Broadcom
AVGO
#42
Rank
$188.34 B
Marketcap
$465.05
Share price
-3.01%
Change (1 day)
-4.85%
Change (1 year)

Broadcom is a semiconductor company based in San Josรฉ, California. The company was the semiconductor product division of Hewlett-Packard and later Agilent prior to its spin-off.

P/E ratio for Broadcom (AVGO)

P/E ratio as of October 2022 (TTM): 20.0

According to Broadcom's latest financial reports and stock price the company's current price-to-earnings ratio (TTM) is 19.9542. At the end of 2021 the company had a P/E ratio of 42.4.

P/E ratio history for Broadcom from 2009 to 2022

PE ratio at the end of each year

Year P/E ratio Change
202142.4-35.89%
202066.242.07%
201946.6441.91%
20188.59-85.15%
201757.8-231.22%
2016-44.1-257.41%
201528.0-70.69%
201495.6304%
201323.7

How to read a P/E ratio?

The Price/Earnings ratio measures the relationship between a company's stock price and its earnings per share. A low but positive P/E ratio stands for a company that is generating high earnings compared to its current valuation and might be undervalued. A company with a high negative (near 0) P/E ratio stands for a company that is generating heavy losses compared to its current valuation.

Companies with a P/E ratio over 30 or a negative one are generaly seen as "growth stocks" meaning that investors typically expect the company to grow or to become profitable in the future.
Companies with a positive P/E ratio bellow 10 are generally seen as "value stocks" meaning that the company is already very profitable and unlikely to strong growth in the future.