Broadcom Inc (AVGO)
Profitability ratios
Return on sales
| Feb 4, 2024 | Oct 29, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 29, 2023 | Oct 30, 2022 | Jul 31, 2022 | May 1, 2022 | Jan 30, 2022 | Oct 31, 2021 | Aug 1, 2021 | May 2, 2021 | Jan 31, 2021 | Nov 1, 2020 | Aug 2, 2020 | May 3, 2020 | Feb 2, 2020 | Nov 3, 2019 | Aug 4, 2019 | May 5, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 67.06% | 68.93% | 68.28% | 67.71% | 66.98% | 66.55% | 65.68% | 64.42% | 62.95% | 61.36% | 60.18% | 58.98% | 57.54% | 56.58% | 55.70% | 55.21% | 55.32% | 55.24% | 55.09% | 54.33% |
| Operating profit margin | 36.50% | 45.25% | 45.00% | 45.19% | 44.23% | 42.84% | 40.47% | 37.37% | 34.35% | 31.03% | 28.16% | 24.83% | 20.81% | 16.80% | 15.27% | 14.85% | 15.90% | 15.24% | 18.15% | 20.70% |
| Pretax margin | 32.55% | 42.15% | 41.60% | 41.42% | 39.48% | 37.45% | 34.67% | 31.25% | 28.31% | 24.64% | 21.63% | 18.00% | 14.25% | 10.22% | 8.85% | 8.75% | 9.95% | 9.80% | 12.98% | 16.38% |
| Net profit margin | 29.93% | 39.31% | 39.25% | 39.06% | 37.19% | 34.62% | 31.96% | 29.76% | 27.47% | 24.54% | 22.90% | 19.11% | 16.01% | 12.39% | 10.70% | 10.97% | 11.64% | 12.05% | 13.44% | 15.92% |
Broadcom Inc's profitability ratios have shown varying trends over the recent quarters. The gross profit margin has generally been stable, ranging between 54.33% to 68.93%, indicating efficient cost management in manufacturing goods.
However, the operating profit margin has been fluctuating, with a decreasing trend in recent quarters. Despite reaching as high as 45.25%, it dropped to 36.50% in the latest period, suggesting higher operating expenses impacting profitability.
Similarly, the pretax and net profit margins have also experienced fluctuations, indicating changes in Broadcom's ability to generate profits before and after accounting for taxes and other expenses. While the company maintained margins above 30% in some quarters, the downward trend in the latest periods signals potential challenges faced in maintaining profitability levels.
Overall, Broadcom's profitability ratios reflect a mix of stable gross margins but decreasing trends in operating, pretax, and net profit margins, suggesting the need for continuous monitoring and strategic management of costs to enhance overall profitability.
Return on investment
| Feb 4, 2024 | Oct 29, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 29, 2023 | Oct 30, 2022 | Jul 31, 2022 | May 1, 2022 | Jan 30, 2022 | Oct 31, 2021 | Aug 1, 2021 | May 2, 2021 | Jan 31, 2021 | Nov 1, 2020 | Aug 2, 2020 | May 3, 2020 | Feb 2, 2020 | Nov 3, 2019 | Aug 4, 2019 | May 5, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 7.98% | 22.24% | 22.28% | 22.09% | 20.86% | 19.42% | 17.97% | 15.63% | 13.37% | 11.27% | 9.84% | 8.40% | 6.67% | 5.29% | 4.47% | 4.17% | 4.45% | 5.10% | 5.79% | 6.37% |
| Return on assets (ROA) | 6.54% | 19.33% | 19.44% | 19.10% | 17.54% | 15.69% | 14.20% | 12.45% | 10.69% | 8.91% | 8.00% | 6.47% | 5.14% | 3.90% | 3.13% | 3.08% | 3.26% | 4.04% | 4.29% | 4.90% |
| Return on total capital | 9.86% | 28.35% | 27.91% | 27.50% | 25.85% | 25.53% | 20.72% | 18.09% | 15.74% | 12.86% | 11.56% | 9.90% | 7.89% | 6.26% | 5.30% | 4.98% | 5.55% | 6.56% | 7.42% | 8.17% |
| Return on equity (ROE) | 16.55% | 58.70% | 63.03% | 62.20% | 54.90% | 50.62% | 48.44% | 42.53% | 34.05% | 26.96% | 24.91% | 20.37% | 16.47% | 12.38% | 10.53% | 10.47% | 10.81% | 10.92% | 13.91% | 15.66% |
Broadcom Inc's profitability ratios have shown fluctuations over the past several reporting periods. The Operating Return on Assets (Operating ROA) has ranged from 4.17% to 22.28%, with a recent figure of 7.98%. This indicates the company's ability to generate operating income relative to its total assets, showcasing a moderate level of efficiency.
The Return on Assets (ROA) has varied between 3.08% and 19.44%, with the latest figure standing at 6.54%. This ratio reflects Broadcom's overall profitability in generating earnings from its assets, suggesting a solid but somewhat inconsistent performance.
The Return on Total Capital has fluctuated between 4.98% and 28.35%, with a recent value of 9.86%. This ratio depicts the company's profitability in relation to the total capital employed, showing a decent return in comparison to the capital invested.
Lastly, the Return on Equity (ROE) has ranged from 10.47% to 63.03%, with the most recent figure at 16.55%. This ratio illustrates Broadcom's profitability concerning the shareholders' equity, indicating a satisfactory return for equity investors, albeit with some fluctuations.
In conclusion, Broadcom Inc has demonstrated varied levels of profitability across different metrics, with a generally positive trend but some degree of volatility in its performance. Continued monitoring and analysis of these ratios will be essential to assess the company's financial health and profitability in the long term.