supply / distribution agreement
Anthropic
Broadcom, Google, and Anthropic expanded a collaboration under which Anthropic, beginning in 2027, will access about 3.5 gigawatts of next-generation TPU-based compute through Broadcom. The 8-K says consumption depends on Anthropic's continued commercial success.
Source: 8-K filed 2026-04-06
Supply / distribution agreement
Apple
Expanded collaboration through 2031: new multi-year agreements for Broadcom to develop and supply custom ASICs for multiple generations of Apple products.
Source: 8-K filed 2026-07-06
Supply / distribution agreement
TSMC
Most front-end wafer manufacturing is outsourced to external foundries, including TSMC.
13
Customers & suppliersSite analysis
Who the company sells to and buys from. Companies rarely name either, so named counterparties come only from the company's own filings and press releases; otherwise this lists the concentration figures the 10-K discloses.
Customers
Hyperscalers and AI frontier model companies, OEMs, contract manufacturers, distributors, and large enterprises and governments for software.
Named by the company
- Google — Long-term custom TPU and AI rack supply agreements through up to 2031.8-K filed 2026-04-06
- Apple — Multi-year custom ASIC agreements through 2031.8-K filed 2026-07-06
What the filings disclose
- One customer accounted for 32% of fiscal 2025 revenue (28% in 2024, 21% in 2023); the 10-K doesn't name it. (Form 10-K (FY2025), Note 13)
- The top five end customers accounted for about 40% of revenue; distributors for 48%. (Form 10-K (FY2025), Risk Factors)
Suppliers
External foundries and assembly and test contractors.
Named by the company
None named in the 10-K or the company’s press releases.
What the filings disclose
- Assembly and test contractors include TSMC, ASE, Foxconn, Amkor, and SPIL. (Form 10-K (FY2025), Item 1)
14
Competitors & peersSite analysis
Competitors the 10-K names, and the peer group the company itself chose in its proxy statement. Nothing here is this site's own pick.
Broadcom's 10-K describes highly competitive markets: integrated device manufacturers, fabless semiconductor companies, and large OEMs' internal teams in semiconductors, and large enterprise software vendors and niche players in software. It doesn't name specific competitors.
Competitors named in the 10-K
Broadcom's 10-K doesn't name competitors.
Peer group the company chose
Fiscal 2025 compensation peer group, from the proxy statement. Peers are companies the board considers comparable — for example when setting executive pay — not necessarily direct competitors.
Semiconductor-related and other technology companies of comparable scale, generally 0.25x–4x Broadcom's revenue and market capitalization. Alphabet and Apple were added and Mastercard and Visa removed for fiscal 2025.
- Accenturesite ↗
- Adobesite ↗
- Alphabet (Google)site ↗
- Advanced Micro Devicessite ↗
- Applesite ↗
- Applied Materialssite ↗
- Cisco Systemssite ↗
- IBMsite ↗
- Intelsite ↗
- Intuitsite ↗
- Meta Platformssite ↗
- NVIDIAsite ↗
- Oraclesite ↗
- Qualcommsite ↗
- Salesforcesite ↗
- Texas Instrumentssite ↗
Added for fiscal 2025
Source: Proxy statement (DEF 14A, filed 2026-03-02) — Compensation Peer GroupCompany names link to this site’s analysis where one exists; “site ↗” opens the company’s own website.
15
M&A historySite analysisShow
Companies acquired over the last five years, plus older large acquisitions that still anchor a current business — what each was bought to do, and what happened afterward. From the 10-K, 8-Ks, and the company's press releases.
Broadcom has grown through large acquisitions, most recently VMware.
Cash spent on acquisitions, FY2020–FY2025: $37.16B
Nov 2023
VMware
About $30.8B in cash plus 544 million Broadcom shares (split-adjusted), valued at $53.4B
Private cloud and virtualization software.
- Stated purpose (company)
- Not stated.
Source: Form 10-K (FY2025) — MD&A
16
Six years of financialsFrom SEC data
Each chart's axis holds a single unit (never mixing dollars, %, and $/share). The table's per-period header links to the filing the numbers came from.
Revenue over time
Unit: $M
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-12-18
Profit over time (operating → net)
Unit: $M
- Operating income
- Pretax income
- Net income
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-12-18
Margins over time
Unit: %
- Operating margin
- Net margin
formulaoperating income ÷ revenue × 100
formulanet income attributable to the company ÷ revenue × 100
Cash flow over time
Unit: $M (below zero = cash went out)
- Operating CF
- Investing CF
- Free CF
formulacash flow from operations − capital expenditures
termsFree cash flow (FCF) · Cash flow from operations (operating CF) · Capital expenditures (capex)
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-12-18
Financial stability & capital efficiency
Unit: %
- Equity ratio
- ROE
formulatotal equity ÷ total assets × 100 (as reported in the 10-K)
termsStockholders’ equity · Total assets
formulanet income ÷ average equity (beginning + ending, ÷2) × 100 (as reported in the 10-K)
termsNet income (attributable to the company) · Stockholders’ equity
Earnings per share (EPS) and dividend per share
Unit: $
- EPS
- Dividend per share
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-12-18
| Line item | FY202010-K on EDGAR ↗ | FY202110-K on EDGAR ↗ | FY202210-K on EDGAR ↗ | FY202310-K on EDGAR ↗ | FY202410-K on EDGAR ↗ | FY202510-K on EDGAR ↗ |
|---|---|---|---|---|---|---|
| Income statement ($M) | ||||||
| Revenue | 23,888 | 27,450 | 33,203 | 35,819 | 51,574 | 63,887 |
| Operating income | 4,014 | 8,519 | 14,225 | 16,207 | 13,463 | 25,484 |
| Pretax income | 2,443 | 6,765 | 12,434 | 15,097 | 9,916 | 22,729 |
| Net income (attributable) | 2,960 | 6,736 | 11,495 | 14,082 | 5,895 | 23,126 |
| Revenue growthcalc(this year’s revenue − last year’s revenue) ÷ last year’s revenue × 100 | — | 14.9% | 21.0% | 7.9% | 44.0% | 23.9% |
| Operating margincalcoperating income ÷ revenue × 100 | 16.8% | 31.0% | 42.8% | 45.2% | 26.1% | 39.9% |
| Net margincalcnet income attributable to the company ÷ revenue × 100 | 12.4% | 24.5% | 34.6% | 39.3% | 11.4% | 36.2% |
| Balance sheet ($M) | ||||||
| Total assets | 75,933 | 75,570 | 73,249 | 72,861 | 165,645 | 171,092 |
| Total equity | 23,874 | 24,962 | 22,709 | 23,988 | 67,678 | 81,292 |
| Interest-bearing debtSum of short- and long-term borrowings, notes/bonds payable | 40,994 | 39,665 | 39,075 | 37,621 | 69,847 | 67,120 |
| Equity ratio | 31.4% | 33.0% | 31.0% | 32.9% | 40.9% | 47.5% |
| ROE | 12.4% | 27.6% | 48.2% | 60.3% | 12.9% | 31.0% |
| Cash flow ($M) | ||||||
| Operating CF | 12,061 | 13,764 | 16,736 | 18,085 | 19,962 | 27,537 |
| Investing CF | -11,109 | -245 | -667 | -689 | -23,070 | -580 |
| Financing CF | 1,611 | -8,974 | -15,816 | -15,623 | -1,733 | -20,127 |
| Free cash flowcalccash flow from operations − capital expenditures | 11,598 | 13,321 | 16,312 | 17,633 | 19,414 | 26,914 |
| Cash and equivalents | 7,618 | 12,163 | 12,416 | 14,189 | 9,348 | 16,178 |
| Per share & other | ||||||
| EPS ($) | 0.63 | 1.50 | 2.65 | 3.30 | 1.23 | 4.77 |
| BVPS ($) | 5.87 | 6.04 | 5.43 | 5.80 | 14.44 | 17.15 |
| Dividend per share ($) | 1.30 | 1.44 | 1.64 | 1.84 | 2.11 | 2.36 |
| Payout ratiocalcdividend per share ÷ diluted EPS × 100 | 205.4% | 96.0% | 61.9% | 55.8% | 171.1% | 49.5% |
| P/E (x) | 55.2 | 35.4 | 17.9 | 25.4 | 137.3 | 77.5 |
| EV/EBITDA (x)calc(market cap + interest-bearing debt − cash and equivalents) ÷ (operating income + depreciation & amortization) | 38.3 | 27.3 | 15.2 | 22.2 | 60.6 | 69.2 |
| P/B (x)calcfiscal year-end closing price ÷ book value per share | 5.96 | 8.80 | 8.70 | 14.47 | 11.70 | 21.56 |
P/B and EV/EBITDA use each period’s period-end (fiscal year-end) figures, not the current share price. Figures without a "calc" tag are as reported in the Form 10-K (the consolidated financial statements and, for older years, earlier 10-Ks), pulled automatically from SEC EDGAR. Where a later filing restated a prior period, the restated figure is used.
Last 8 quarters
Three-month figures from 10-Q filings. Change is versus the same quarter a year earlier. Newest quarter on top.
| Quarter ended | Revenue | Operating income | Net income | Diluted EPS |
|---|---|---|---|---|
| 2026-08-02 | $29.59B+85.5% | $15.96B+171.0% | $13.09B+216.1% | $2.68 |
| 2026-05-03 | $22.19B+47.9% | $10.79B+85.1% | $9.31B+87.5% | $1.91 |
| 2026-02-01 | $19.31B+29.5% | $8.56B+36.8% | $7.35B+33.5% | $1.50 |
| 2025-11-02 † | $18.02B+28.2% | $7.51B+62.3% | $8.52B+97.0% | — |
| 2025-08-03 | $15.95B | $5.89B | $4.14B | $0.85 |
| 2025-05-04 | $15B | $5.83B | $4.97B | $1.03 |
| 2025-02-02 | $14.92B | $6.26B | $5.5B | $1.14 |
| 2024-11-03 † | $14.05B | $4.63B | $4.32B | — |
† Fourth quarter = the 10-K’s annual figure minus the first three quarters; quarterly EPS isn’t derived this way because share counts change during the year.
17
Is ROIC above WACC?From SEC data
ROIC (the return on money invested in the business) above WACC (the cost of raising that money) means the company is creating value. WACC is an estimate, so its assumptions can be adjusted below.
ROIC (FY2025)
16.2%
formulaoperating income × (1 − tax rate) ÷ invested capital × 100 *invested capital = interest-bearing debt + total equity (average of beginning/ending)
e.g.$25,484M × (1 − 9%) ÷ $142,969M × 100 = 16.2%
termsOperating income · Effective tax rate · Invested capital · Interest-bearing debt · Total equity
WACC (this site’s estimate)
15.63%
formulacost of equity × equity weight + cost of debt × (1 − tax rate) × debt weight
e.g.Equity weight: $1,752.42B ÷ ($1,752.42B + $67.12B) = 96.3%
e.g.Debt weight: $67.12B ÷ ($1,752.42B + $67.12B) = 3.7%
e.g.WACC: 16.1% × 96.3% + 4.8% × (1 − 9%) × 3.7% = 15.63%
termsCost of equity · Equity weight (E/(D+E)) · Cost of debt · (1 − tax rate) · Debt weight (D/(D+E)) · Market capitalization
How firm is this? With the equity risk premium ±1 point and beta ±0.2, WACC runs 12.8%–18.8% and ROIC − WACC runs −2.6 to +3.4 points. The sign flips inside this range, so the result depends on the assumptions. This describes the latest year and does not predict future value creation.
WACC 15.63% is this site’s estimate under the assumptions below (not a figure the company has published)
- Risk-free rate
- 4.95% (10-year Treasury, 2026-11-03)
- β
- 2.02 (price-derived adjusted beta)
- Equity risk premium
- 5.5%
- Cost of equity
- 16.06%
- Cost of debt
- 4.78%
- Tax rate
- 9% (effective rate, FY2023–FY2025)
- Capital structure (equity : debt)
- 96% : 4%
ROIC over time, vs. WACC
Unit: % — bars = each period's ROIC, horizontal line = latest WACC. Bars above the line are green, below are red
- ROIC (above WACC)
- ROIC (below WACC)
- WACC 15.63%
formulaoperating income × (1 − tax rate) ÷ invested capital × 100 *invested capital = interest-bearing debt + total equity (average of beginning/ending)
termsOperating income · Effective tax rate · Invested capital · Interest-bearing debt · Total equity
formulacost of equity × equity weight + cost of debt × (1 − tax rate) × debt weight
termsCost of equity · Equity weight (E/(D+E)) · Cost of debt · (1 − tax rate) · Debt weight (D/(D+E)) · Market capitalization
Try different WACC assumptions
β and the equity risk premium are estimates with a real range of plausible values — move the sliders to check whether ROIC > WACC still holds. The risk-free rate starts at the 10-year Treasury yield on 2026-11-03 (U.S. Treasury).
Initial β: 2.02 (price-derived adjusted beta. Raw β 2.52, R² 0.49, 130 weeks)
formula0.67 × β + 0.33 (β = the slope of weekly stock returns regressed on weekly market returns)
e.g.0.67 × 2.521 + 0.33 = 2.019
termsβ (beta)
Period 2024-05-10–2026-11-04, using S&P 500 ETF (SPY) as the market proxy. Source: Yahoo Finance price history.
formularisk-free rate + β × equity risk premium
e.g.5.0% + 2.02 × 5.5% = 16.1%
termsCAPM · Risk-free rate · β (beta) · Equity risk premium (market risk premium)
formulafiscal year-end closing price × shares outstanding (= market cap)
formulainterest expense ÷ interest-bearing debt × 100 (clamped to 0–10%; falls back to the risk-free rate if there’s no debt)
18
What the price implies (DCF)From SEC data
A company's value can be written as its free cash flow divided by (cost of capital − perpetual growth). Working that backwards from the market's valuation shows how much growth the share price assumed — compared here with the company's actual past growth.
Growth the price implies (price on 2026-11-04)
14.0%
Perpetual FCF growth: g = r − FCF ÷ EV = 15.6% − 1.7%
Past FCF growth (FY2020–FY2025)
+18.3%
Compound annual rate, 5 years
Past revenue growth (FY2020–FY2025)
+21.7%
Compound annual rate, 5 years
Inputs (FY2025): free cash flow $26.91B (operating CF − capex); enterprise value $1,625.05B = market cap $1,574.11B (latest close, 2026-11-04) + debt $67.12B − cash and short-term investments $16.18B; r = WACC of 15.6% using this page’s default assumptions (β 2.02, risk-free 5.0%, market premium 5.5%).
Three WACC scenarios
The same calculation under cautious, base and optimistic cost-of-capital assumptions (risk-free rate fixed at the 10-year Treasury yield). Pick one to load it into the sliders below.
Try your own assumptions
V = FCF ÷ (r − g). It starts at the implied growth rate, where the theoretical value equals today’s enterprise value.
Theoretical enterprise value
$747.61B
FCF $26.91B ÷ (15.6% − 12.0%)
Theoretical ÷ actual enterprise value
0.46x
Below 1x: these assumptions value the business below the market did
How sensitive the answer is
Theoretical ÷ actual enterprise value for each combination of r and g.
| g \ r | 13.6% | 14.6% | 15.6% | 16.6% | 17.6% |
|---|---|---|---|---|---|
| 0% | 0.12x | 0.11x | 0.11x | 0.10x | 0.09x |
| 2% | 0.14x | 0.13x | 0.12x | 0.11x | 0.11x |
| 4% | 0.17x | 0.16x | 0.14x | 0.13x | 0.12x |
| 6% | 0.22x | 0.19x | 0.17x | 0.16x | 0.14x |
| 8% | 0.30x | 0.25x | 0.22x | 0.19x | 0.17x |
A simplified model for seeing what the market price assumes, not a forecast or a target price. It treats free cash flow as growing at one constant rate forever; the result swings widely with small changes in r and g, and is undefined when g reaches r. Free cash flow here is operating cash flow minus capex, which is after interest — a full DCF of enterprise value would use cash flow before interest. Market cap uses the latest close (2026-11-04) × shares at fiscal year-end; free cash flow and WACC inputs are from the latest fiscal year.
19
Earnings qualityFrom SEC dataShow
The same reported profit can mean different things depending on whether it's backed by cash, driven by the core business, or the result of a one-off item. Four checks below.
- ✓
Operating CF ÷ net income: averages 2.24x
Profit is backed by cash coming in.
- ✓
Accrual ratio (latest): -2.6%
A small share of profit rests on accounting estimates.
- ✓
Core-earnings share (operating income ÷ pretax income): 112%
Most profit comes from core operations.
- ✓
Days sales outstanding: 35 → 33 days
No major slowdown in collecting on sales.
Operating CF vs. net income
Unit: $M — operating CF above net income means profit is backed by cash
- Operating CF
- Net income
formulacash flow from operations ÷ net income attributable to the company
termsCash flow from operations (operating CF) · Net income (attributable to the company)
formula(net income − operating CF) ÷ average total assets × 100
termsNet income (attributable to the company) · Cash flow from operations (operating CF) · Total assets
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-12-18
Profit bridge (FY2025)
Unit: $M — what moved profit from operating income to net income
- Profit (each stage)
- Pushed profit up
- Pushed profit down
formulaoperating income ÷ income before income taxes × 100
termsOperating income · Income before income taxes (pretax income)
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-12-18
Receivables & inventory days
Unit: days — days grow when receivables or inventory build up faster than sales
- Days sales outstanding
- Days inventory outstanding
formulaaverage receivables (opening + closing ÷ 2) ÷ revenue × 365
formulaaverage inventory (opening + closing ÷ 2) ÷ cost of revenue × 365
termsInventory · Cost of revenue (COGS)
Worked examples (latest period)
formulacash flow from operations ÷ net income attributable to the company
e.g.$27,537M ÷ $23,126M = 1.19x
termsCash flow from operations (operating CF) · Net income (attributable to the company)
formulaoperating income ÷ income before income taxes × 100
e.g.$25,484M ÷ $22,729M × 100 = 112%
termsOperating income · Income before income taxes (pretax income)
formulaaverage receivables (opening + closing ÷ 2) ÷ revenue × 365
e.g.($4,416M + $7,145M) ÷ 2 ÷ $63,887M × 365 = 33 days
formulaaverage inventory (opening + closing ÷ 2) ÷ cost of revenue × 365
e.g.($1,760M + $2,270M) ÷ 2 ÷ $20,593M × 365 = 36 days
termsInventory · Cost of revenue (COGS)
20
Who holds the sharesFrom SEC dataShow
How much of the stock large institutional investors report owning on SEC Form 13F, how much the directors and executive officers hold (and how much of the vote they control), and roughly how much is left for individual investors. Shown next to beta so the holder mix can be read alongside how much the stock swings.
Institutions, insiders and everyone else, 13F holdings as of 2026-06-30
“Everyone else” is what remains after shares reported on Form 13F and shares held by directors and executive officers: mostly individual investors, plus non-insider families or foundations and smaller or foreign institutions. The figures have different dates and 13F reports count some shares twice — read it as an approximate split.
- Held by 13F filers
- 78.2%
- Directors & officers (shares)
- 1.9%
- Everyone else (est.)
- 19.9%
- Directors & officers (voting power)
- 1.9%
- Institutional-ownership rank
- 325 of 416
- Beta (adjusted)
- 2.02
individuals and other non-13F holders
no separate voting figure; shown as shares
1 = most institutional; 78% of covered companies have more
above 1 = swings more than the market
- 3,718.5M shares reported by 4,824 13F filers ÷ 4,757.6M shares outstanding on 2026-05-29. Option positions are excluded.
- Directors and executive officers as a group, from the proxy statement’s beneficial-ownership table; includes shares they can acquire within 60 days.
- A large “everyone else” share can still reflect a family, trust or foundation stake held outside the board; check the proxy statement’s 5% holders.
Sources: SEC Form 13F data set (holdings as of 2026-06-30) · Form DEF 14A filed 2026-03-02 (beneficial ownership table) · Form 10-Q cover page (shares outstanding as of 2026-05-29)
21
Strengths & weaknessesSite analysis
Strengths
1. AI custom silicon leadership
AI semiconductor revenue reached $16.7B in Q3 fiscal 2026 (+221%), with Q4 guidance of $21.7B.
Evidence: Q3 FY2026 earnings release
2. High profitability
Segment operating income of $42.0B on $63.9B of revenue in fiscal 2025 before unallocated amortization and stock compensation.
Evidence: Form 10-K (FY2025)
3. Strong cash flow
Operating cash flow of $27.5B in fiscal 2025 against $623M of capital spending.
Evidence: SEC EDGAR XBRL
4. Long-term agreements
2026 agreements with Google and Apple run through 2031.
Evidence: 8-Ks filed 2026-04-06 and 2026-07-06
Weaknesses
1. Customer concentration
One customer was 32% of fiscal 2025 revenue (28% in 2024), and the top five end customers about 40%.
Evidence: Form 10-K (FY2025), Note 13 and Risk Factors
2. Large debt
Debt was $67.1B at fiscal 2025 year-end, up from $37.6B before the VMware acquisition (fiscal 2023).
Evidence: SEC EDGAR XBRL
3. Reliance on outside foundries
Most wafer manufacturing is outsourced, including to TSMC.
Evidence: Form 10-K (FY2025), Item 1
22
What draws investors to itSite analysis
Why the stock can look attractive to investors — each point paired with what has to hold for it to stay true, and the opposing view. This is this site's analysis, not a recommendation to buy or sell.
P/E (FY2025)
77.5x
Price at fiscal year-end ÷ diluted EPS
Dividend yield (FY2025)
0.64%
Dividends per share ÷ fiscal year-end price
Payout ratio (FY2025)
49%
Dividends per share ÷ diluted EPS
FCF yield (FY2025)
1.5%
(Operating CF − capex) ÷ market cap
1. AI infrastructure growth
Custom accelerators and Ethernet networking for hyperscalers drove AI revenue up more than 200% in fiscal 2026.
- What has to hold
- Hyperscalers keep investing in custom AI chips.
- The other side
- Revenue is concentrated in a few customers.
Evidence: Q3 FY2026 earnings release; Form 10-K (FY2025)
2. Cash returns
Dividend per share rose every year (split-adjusted) to $2.36 in fiscal 2025; quarterly dividend $0.65 in fiscal 2026.
- What has to hold
- Cash flow keeps growing.
- The other side
- Debt remains high after VMware.
Evidence: SEC EDGAR XBRL; Q3 FY2026 earnings release
Fiscal year ends on the Sunday closest to October 31. Per-share figures reflect the 10-for-1 stock split of July 2024.
23
ResilienceSite analysisShow
How well the company could absorb a bad year: its financial buffer, how its revenue and profit held up in the worst year on record, and what the 10-K says about the business's exposure to shocks. Figures and filing statements only — no overall rating.
1. Financial buffer (FY2025)
Cash & short-term investments ÷ debt due within a year
5.1x
$16.18B vs. $3.15B
Interest coverage (operating income ÷ interest expense)
7.9x
$25.48B vs. $3.21B
Free cash flow ÷ dividends paid
2.4x
$26.91B vs. $11.14B (FCF = operating CF − capex)
2. Worst year in the record, and the recovery
| Figure | Worst year-over-year change | Back to the prior level? |
|---|---|---|
| Revenue | No decline in the record | — |
| Operating income | -16.9% in FY2024 ($16.21B → $13.46B) | Yes, by FY2025 |
Covers only the 6 fiscal years on record (FY2020–FY2025), which may not include a full recession — the worst year here isn’t necessarily how the company would fare in a severe downturn.
3. Business resilience (from the 10-K)
Two businesses
Semiconductors (58%) and software (42%) respond to different demand cycles.
Source: Form 10-K (FY2025), MD&A
Cash generation
$27.5B of operating cash flow in fiscal 2025.
Source: SEC EDGAR XBRL
Debt
$67.1B of debt; $4.5B of new notes in January 2026 and tender offers in June 2026.
Source: SEC EDGAR XBRL; 8-Ks filed 2026-01-13 and 2026-06-18
24
Legal & regulatory mattersSite analysisShow
Lawsuits, government investigations, enforcement actions and settlements the company discloses — where each stands, what is at stake, and what comes next. From the 10-K's Legal Proceedings and contingencies note, the latest 10-Q, and 8-Ks.
Broadcom reports litigation typical of its industry (commercial, employment, tax and IP disputes) and regulatory inquiries, without naming a specific material matter.
Company statement: Broadcom does not believe any pending legal proceedings, regulatory investigations or tax disputes, individually or together, will have a material adverse effect on its financial statements.
Based on Form 10-Q (quarter ended 2026-08-02) — Legal Proceedings, reviewed 2026-10-18. Routine ordinary-course claims are not listed. “Major” is this site’s judgment of which matters could materially affect results.
25
Risks (including geopolitical)Site analysis
Starting from the 10-K's Risk Factors section, organized by category — geopolitical, currency, raw materials, regulatory, disaster, and more — with impact and likelihood assessed by this site.
Risk map
Vertical = impact on results, horizontal = likelihood. Upper right = most severe. Numbers match the list below (placement is this site’s own assessment).
Likelihood →
"Company disclosure" vs. "this site’s assessment"
The description and mitigation for each risk are this site’s summary of the 10-K’s "Risk Factors" section. Impact and likelihood are this site’s own assessment, not the company’s — where the company discloses its own likelihood assessment, that is noted in the summary.
Impact is judged from how large the affected business is relative to total revenue/profit, and from the risk’s track record of moving results in the past. Likelihood is judged from the filing’s wording and the current business environment (already occurring, or recurring). See the rating criteria.
- 1Customers & sales
Dependence on a few customers
- Company disclosure (summarized from the 10-K)
- Loss of or lower demand from any top-five end customer could materially hurt results; some customers may develop chips internally.
- Company’s stated mitigation
- Multi-year agreements with key customers.
- This site’s assessment
- Impact High / Likelihood Med
- 2Competition & technology shift
Competition
- Company disclosure (summarized from the 10-K)
- Integrated device makers, fabless companies, and customers' internal teams compete in semiconductors; large software vendors compete in infrastructure software.
- Company’s stated mitigation
- Technology leadership through R&D and acquisitions.
- This site’s assessment
- Impact Med / Likelihood High
- 3Geopolitics & supply chain
Asia supply chain and trade
- Company disclosure (summarized from the 10-K)
- Manufacturing and much revenue are tied to Asia (title transfers mainly in Malaysia; $11.2B shipped to China in fiscal 2025), exposing Broadcom to trade tensions and tariffs.
- Company’s stated mitigation
- Broadcom says it continuously manages product availability and costs in its supply chain to mitigate the direct and indirect impact of tariffs.
- This site’s assessment
- Impact High / Likelihood Med
- 4Demand & macro
AI spending cycle
- Company disclosure (summarized from the 10-K)
- Rapid growth depends on hyperscalers' AI infrastructure investment, which could slow.
- Company’s stated mitigation
- Diversification into software.
- This site’s assessment
- Impact High / Likelihood Med
26
What changed in the risk factorsFrom SEC data
Paragraphs in the latest 10-K's Risk Factors that have little overlap with the year before, and paragraphs that were dropped.
New or substantially reworded (8)
• Dependence on a limited number of contract manufacturers and suppliers of critical materials and components within our supply chain, and potential failure to adjust such manufacturing and supply chain to meet customer demand, may adversely affect our ability to bring products to market and our results of operations.
While U.S. tariffs and counter-tariffs, including semiconductor-related tariffs, have not had a material impact on our financial condition or results of operations, tariffs and other macroeconomic factors could materially increase costs and disrupt our supply chain. We continuously manage product availability and costs in our supply chain to mitigate the direct and indirect impact of tariffs and other macroeconomic impacts. The ultimate impact remains uncertain and will depend on
We operate in a highly cyclical semiconductor industry that is undergoing profound change due to AI.
The semiconductor industry is highly cyclical and is subject to rapid price erosion, wide fluctuations in product supply and demand, constant and rapid technological change, evolving technical standards and evolving product applications. Read more
The semiconductor industry is undergoing profound change due to the adoption and proliferation of AI and has experienced a significant upturn, which may not be sustainable. The growth of AI is creating pressure on the semiconductor industry to timely design, manufacture and deliver semiconductor products and solutions to meet customer demand for computing power and AI infrastructure. Some of these AI customers may have constrained resources or capital and may be unable to pay for their required AI infrastructure and/or seek alternative financings or novel or deferred payment models from their vendors and suppliers. If our AI customers substantially…
A slow or the unsuccessful return on our investments in research and development, expansion of our business strategy or adoption of new business models could materially adversely affect our business, financial condition, cash flows and margins.
adopted, if new competitive technologies that we do not support become widely accepted, or if we are unable to successfully execute on new business strategies or models such as the sale or leasing of AI racks or systems based on our XPUs, demand for our products and solutions such as our custom AI accelerators or XPUs, network switches or other AI-related products may be reduced. Slow or unsuccessful investments in our research and development efforts or expansion or modification of our business strategies and models and incurring significant expenses for these actions, would have a negative impact on our business, financial condition and margins.
Winning business in the semiconductor solutions industry is an unpredictable process that is often lengthy in time and requires us to incur significant expenses, evolve our business strategy or adopt a new business model, which may negatively impact our results of operations, gross margin or cash flows.
The amount, timing and execution of our stock repurchase program may fluctuate based on our priorities for the use of cash for other purposes. Read more
These purposes include operational spending, capital spending, acquisitions, repayment of debt and returning cash to our stockholders as dividend payments. Changes in cash flows, tax laws and our stock price could also impact our stock repurchase program. We are not obligated to repurchase any specific amount of shares of common stock, and the stock repurchase program may be suspended or terminated at any time.
No longer in the text (4)
Failure to realize the benefits expected from the VMware Merger could adversely affect our business and the value of our common stock.
As part of our integration of the VMware business, we are focusing on VMware’s core business of creating private cloud environments on-premises among large enterprises globally and divesting non-core assets. Read more
If VMware customers do not accept our business strategy, including our transition from a perpetual to a subscription licensing model and our simplified product portfolio, the investments we have made or may make to implement our strategy may be of no or limited value, we may lose significant customers, our financial results may be adversely affected and our stock price may suffer.
Although we expect significant benefits to result from the VMware Merger, if we do not successfully manage the challenges inherent in integrating an acquired business, we may not realize these benefits, and our revenue, expenses, operating results, financial condition and stock price could be materially adversely affected. Achieving these benefits will depend, in part, on our ability to integrate VMware's business successfully and efficiently and VMware customers accepting our business strategy, including our transition from a perpetual to a subscription licensing model and our simplified product portfolio. The successful integration of the VMware business has required, and will continue to require, significant management attention, and may divert the attention of management from other business and operational issues.
The semiconductor industry is highly cyclical and is characterized by rapid price erosion, wide fluctuations in product supply and demand, constant and rapid technological change, evolving technical standards, evolving markets such as AI, frequent new product introductions, and short product life cycles. From time to time, these factors, together with changes in general economic conditions, cause significant upturns and downturns in the industry and in our business. The market for AI-related products has resulted in a significant upturn in certain segments of the industry resulting in record revenue, which may not be sustainable. Previously the industry experienced a significant upturn due to a supply imbalance that resulted in record profitability and increases in average selling prices, which was followed by a down-cycle resulting in diminished demand for end-user products, high…
1 more paragraphs differ; the filings below have the full text.
Matched automatically, quoted as filed, and may include rewording of an existing risk. Compares Item 1A of the 10-K filed Dec 18, 2025 ↗ with the 10-K filed Dec 20, 2024 ↗.
27
What to watch going forwardSite analysis
- AI semiconductor revenue versus the $21.7B Q4 FY2026 guide.
- Deployment of Google TPUs and the Anthropic compute capacity from 2027.
- VMware software growth.
- Debt reduction and tender offers.
- Top customer's share of revenue.
28
Source documentsShow
This page's financial figures come from the Form 10-Ks listed below. Check the original filings for full detail.
Last updated
Analysis last edited: November 6, 2026 · Financial data fetched: October 17, 2026 10:20 (SEC EDGAR) · Source 10-K filed: December 18, 2025
Built on10-K FY2025 · filed 2025-12-18
Next update expectedAfter FY2026’s 10-K is filed (roughly 60–90 days after fiscal year end (sooner for larger filers)), financials and analysis will be refreshed.
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