Gross Margin
Higher than 59% of Technology sector peers
Updated 1057h ago
Sector Performance
59th percentileAVGO
67.2%
Sector Median
65.2%
Sector Avg
60.4%
Deep Analysis
Gross margin measures the percentage of revenue a company keeps after paying the direct costs of producing its goods—a higher figure generally indicates stronger pricing power or cost efficiency.
At 67.2%, Broadcom’s gross margin sits above the technology sector median of 62.2% and ranks in the 58th percentile among its peers, meaning it is better than most but not at the top. However, the available data shows only a single historical value of 67.2%, with no year-over-year change, no quarter-over-quarter change, and no trend over the last eight quarters—all marked as N/A. Because there is no trend information, it is impossible to assess whether margins are improving, deteriorating, or stable over time. The combination of a solid absolute level with a complete lack of trend data introduces uncertainty: the metric poses no immediate red flag, but without direction, it does not clearly signal opportunity or risk. This ambiguity aligns with the overall NEUTRAL verdict on the stock, as the gross margin provides a modest positive on level but insufficient dynamic evidence to shift the rating upward or downward.
Frequently Asked Questions
What does the Gross Margin tell investors about AVGO?
Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.
How is the Gross Margin calculated?
Gross Margin is calculated as: Gross Profit / Revenue.
How does AVGO's Gross Margin compare to its sector?
AVGO's Gross Margin of 67.2% compares to a Technology sector median of 65.2%, placing it in the 59th percentile.
Who are AVGO's closest peers by Gross Margin?
The closest Technology peers by Gross Margin include: ORCL (65.2%), MDB (72.2%), SAP (73.0%), LIF (77.3%), OKTA (77.8%).
The Formula
Gross Profit / Revenue
Why It Matters
Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.
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67.2%
Sector Median
65.2%
Sector Avg
60.4%
How AVGO's Gross Margin compares to sector peers.
Also Analyze
Not financial advice. Research tool only. Data may be delayed.