Broadcom Net Debt vs Short Term Investments Analysis

AVGO Stock

USD 250.00 25.20 11.21%

Broadcom financial indicator trend analysis is way more than just evaluating Broadcom prevailing accounting drivers to predict future trends. We encourage investors to analyze account correlations over time for multiple indicators to determine whether Broadcom is a good investment. Please check the relationship between Broadcom Net Debt and its Short Term Investments accounts. Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Broadcom. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in price.

To learn how to invest in Broadcom Stock, please use our How to Invest in Broadcom guide.

Net Debt vs Short Term Investments

Net Debt vs Short Term Investments Correlation Analysis

The overlapping area represents the amount of trend that can be explained by analyzing historical patterns of Broadcom Net Debt account and Short Term Investments. At this time, the significance of the direction appears to have fragmental relationship.

The correlation between Broadcom's Net Debt and Short Term Investments is 0.58. Overlapping area represents the amount of variation of Net Debt that can explain the historical movement of Short Term Investments in the same time period over historical financial statements of Broadcom, assuming nothing else is changed. The correlation between historical values of Broadcom's Net Debt and Short Term Investments is a relative statistical measure of the degree to which these accounts tend to move together. The correlation coefficient measures the extent to which Net Debt of Broadcom are associated (or correlated) with its Short Term Investments. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when Short Term Investments has no effect on the direction of Net Debt i.e., Broadcom's Net Debt and Short Term Investments go up and down completely randomly.

Correlation Coefficient

0.58

Relationship Direction	Positive
Relationship Strength	Weak

View All Relationships

Net Debt

The total debt of a company minus its cash and cash equivalents. It represents the actual debt burden on the company after accounting for the liquid assets it holds.

Short Term Investments

Short Term Investments is an item under the current assets section of Broadcom balance sheet. It contains any investments Broadcom undertook that will expire in less than one year. These accounts contain financial instruments such as stocks or bonds that Broadcom can easily liquidate in the marketplace.

Most indicators from Broadcom's fundamental ratios are interrelated and interconnected. However, analyzing fundamental ratios indicators one by one will only give a small insight into Broadcom current financial condition. On the other hand, looking into the entire matrix of fundamental ratios indicators, and analyzing their relationships over time can provide a more complete picture of the company financial strength now and in the future. Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Broadcom. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in price.

To learn how to invest in Broadcom Stock, please use our How to Invest in Broadcom guide.At this time, Broadcom's Selling General Administrative is very stable compared to the past year. As of the 17th of December 2024, Tax Provision is likely to grow to about 1.2 B, while Discontinued Operations is likely to drop (1.2 M).

	2021	2022	2023	2024 (projected)
Gross Profit	22.1B	24.7B	32.5B	34.1B
Total Revenue	33.2B	35.8B	51.6B	54.2B

Gross Profit Total Revenue

Broadcom fundamental ratios Correlations

	Total Assets	Short Long Term Debt Total	Other Current Liab	Total Current Liabilities	Total Stockholder Equity	Property Plant And Equipment Net	Current Deferred Revenue	Net Debt	Retained Earnings	Accounts Payable	Cash	Non Current Assets Total	Non Currrent Assets Other	Cash And Short Term Investments	Net Receivables	Good Will	Common Stock Shares Outstanding	Non Current Liabilities Total	Inventory	Other Current Assets	Other Stockholder Equity	Total Liab	Property Plant And Equipment Gross	Total Current Assets	Short Term Debt	Intangible Assets
Total Assets		0.97	0.89	0.94	0.97	0.81	0.69	0.94	0.25	0.8	0.87	0.99	0.85	0.87	0.92	0.99	0.92	0.99	0.89	0.84	0.85	0.99	0.87	0.91	0.68	0.6
Short Long Term Debt Total	0.97		0.93	0.98	0.89	0.67	0.75	0.98	0.31	0.69	0.89	0.95	0.92	0.89	0.85	0.98	0.83	0.98	0.85	0.89	0.94	0.99	0.9	0.91	0.7	0.46
Other Current Liab	0.89	0.93		0.95	0.8	0.51	0.52	0.86	0.47	0.65	0.95	0.83	0.98	0.95	0.82	0.92	0.71	0.9	0.91	0.98	0.86	0.92	0.96	0.96	0.72	0.19
Total Current Liabilities	0.94	0.98	0.95		0.86	0.62	0.7	0.96	0.32	0.68	0.88	0.92	0.92	0.88	0.85	0.96	0.78	0.96	0.85	0.9	0.95	0.97	0.9	0.9	0.79	0.42
Total Stockholder Equity	0.97	0.89	0.8	0.86		0.87	0.58	0.88	0.31	0.79	0.8	0.97	0.77	0.8	0.96	0.95	0.95	0.93	0.85	0.75	0.74	0.93	0.8	0.85	0.68	0.65
Property Plant And Equipment Net	0.81	0.67	0.51	0.62	0.87		0.52	0.68	0.09	0.88	0.55	0.84	0.47	0.55	0.81	0.75	0.94	0.76	0.66	0.48	0.49	0.74	0.53	0.61	0.46	0.8
Current Deferred Revenue	0.69	0.75	0.52	0.7	0.58	0.52		0.81	-0.1	0.46	0.51	0.72	0.54	0.51	0.44	0.7	0.59	0.74	0.44	0.49	0.79	0.73	0.53	0.51	0.29	0.51
Net Debt	0.94	0.98	0.86	0.96	0.88	0.68	0.81		0.23	0.64	0.78	0.95	0.84	0.78	0.82	0.96	0.81	0.96	0.75	0.8	0.95	0.96	0.81	0.81	0.73	0.56
Retained Earnings	0.25	0.31	0.47	0.32	0.31	0.09	-0.1	0.23		0.16	0.43	0.18	0.56	0.43	0.45	0.3	0.24	0.22	0.47	0.52	0.18	0.24	0.54	0.46	0.28	-0.35
Accounts Payable	0.8	0.69	0.65	0.68	0.79	0.88	0.46	0.64	0.16		0.69	0.79	0.62	0.69	0.76	0.76	0.9	0.77	0.8	0.65	0.5	0.76	0.7	0.73	0.44	0.54
Cash	0.87	0.89	0.95	0.88	0.8	0.55	0.51	0.78	0.43	0.69		0.8	0.93	1.0	0.79	0.89	0.75	0.89	0.93	0.96	0.78	0.89	0.95	0.99	0.55	0.18
Non Current Assets Total	0.99	0.95	0.83	0.92	0.97	0.84	0.72	0.95	0.18	0.79	0.8		0.79	0.8	0.9	0.98	0.92	0.98	0.83	0.77	0.84	0.98	0.8	0.84	0.68	0.69
Non Currrent Assets Other	0.85	0.92	0.98	0.92	0.77	0.47	0.54	0.84	0.56	0.62	0.93	0.79		0.93	0.78	0.89	0.68	0.87	0.89	0.98	0.84	0.89	0.98	0.94	0.63	0.13
Cash And Short Term Investments	0.87	0.89	0.95	0.88	0.8	0.55	0.51	0.78	0.43	0.69	1.0	0.8	0.93		0.79	0.89	0.75	0.89	0.93	0.96	0.78	0.89	0.95	0.99	0.55	0.18
Net Receivables	0.92	0.85	0.82	0.85	0.96	0.81	0.44	0.82	0.45	0.76	0.79	0.9	0.78	0.79		0.91	0.89	0.87	0.88	0.77	0.69	0.88	0.81	0.86	0.76	0.53
Good Will	0.99	0.98	0.92	0.96	0.95	0.75	0.7	0.96	0.3	0.76	0.89	0.98	0.89	0.89	0.91		0.89	0.99	0.89	0.87	0.88	0.99	0.89	0.92	0.7	0.53
Common Stock Shares Outstanding	0.92	0.83	0.71	0.78	0.95	0.94	0.59	0.81	0.24	0.9	0.75	0.92	0.68	0.75	0.89	0.89		0.88	0.8	0.68	0.67	0.87	0.73	0.79	0.57	0.65
Non Current Liabilities Total	0.99	0.98	0.9	0.96	0.93	0.76	0.74	0.96	0.22	0.77	0.89	0.98	0.87	0.89	0.87	0.99	0.88		0.88	0.87	0.89	1.0	0.88	0.92	0.66	0.56
Inventory	0.89	0.85	0.91	0.85	0.85	0.66	0.44	0.75	0.47	0.8	0.93	0.83	0.89	0.93	0.88	0.89	0.8	0.88		0.92	0.66	0.88	0.94	0.96	0.56	0.29
Other Current Assets	0.84	0.89	0.98	0.9	0.75	0.48	0.49	0.8	0.52	0.65	0.96	0.77	0.98	0.96	0.77	0.87	0.68	0.87	0.92		0.79	0.88	0.96	0.96	0.59	0.11
Other Stockholder Equity	0.85	0.94	0.86	0.95	0.74	0.49	0.79	0.95	0.18	0.5	0.78	0.84	0.84	0.78	0.69	0.88	0.67	0.89	0.66	0.79		0.9	0.79	0.79	0.74	0.38
Total Liab	0.99	0.99	0.92	0.97	0.93	0.74	0.73	0.96	0.24	0.76	0.89	0.98	0.89	0.89	0.88	0.99	0.87	1.0	0.88	0.88	0.9		0.89	0.92	0.68	0.54
Property Plant And Equipment Gross	0.87	0.9	0.96	0.9	0.8	0.53	0.53	0.81	0.54	0.7	0.95	0.8	0.98	0.95	0.81	0.89	0.73	0.88	0.94	0.96	0.79	0.89		0.96	0.59	0.16
Total Current Assets	0.91	0.91	0.96	0.9	0.85	0.61	0.51	0.81	0.46	0.73	0.99	0.84	0.94	0.99	0.86	0.92	0.79	0.92	0.96	0.96	0.79	0.92	0.96		0.61	0.25
Short Term Debt	0.68	0.7	0.72	0.79	0.68	0.46	0.29	0.73	0.28	0.44	0.55	0.68	0.63	0.55	0.76	0.7	0.57	0.66	0.56	0.59	0.74	0.68	0.59	0.61		0.39
Intangible Assets	0.6	0.46	0.19	0.42	0.65	0.8	0.51	0.56	-0.35	0.54	0.18	0.69	0.13	0.18	0.53	0.53	0.65	0.56	0.29	0.11	0.38	0.54	0.16	0.25	0.39

Click cells to compare fundamentals

Broadcom Account Relationship Matchups

Broadcom fundamental ratios Accounts

	2019	2020	2021	2022	2023	2024 (projected)
Total Assets	75.9B	75.6B	73.2B	72.9B	83.8B	88.0B
Short Long Term Debt Total	41.1B	39.7B	39.5B	39.2B	45.1B	47.4B
Other Current Liab	2.1B	2.3B	2.7B	3.7B	4.2B	4.4B
Total Current Liabilities	6.4B	6.3B	7.1B	7.4B	8.5B	8.9B
Total Stockholder Equity	23.9B	25.0B	22.7B	24.0B	27.6B	29.0B
Current Deferred Revenue	2.6B	2.6B	2.9B	935M	1.1B	823.8M
Net Debt	33.4B	27.6B	27.1B	25.0B	28.8B	30.2B
Accounts Payable	836M	1.1B	998M	1.2B	1.4B	696.3M
Cash	7.6B	12.2B	12.4B	14.2B	16.3B	17.1B
Non Current Assets Total	64.0B	59.0B	54.7B	52.0B	59.8B	62.8B
Non Currrent Assets Other	1.3B	1.8B	1.8B	2.3B	2.7B	2.8B
Cash And Short Term Investments	7.6B	12.2B	12.4B	14.2B	16.3B	17.1B
Net Receivables	2.3B	2.1B	3.0B	3.2B	3.6B	3.8B
Good Will	43.4B	43.5B	43.6B	43.7B	50.2B	52.7B
Common Stock Shares Outstanding	4.2B	4.3B	4.2B	4.3B	4.8B	3.7B
Liabilities And Stockholders Equity	75.9B	75.6B	73.2B	72.9B	83.8B	88.0B
Non Current Liabilities Total	45.7B	44.3B	43.5B	41.5B	47.7B	50.1B
Inventory	1.0B	1.3B	1.9B	1.9B	2.2B	2.3B
Other Current Assets	977M	1.1B	1.2B	1.6B	1.8B	1.9B
Other Stockholder Equity	24.0B	24.3B	21.2B	21.1B	24.3B	25.5B
Total Liab	52.0B	50.6B	50.5B	48.9B	56.2B	59.0B
Total Current Assets	11.9B	16.6B	18.5B	20.8B	24.0B	25.2B
Accumulated Other Comprehensive Income	(108M)	(116M)	(54M)	207M	186.3M	195.6M
Short Term Debt	827M	290M	440M	1.6B	1.8B	1.9B
Intangible Assets	16.8B	11.4B	7.1B	3.9B	4.4B	6.8B
Other Liab	5.6B	4.9B	4.9B	4.4B	5.1B	3.6B
Other Assets	743M	711M	1.8B	1.8B	2.1B	2.2B
Long Term Debt	40.2B	39.4B	39.1B	37.6B	43.3B	45.4B
Property Plant Equipment	2.6B	3.1B	2.3B	2.2B	2.6B	1.7B
Short Long Term Debt	827M	290M	440M	1.6B	1.4B	969.9M
Net Tangible Assets	(29.3B)	(36.4B)	(29.8B)	(28.0B)	(25.2B)	(26.5B)
Non Current Liabilities Other	5.4B	4.9B	4.4B	3.8B	4.4B	4.1B
Net Invested Capital	64.9B	64.7B	62.2B	63.2B	72.7B	62.0B

Pair Trading with Broadcom

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Broadcom position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Broadcom will appreciate offsetting losses from the drop in the long position's value.

Moving against Broadcom Stock

0.38

MAXN

Maxeon Solar Technologies

Pair Corr

The ability to find closely correlated positions to Broadcom could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Broadcom when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Broadcom - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Broadcom to buy it.

The correlation of Broadcom is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Broadcom moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Broadcom moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.

Correlation analysis and pair trading evaluation for Broadcom can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.

Pair Correlation Correlation Matching

When determining whether Broadcom offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Broadcom's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Broadcom Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Broadcom Stock:

How To Invest In Broadcom

Details

Is Broadcom Stock a good investment?

Details

What is Broadcom's Net Worth?

Details

Largest Semiconductors & Semiconductor Equipment Companies

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Largest Information Technology Companies

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Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Broadcom. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in price.

To learn how to invest in Broadcom Stock, please use our How to Invest in Broadcom guide.

You can also try the Volatility Analysis module to get historical volatility and risk analysis based on latest market data.

Is Semiconductors & Semiconductor Equipment space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Broadcom. If investors know Broadcom will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Broadcom listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.

Quarterly Earnings Growth

1.881

Earnings Share

1.43

Revenue Per Share

10.429

Quarterly Revenue Growth

0.164

Return On Assets

0.077

The market value of Broadcom is measured differently than its book value, which is the value of Broadcom that is recorded on the company's balance sheet. Investors also form their own opinion of Broadcom's value that differs from its market value or its book value, called intrinsic value, which is Broadcom's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Broadcom's market value can be influenced by many factors that don't directly affect Broadcom's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.

Please note, there is a significant difference between Broadcom's value and its price as these two are different measures arrived at by different means. Investors typically determine if Broadcom is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Broadcom's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

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Broadcom Net Debt vs Short Term Investments Analysis

Net Debt vs Short Term Investments

Net Debt vs Short Term Investments Correlation Analysis

Correlation Coefficient

Net Debt

Short Term Investments

Broadcom fundamental ratios Correlations

Broadcom Account Relationship Matchups

High Positive Relationship

High Negative Relationship

Broadcom fundamental ratios Accounts

Pair Trading with Broadcom

Moving against Broadcom Stock

COMMON DESTINATIONS

MAIN CATEGORIES

COMPANY

Cash And Short Term Investments	+ 1.0	Cash
Total Liab	+ 1.0	Non Current Liabilities Total
Non Current Assets Total	+ 0.99	Total Assets
Good Will	+ 0.99	Total Assets
Non Current Liabilities Total	+ 0.99	Total Assets
Total Liab	+ 0.99	Total Assets

Intangible Assets	- 0.35	Retained Earnings
Retained Earnings	- 0.1	Current Deferred Revenue