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Broadcom (Broadcom) Cyclically Adjusted PB Ratio : 21.49 (As of Apr. 25, 2024)


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What is Broadcom Cyclically Adjusted PB Ratio?

As of today (2024-04-25), Broadcom's current share price is $1256.82. Broadcom's Cyclically Adjusted Book per Share for the quarter that ended in Jan. 2024 was $58.49. Broadcom's Cyclically Adjusted PB Ratio for today is 21.49.

The historical rank and industry rank for Broadcom's Cyclically Adjusted PB Ratio or its related term are showing as below:

AVGO' s Cyclically Adjusted PB Ratio Range Over the Past 10 Years
Min: 6.32   Med: 11.98   Max: 23.92
Current: 21.36

During the past years, Broadcom's highest Cyclically Adjusted PB Ratio was 23.92. The lowest was 6.32. And the median was 11.98.

AVGO's Cyclically Adjusted PB Ratio is ranked worse than
96.86% of 668 companies
in the Semiconductors industry
Industry Median: 2.36 vs AVGO: 21.36

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 PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.

Broadcom's adjusted book value per share data for the three months ended in Jan. 2024 was $151.801. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is $58.49 for the trailing ten years ended in Jan. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Broadcom Cyclically Adjusted PB Ratio Historical Data

The historical data trend for Broadcom's Cyclically Adjusted PB Ratio 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 PB Ratio Chart

Broadcom Annual Data
Trend Oct14 Oct15 Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23
Cyclically Adjusted PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 10.11 10.09 12.67 9.50 15.23

Broadcom Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
Cyclically Adjusted PB Ratio 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 11.52 11.94 16.69 15.23 20.18

Competitive Comparison of Broadcom's Cyclically Adjusted PB Ratio

For the Semiconductors subindustry, Broadcom's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio 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 PB Ratio Distribution in the Semiconductors Industry

For the Semiconductors industry and Technology sector, Broadcom's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where Broadcom's Cyclically Adjusted PB Ratio falls into.



Broadcom Cyclically Adjusted PB Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.

Broadcom's Cyclically Adjusted PB Ratio for today is calculated as

Cyclically Adjusted PB Ratio=Share Price/ Cyclically Adjusted Book per Share
=1256.82/58.49
=21.49

* 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.

Broadcom's Cyclically Adjusted Book per Share for the quarter that ended in Jan. 2024 is calculated as:

For example, Broadcom's adjusted Book Value per Share data for the three months ended in Jan. 2024 was:

Adj_Book=Book Value per Share/CPI of Jan. 2024 (Change)*Current CPI (Jan. 2024)
=151.801/129.4194*129.4194
=151.801

Current CPI (Jan. 2024) = 129.4194.

Broadcom Quarterly Data

Book Value per Share CPI Adj_Book
201404 12.549 100.023 16.237
201407 12.260 100.520 15.785
201410 12.751 100.176 16.473
201501 14.156 98.604 18.580
201504 15.648 99.824 20.287
201507 15.572 100.691 20.015
201510 17.064 100.346 22.008
201601 18.414 99.957 23.841
201604 49.902 100.947 63.977
201607 49.120 101.524 62.617
201610 47.434 101.988 60.192
201701 47.548 102.456 60.061
201704 47.844 103.167 60.018
201707 48.588 103.278 60.887
201710 49.629 104.070 61.718
201801 63.176 104.578 78.183
201804 73.548 105.708 90.046
201807 66.470 106.324 80.908
201810 65.336 106.695 79.252
201901 58.646 106.200 71.468
201904 55.569 107.818 66.702
201907 54.080 108.250 64.656
201910 62.666 108.577 74.695
202001 61.073 108.841 72.620
202004 59.557 108.173 71.254
202007 58.309 109.318 69.031
202010 58.658 109.861 69.101
202101 58.757 110.364 68.902
202104 58.388 112.673 67.066
202107 59.078 115.183 66.380
202110 60.441 116.696 67.031
202201 56.020 118.619 61.121
202204 51.633 121.978 54.783
202207 51.546 125.002 53.368
202210 54.328 125.734 55.920
202301 55.899 126.223 57.315
202304 53.157 127.992 53.750
202307 53.460 128.974 53.644
202310 57.942 129.810 57.768
202401 151.801 129.419 151.801

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book 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.


Broadcom  (NAS:AVGO) Cyclically Adjusted PB Ratio Explanation

Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.


Broadcom Cyclically Adjusted PB Ratio Related Terms

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


Broadcom (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
Kirsten M. Spears officer: Principal Accounting Officer 1320 RIDDER PARK, SAN JOSE CA 95131
Hock E Tan director, officer: President and CEO BROADCOM INC., 1320 RIDDER PARK DRIVE, SAN JOSE CA 95131
Eddy W Hartenstein director
Mark David Brazeal officer: Chief Legal Officer 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
Justine Lien director 1320 RIDDER PARK DRIVE, SAN JOSE CA 95131
Harry L. You director EMC CORPORATION, 176 SOUTH STREET, HOPKINTON MA 01748
Check Kian Low director 1320 RIDDER PARK DRIVE, SAN JOSE CA 95131
Raul J Fernandez director 11600 SUNRISE VALLEY DR, RESTON VA 20191
Gayla J Delly director 3000 TECHNOLOGY DR, ANGLETON TX 77515
Diane M Bryant director 2200 MISSION COLLEGE BLVD, SANTA CLARA CA 95054
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
Donald Macleod director

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