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  • If you are trying to figure out whether Broadcom’s current share price lines up with its underlying value, you are in the right place for a clear, valuation focused checkup.

  • The stock last closed at US$320.33, with a 3.7% decline over the past 7 days and a 7.9% decline over the last month, while the 1 year return sits at 45.3% and the 3 year gain is very large.

  • Recent coverage has focused on Broadcom as a key name in semiconductors and infrastructure software, as investors weigh its role in longer term technology trends. This broader attention provides useful context when you look at the share price pullback over the last month alongside the strong multi year return.

  • On our framework, Broadcom’s valuation score is 1 out of 6. We will walk through what different valuation methods say about the stock today, and then finish with a framework that can help you make even more sense of those numbers.

Broadcom scores just 1/6 on our valuation checks. See what other red flags we found in the full valuation breakdown.

A Discounted Cash Flow, or DCF, model estimates what a company could be worth today by projecting its future cash flows and then discounting those back to a present value.

For Broadcom, the model used is a 2 Stage Free Cash Flow to Equity approach. It is based on its last twelve months free cash flow of about US$26.9b. Analyst and extrapolated projections, provided by Simply Wall St, extend through 2035, with free cash flow estimates such as US$46.3b in 2026 and US$107.1b in 2030. All figures are expressed in US$ and then discounted back to today.

Adding up these discounted cash flows produces an estimated intrinsic value of US$288.48 per share. Compared with the recent share price of US$320.33, the DCF output suggests Broadcom is about 11.0% overvalued on this model.

Result: OVERVALUED

Our Discounted Cash Flow (DCF) analysis suggests Broadcom may be overvalued by 11.0%. Discover 873 undervalued stocks or create your own screener to find better value opportunities.

AVGO Discounted Cash Flow as at Feb 2026

Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Broadcom.

For profitable companies like Broadcom, the P/E ratio is a useful way to relate what you pay for each share to the earnings the business is currently generating. It gives you a quick sense of how many years of current earnings the market is pricing in.



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