Broadcom forward normalized EPS valuation

Sources

1. Reference AVGO share price refreshed from Modeledge price data on September 10, 2026 to $360.83; market price alone does not change intrinsic assumptions. (accessed 2026-09-10)
2. Q3 10-Q discloses an approximately $29B maximum undiscounted lease-backstop exposure upon full rack deployment; current fair value was immaterial and no payments occurred. Up to $42B customer notes to Broadcom are conditional and none were issued as of August 2. Top five end customers represented 55% of Q3 revenue. These risks do not provide a quantified replacement for the existing $15 forward EPS assumption. — modeledge.ai (accessed 2026-09-10)
3. Broadcom reported Q2 fiscal 2026 revenue of $22.19 billion, non-GAAP diluted EPS of $2.44, and guided Q3 revenue to approximately $29.4 billion. — sec.gov (accessed 2026-07-18)
4. Q3 FY26 non-GAAP EPS $3.32. Q4 guidance: revenue $34.8B, non-GAAP operating margin 66%, tax rate 16%, diluted shares 4.94B. Annualized operating EPS before financing is a derived cross-check, not EPS guidance. — modeledge.ai (accessed 2026-09-07)
5. Management expects approximately $115B AI revenue in FY27 and $230B in FY28 and EPS above $30 in FY28. These are forward-looking and are not capitalized as current earnings. — modeledge.ai (accessed 2026-09-07)
6. September 8 conference reiterated FY2027/FY2028 AI revenue expectations of $115B/$230B and discussed power constraints and residual-equipment financing guarantees. No new EPS guidance was provided; retain normalized EPS $15 and 30x P/E. — modeledge.ai (accessed 2026-09-08)