Broadcom Inc (AVGO)
Profitability ratios
Return on sales
| Nov 3, 2024 | Aug 4, 2024 | May 5, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 63.03% | 63.90% | 65.05% | 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% |
| Operating profit margin | 26.10% | 27.93% | 30.84% | 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% |
| Pretax margin | 18.70% | 20.78% | 25.67% | 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% |
| Net profit margin | 11.43% | 10.88% | 24.10% | 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% |
Broadcom Inc's profitability ratios have shown fluctuating trends over the past few quarters.
- Gross profit margin has generally decreased from 63.03% in November 2024 to 55.32% in February 2020, indicating a potential decrease in the company's ability to generate profits from its core operations.
- Operating profit margin has displayed a more significant decline, dropping from 26.10% in November 2024 to 15.90% in February 2020. This suggests that the company's operating expenses have been increasing at a faster rate than its operating income.
- Pretax margin also declined over the period, from 18.70% in November 2024 to 9.95% in February 2020. This indicates that the company's profitability before taxes has been eroding, possibly due to higher costs or lower revenue.
- Net profit margin, reflecting the company's bottom-line profitability, has also experienced a downward trend from 11.43% in November 2024 to 11.64% in February 2020. This indicates that the company's overall profitability has been under pressure, with net income decreasing relative to revenues over time.
In summary, Broadcom Inc's profitability ratios have shown a general downward trajectory, suggesting potential challenges in maintaining and growing profitability levels in recent quarters. Investors and stakeholders may need to closely monitor the company's financial performance and assess the effectiveness of its strategies to address the factors impacting its profitability.
Return on investment
| Nov 3, 2024 | Aug 4, 2024 | May 5, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 8.13% | 7.78% | 7.50% | 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% |
| Return on assets (ROA) | 3.56% | 3.03% | 5.86% | 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% |
| Return on total capital | 10.15% | 9.75% | 9.34% | 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% |
| Return on equity (ROE) | 8.71% | 7.76% | 14.68% | 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% |
Broadcom Inc's profitability ratios show a trend of fluctuation over the past few quarters.
1. Operating return on assets (Operating ROA) has been relatively stable, ranging between 7.50% to 8.13%. This ratio indicates that the company is generating an operating profit of around 7.50% to 8.13% for every dollar of assets it owns.
2. Return on assets (ROA) has also varied, with values between 3.03% to 6.54%. ROA measures how efficiently the company is using its assets to generate profit, and a higher value suggests better performance.
3. Return on total capital has shown some volatility, ranging from 9.34% to 10.15%. This ratio evaluates the company's ability to generate profits from both equity and debt financing.
4. Return on equity (ROE) has exhibited significant fluctuations, from 7.76% to 58.70%. ROE indicates the company's ability to generate profit from shareholders' equity and reflects the efficiency of management in utilizing shareholders' investments.
Overall, Broadcom Inc's profitability ratios reflect a mix of operational efficiency and financial leverage over the quarters, emphasizing the importance of monitoring these metrics for a comprehensive understanding of the company's financial performance.