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AVGO (Broadcom) Cyclically Adjusted FCF per Share : $2.93 (As of Jan. 2025)


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What is Broadcom Cyclically Adjusted FCF per Share?

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted FCF per Share and the Cyclically Adjusted Price-to-FCF. The Cyclically Adjusted FCF per Share is the average of the inflation adjusted Free Cash Flow per Share of a company over the past 10 years.

Broadcom's adjusted free cash flow per share for the three months ended in Jan. 2025 was $1.243. Add all the adjusted free cash flow per share for the past 10 years together and divide the count will get our Cyclically Adjusted FCF per Share, which is $2.93 for the trailing ten years ended in Jan. 2025.

During the past 12 months, Broadcom's average Cyclically Adjusted FCF Growth Rate was 19.10% per year. During the past 3 years, the average Cyclically Adjusted FCF Growth Rate was 25.10% per year. During the past 5 years, the average Cyclically Adjusted FCF Growth Rate was 28.80% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Cyclically Adjusted FCF Growth Rate using Cyclically Adjusted FCF per Share data.

During the past 13 years, the highest 3-Year average Cyclically Adjusted FCF Growth Rate of Broadcom was 35.10% per year. The lowest was 25.10% per year. And the median was 31.50% per year.

As of today (2025-04-13), Broadcom's current stock price is $181.94. Broadcom's Cyclically Adjusted FCF per Share for the quarter that ended in Jan. 2025 was $2.93. Broadcom's Cyclically Adjusted Price-to-FCF of today is 62.10.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of Broadcom was 87.39. The lowest was 22.35. And the median was 39.18.


Broadcom Cyclically Adjusted FCF per Share Historical Data

The historical data trend for Broadcom's Cyclically Adjusted FCF per Share can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Broadcom Cyclically Adjusted FCF per Share Chart

Broadcom Annual Data
Trend Oct15 Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23 Oct24
Cyclically Adjusted FCF per Share
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.08 1.43 1.91 2.37 2.80

Broadcom Quarterly Data
Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25
Cyclically Adjusted FCF per Share Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.46 2.59 2.69 2.80 2.93

Competitive Comparison of Broadcom's Cyclically Adjusted FCF per Share

For the Semiconductors subindustry, Broadcom's Cyclically Adjusted Price-to-FCF, along with its competitors' market caps and Cyclically Adjusted Price-to-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Broadcom's Cyclically Adjusted Price-to-FCF Distribution in the Semiconductors Industry

For the Semiconductors industry and Technology sector, Broadcom's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

* The bar in red indicates where Broadcom's Cyclically Adjusted Price-to-FCF falls into.


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Broadcom Cyclically Adjusted FCF per Share Calculation

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted FCF per Share and the Cyclically Adjusted Price-to-FCF. The Cyclically Adjusted FCF per Share is the average of the inflation adjusted Free Cash Flow per Share of a company over the past 10 years.

What is Cyclically Adjusted FCF per Share? How do we calculate Cyclically Adjusted FCF per Share?

Cyclically Adjusted FCF per Share is the average of the inflation adjusted Free Cash Flow per Share of a company over the past 10 years. Let's use an example to explain.

If we want to calculate the Cyclically Adjusted FCF per Share of Wal-Mart (WMT) for Dec. 31, 2010, we need to have the inflation data and the free cash flow per share from 2001 through 2010.

We adjusted the 2001 free cash flow per share data with the total inflation from 2001 through 2010 to the equivalent free cash flow in 2010. If the total inflation from 2001 to 2010 is 40%, and Wal-Mart's free cash flow is $1 a share in 2001, then the 2001's equivalent free cash flow in 2010 is $1.4 a share. If Wal-Mart's free cash flow is $1 again in 2002, and the total inflation from 2002 through 2010 is 35%, then the equivalent 2002 free cash flow in 2010 is $1.35. So on and so forth, you get the equivalent free cash flow per share of past 10 years. Then you add them together and divided the sum by the count to get Cyclically Adjusted FCF per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.

For example, Broadcom's adjusted Free Cash Flow per Share data for the three months ended in Jan. 2025 was:

Adj_FreeCashFlowPerShare= Free Cash Flow per Share /CPI of Jan. 2025 (Change)*Current CPI (Jan. 2025)
=1.243/134.0288*134.0288
=1.243

Current CPI (Jan. 2025) = 134.0288.

Broadcom Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201504 0.171 99.824 0.230
201507 0.155 100.691 0.206
201510 0.172 100.346 0.230
201601 0.116 99.957 0.156
201604 0.112 100.947 0.149
201607 0.174 101.524 0.230
201610 0.275 101.988 0.361
201701 0.234 102.456 0.306
201704 0.300 103.167 0.390
201707 0.315 103.278 0.409
201710 0.420 104.070 0.541
201801 0.344 104.578 0.441
201804 0.474 105.708 0.601
201807 0.482 106.324 0.608
201810 0.589 106.695 0.740
201901 0.485 106.200 0.612
201904 0.602 107.818 0.748
201907 0.552 108.250 0.683
201910 0.567 108.577 0.700
202001 0.526 108.841 0.648
202004 0.733 108.173 0.908
202007 0.726 109.318 0.890
202010 0.764 109.861 0.932
202101 0.699 110.364 0.849
202104 0.801 112.673 0.953
202107 0.797 115.183 0.927
202110 0.811 116.696 0.931
202201 0.789 118.619 0.891
202204 0.981 121.978 1.078
202207 1.002 125.002 1.074
202210 1.084 125.734 1.156
202301 0.917 126.223 0.974
202304 1.026 127.992 1.074
202307 1.077 128.974 1.119
202310 1.107 129.810 1.143
202401 1.006 130.124 1.036
202404 0.927 132.289 0.939
202407 1.027 132.708 1.037
202410 1.136 133.182 1.143
202501 1.243 134.029 1.243

Add all the adjusted free cash flow per share together and divide 10 will get our Cyclically Adjusted FCF per Share.


Broadcom  (NAS:AVGO) Cyclically Adjusted FCF per Share Explanation

If a company grows much fast than inflation, Cyclically Adjusted FCF per Share may underestimate the company's free cash flow. Cyclically Adjusted Price-to-FCF can seem to be too high even the actual Price-to-Free-Cash-Flow is low.

For the Cyclically Adjusted Price-to-FCF, the free cash flow per share of the past 10 years are inflation-adjusted and averaged. The result is used for P/FCF calculation. Since it looks at the average over the last 10 years, the Cyclically Adjusted Price-to-FCF is also called CAPFCF Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Price-to-FCF. The Cyclically Adjusted FCF per Share is the average of the inflation adjusted free cash flow per share of a company over the past 10 years.

Broadcom's Cyclically Adjusted Price-to-FCF of today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/Cyclically Adjusted FCF per Share
=181.94/2.93
=62.10

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of Broadcom was 87.39. The lowest was 22.35. And the median was 39.18.


Be Aware

Cyclically Adjusted Price-to-FCF works better for cyclical companies. It gives you a better idea on the company's real free cash flow value.


Broadcom Cyclically Adjusted FCF per Share Related Terms

Thank you for viewing the detailed overview of Broadcom's Cyclically Adjusted FCF per Share provided by GuruFocus.com. Please click on the following links to see related term pages.


Broadcom Business Description

Industry
Address
3421 Hillview Avenue, Palo Alto, CA, USA, 94304
Broadcom is the sixth-largest semiconductor company globally and has expanded into various software businesses, with over $30 billion in annual revenue. It sells 17 core semiconductor product lines across wireless, networking, broadband, storage, and industrial markets. It is primarily a fabless designer but holds some manufacturing in-house, like for its best-of-breed FBAR filters that sell into the Apple iPhone. In software, it sells virtualization, infrastructure, and security software to large enterprises, financial institutions, and governments.Broadcom is the product of consolidation. Its businesses are an amalgamation of former companies like legacy Broadcom and Avago Technologies in chips, as well as Brocade, CA Technologies, and Symantec in software.
Executives
Eddy W Hartenstein director
Check Kian Low director 1320 RIDDER PARK DRIVE, SAN JOSE CA 95131
Charlie B Kawwas officer: SVP & Chief Sales Officer C/O AVAGO TECHNOLOGIES U.S. INC., 350 WEST TRIMBLE ROAD, SAN JOSE CA 95131
Hock E Tan director, officer: President and CEO BROADCOM INC., 1320 RIDDER PARK DRIVE, SAN JOSE CA 95131
Mark David Brazeal officer: Chief Legal Officer 1320 RIDDER PARK DRIVE, SAN JOSE CA 95131
Diane M Bryant director 2200 MISSION COLLEGE BLVD, SANTA CLARA CA 95054
Kirsten M. Spears officer: Principal Accounting Officer 1320 RIDDER PARK, SAN JOSE CA 95131
Harry L. You director EMC CORPORATION, 176 SOUTH STREET, HOPKINTON MA 01748
Gayla J Delly director 3000 TECHNOLOGY DR, ANGLETON TX 77515
Justine Lien director 1320 RIDDER PARK DRIVE, SAN JOSE CA 95131
Kenneth Hao director C/O SILVER LAKE PARTNERS, 2775 SAND HILL ROAD, SUITE 100, MENLO PARK CA 94025
Raul J Fernandez director 11600 SUNRISE VALLEY DR, RESTON VA 20191
Thomas H. Krause officer: Chief Financial Officer 1320 RIDDER PARK, SAN JOSE CA 95131
Henry Samueli director, officer: Chief Technical Officer 5300 CALIFORNIA AVENUE, IRVINE CA 92617-3038
Bryan Ingram officer: SVP & GM, Wireless Semicon Div C/O AVAGO TECHNOLOGIES LIMITED, 350 WEST TRIMBLE ROAD, BLDG. 90, SAN JOSE CA 95131