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Broadcom (Broadcom) Asset Turnover

: 0.10 (As of Jan. 2024)
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Asset Turnover measures how quickly a company turns over its asset through sales. It is calculated as Revenue divided by Total Assets. Broadcom's Revenue for the three months ended in Jan. 2024 was $11,961 Mil. Broadcom's Total Assets for the quarter that ended in Jan. 2024 was $125,366 Mil. Therefore, Broadcom's Asset Turnover for the quarter that ended in Jan. 2024 was 0.10.

Asset Turnover is linked to ROE % through Du Pont Formula. Broadcom's annualized ROE % for the quarter that ended in Jan. 2024 was 11.24%. It is also linked to ROA % through Du Pont Formula. Broadcom's annualized ROA % for the quarter that ended in Jan. 2024 was 4.23%.


Broadcom Asset Turnover Historical Data

The historical data trend for Broadcom's Asset Turnover 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 Annual Data
Trend Oct14 Oct15 Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23
Asset Turnover
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.38 0.33 0.36 0.45 0.49

Broadcom Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
Asset Turnover 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 Premium Member Only Premium Member Only Premium Member Only 0.12 0.12 0.12 0.13 0.10

Competitive Comparison

For the Semiconductors subindustry, Broadcom's Asset Turnover, along with its competitors' market caps and Asset Turnover 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 Asset Turnover Distribution

For the Semiconductors industry and Technology sector, Broadcom's Asset Turnover distribution charts can be found below:

* The bar in red indicates where Broadcom's Asset Turnover falls into.



Broadcom Asset Turnover Calculation

Asset Turnover measures how quickly a company turns over its asset through sales.

Broadcom's Asset Turnover for the fiscal year that ended in Oct. 2023 is calculated as

Asset Turnover
=Revenue/Average Total Assets
=Revenue (A: Oct. 2023 )/( (Total Assets (A: Oct. 2022 )+Total Assets (A: Oct. 2023 ))/ count )
=35819/( (73249+72861)/ 2 )
=35819/73055
=0.49

Broadcom's Asset Turnover for the quarter that ended in Jan. 2024 is calculated as

Asset Turnover
=Revenue/Average Total Assets
=Revenue (Q: Jan. 2024 )/( (Total Assets (Q: Oct. 2023 )+Total Assets (Q: Jan. 2024 ))/ count )
=11961/( (72861+177870)/ 2 )
=11961/125365.5
=0.10

* 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.

Companies with low profit margins tend to have high Asset Turnover, while those with high profit margins have low Asset Turnover. Companies in the retail industry tend to have a very high turnover ratio.


Broadcom  (NAS:AVGO) Asset Turnover Explanation

Asset Turnover is linked to ROE % through Du Pont Formula.

Broadcom's annulized ROE % for the quarter that ended in Jan. 2024 is

ROE %**(Q: Jan. 2024 )
=Net Income/Total Stockholders Equity
=5300/47136
=(Net Income / Revenue)*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(5300 / 47844)*(47844 / 125365.5)*(125365.5/ 47136)
=Net Margin %*Asset Turnover*Equity Multiplier
=11.08 %*0.3816*2.6597
=ROA %*Equity Multiplier
=4.23 %*2.6597
=11.24 %

Note: The Net Income data used here is four times the quarterly (Jan. 2024) net income data. The Revenue data used here is four times the quarterly (Jan. 2024) revenue data.

* 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.

** The ROE % used above is for Du Pont Analysis only. It is different from the defined ROE % page on our website, as here it uses Net Income instead of Net Income attributable to Common Stockholders in the calculation.

It is also linked to ROA % through Du Pont Formula:

Broadcom's annulized ROA % for the quarter that ended in Jan. 2024 is

ROA %(Q: Jan. 2024 )
=Net Income/Total Assets
=5300/125365.5
=(Net Income / Revenue)*(Revenue / Total Assets)
=(5300 / 47844)*(47844 / 125365.5)
=Net Margin %*Asset Turnover
=11.08 %*0.3816
=4.23 %

Note: The Net Income data used here is four times the quarterly (Jan. 2024) net income data. The Revenue data used here is four times the quarterly (Jan. 2024) revenue data.

* 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.


Be Aware

In the article Joining The Dark Side: Pirates, Spies and Short Sellers, James Montier reported that In their US sample covering the period 1968-2003, Cooper et al find that firms with low asset growth outperformed firms with high asset growth by an astounding 20% p.a. equally weighted. Even when controlling for market, size and style, low asset growth firms outperformed high asset growth firms by 13% p.a. Therefore a company with fast asset growth may underperform.

Therefore, it is a good sign if a company's Asset Turnover is consistent or even increases. If a company's asset grows faster than sales, its Asset Turnover will decline, which can be a warning sign.


Broadcom Asset Turnover Related Terms

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Broadcom (Broadcom) Business Description

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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