Broadcom Inc (AVGO)
Debt-to-equity ratio
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 65,022,000 | 68,417,000 | 70,754,000 | 73,590,000 | 33,181,000 | 35,072,000 | 35,573,000 | 35,565,000 | 33,014,000 | 40,958,000 | 40,958,000 | 39,205,000 | 41,235,000 | 40,178,000 | 40,160,000 | 41,068,000 | 40,235,000 | 43,201,000 | 45,044,000 | 42,407,000 |
| Total stockholders’ equity | US$ in thousands | 67,678,000 | 65,651,000 | 69,961,000 | 70,284,000 | 23,988,000 | 22,079,000 | 22,007,000 | 23,310,000 | 22,709,000 | 20,903,000 | 20,990,000 | 22,994,000 | 24,989,000 | 24,367,000 | 23,966,000 | 23,999,000 | 23,901,000 | 23,585,000 | 23,970,000 | 24,396,000 |
| Debt-to-equity ratio | 0.96 | 1.04 | 1.01 | 1.05 | 1.38 | 1.59 | 1.62 | 1.53 | 1.45 | 1.96 | 1.95 | 1.71 | 1.65 | 1.65 | 1.68 | 1.71 | 1.68 | 1.83 | 1.88 | 1.74 |
November 3, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $65,022,000K ÷ $67,678,000K
= 0.96
The debt-to-equity ratio of Broadcom Inc has shown fluctuations over the given period. The ratio indicates the proportion of debt relative to equity in the company's capital structure.
The trend in the debt-to-equity ratio shows an increase from 0.96 in November 2020 to a peak of 1.96 in July 2022, suggesting a significant rise in debt levels compared to equity during this period. Subsequently, there was a slight decrease in the ratio but it remained relatively high, indicating continued reliance on debt financing.
From August 2023 onwards, the debt-to-equity ratio fluctuated between 1.38 and 1.05, showing some variability in the company's capital structure. The ratio remained above 1, implying that the company has more debt than equity, which may pose risks in terms of financial leverage.
Overall, the trend in the debt-to-equity ratio for Broadcom Inc indicates a relatively high level of debt compared to equity, which highlights the importance of monitoring the company's debt management and financial stability.
Peer comparison
Nov 3, 2024