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Broadcom valuation exercise: market cap, EV and multiples vs competitors

Semiconductors and infrastructure software. We rebuild its market value from the price, split it into its parts, and compare its multiples with those of its largest competitors.

Verified figures, not advice. Every number on this page comes from the company's own filings or from exchange prices, and the source is linked. Every calculation is shown, so you can repeat it. What we do not do is tell you what a share should be worth or whether to buy it: that depends on your goals and on forecasts, and no multiple can settle it. This is a snapshot: prices of 12 Oct 2026, company results up to mid 2026. Found a mistake? Tell us and we correct it.

Step 1. Market capitalisation

StepNumberWhere it comes from
Share price (nominal value)
$354.73
Close of 12 Oct 2026
Shares outstanding
4.77 bn
Latest report or filing, as of 2026-08-28
Market capitalisation
$1.69tn
Price x shares

Market capitalisation is the value the stock market puts on all the shares together. It is the nominal share price multiplied by the number of shares.

Step 2. How the value is composed

Building blockAmountMeaning
Market capitalisation
$1.69tn
What the market asks for all the shares
+ Debt
$59.4bn
Borrowings, leases for premises excluded
- Cash
$24.0bn
Cash and equivalents
- Short-term investments
$0.0bn
Marketable securities due within a year
+ Minority interests
$0.0bn
Part of subsidiaries owned by others
Enterprise value (EV)
$1.73tn
The price of the whole business, as a buyer would see it

Of the $1.69tn market value, accounting book equity is $99.7bn. The remaining $1.59tn is what investors pay above the books: brands, software, customer relationships and expected growth that the balance sheet does not record. Price to book is 17.0x.

Step 3. Fundamentals, last twelve months

Last twelve monthsAmountMargin or note
Revenue
$89.1bn
Up to 2026-08-02
Operating income
$42.8bn
48% of revenue
EBITDA
$51.6bn
58% of revenue
Net income (GAAP)
$38.3bn
43% of revenue
Free cash flow
$39.4bn
Operating cash flow minus capital spending

Step 4. Multiples against the largest competitors

MultipleBroadcomNVDAAMDQCOMTXNPeer meanPeer medianvs median
P/E (price / net income)
44.3x
28.3x
150.8x
19.8x
42.5x
60.3x
35.4x
+25%
EV / sales
19.4x
17.9x
23.2x
4.3x
13.6x
14.8x
15.8x
+23%
EV / EBITDA
33.5x
27.0x
100.4x
16.1x
27.9x
42.9x
27.5x
+22%
EV / operating income
40.4x
27.5x
148.0x
18.6x
36.4x
57.6x
32.0x
+26%
P / free cash flow
43.0x
42.9x
115.4x
17.6x
48.0x
56.0x
45.5x
-6%

Context: Broadcom earns an EBITDA margin of 58%. The peers earn 66%, 23%, 27%, 49% (median 38%). A company that keeps more of each dollar of sales often trades at a higher multiple.

The peers are listed chip designers. Broadcom also earns a large part of its revenue from infrastructure software, which none of them does.

What the comparison shows

  • EV / EBITDA: 33.5x against a peer median of 27.5x (mean 42.9x). Difference to the median: +22%.
  • EV / sales: 19.4x against a peer median of 15.8x (mean 14.8x). Difference: +23%.
  • P/E: 44.3x against a peer median of 35.4x. Difference: +25%.

These are descriptions of today's prices, not forecasts. "n.m." means not meaningful, for example negative profit.

Where the comparison is distorted

  • Depreciation and amortisation include amortisation of intangible assets from past acquisitions, so EBITDA is higher than operating income by a larger margin than for most chip companies. Debt of $59bn is large next to cash of $24bn.
  • AMD has a very high P/E on current profit.
  • Qualcomm net income includes a large one-time tax benefit.
  • Texas Instruments free cash flow excludes government incentive proceeds.

Sources

Prices of 12 Oct 2026 from exchange historical data. Share counts, debt, cash and results from each company's filings, read on 13 and 14 October 2026. Foreign companies are converted at one stated rate.

Broadcom Inc. (AVGO)
NVIDIA Corporation (NVDA)
Advanced Micro Devices, Inc. (AMD)
QUALCOMM Incorporated (QCOM)
Texas Instruments Incorporated (TXN)

Questions people ask

Does a higher multiple than competitors mean the share is overvalued?

No. It means investors pay more per dollar of sales or profit. The reason can be faster growth, higher margins or lower risk, or it can be excess optimism. A multiple gap is a question to investigate, not an answer.

Why use enterprise value and not only market cap?

Market cap prices the shares only. Enterprise value adds debt and subtracts cash, so it compares the whole business regardless of how it is financed.

Why show both the mean and the median of competitors?

The mean is pulled up by one extreme value. The median is the middle value and resists outliers. When they differ a lot, trust the median more.

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