Broadcom Inc.

Company facts

Industry

Semiconductors & Related Devices

Headquarters

Palo Alto, California

Most recent report

8-K, filed Sep 2, 2026

Filings on record

988 filings

On EDGAR

CIK 1730168

Fiscal year ends

November

Filer status

Large accelerated filer

What to read: May 2026 10-Q

SECSift found 5 of 13 sections worth reading, with 2 positive, 8 notable, and 5 negative flags.

• Financial Statements (Item 1)

  Financials show huge revenue and backlog growth; new $29B backstop guarantee is material.
  Notable

  • Remaining performance obligations $164.6B as of May 3, 2026, including new custom AI accelerator contract.
  Negative

  • Subsequent event: backstop agreement for customer lease obligations with max exposure $29B.

• Management's Discussion (Item 2)

  Company-specific financial results, customer concentration, and liquidity details require close review.
  Positive

  • Cash from operations was $10,493M in Q2 2026, strong operational cash generation.
  Notable

  • Stock-based comp was $2,092M in Q2 2026, with $20.1B unrecognized future cost over ~3 years.
  • One-time gain of $315M from reversal of VMware excise tax charges in other income.
  • Debt of $66,720M, with $2,252M due within 12 months; cash is $19,628M; $10.1B buyback available.
  • Inventory doubled to $4,328M from $2,270M at year-end to support custom AI chip shipments.
  Negative

  • One distributor customer is 42% of revenue in Q2 2026, up from 29% last year, high reliance.

• Risk Factors (Item 1A)

  Several company-specific numbers: customer concentration, TSMC dependency, debt level, and updated risks.
  Notable

  • Top 5 end customer concentration dropped from ~50% to ~45% – slight deconcentration.
  • New risk: AI customers may lease XPUs instead of buying, requiring backstops or guarantees from Broadcom.
  • Debt at $66.7B down $1.25B from prior quarter. Still substantial – could limit flexibility.
  Negative

  • 56% of net revenue from distributors; top 5 end customers ~45% – extreme concentration risk.
  • Over 75% of manufacturing materials from five suppliers, some single source – supply chain risk.

• Unregistered Sales and Repurchases (Item 2)

  New $10B buyback authorization and sharp repurchase slowdown; both actionable.
  Positive

  • New $10B buyback authorization through Dec 31, 2026 announced in Q2 FY2026.

• Other Information (Item 5)

  Large $29B backstop exposure; non-routine disclosure.
  Negative

  • Up to $29 billion backstop for customer lease obligations; large contingent liability if default occurs.

What changed: May 2026 vs. Feb 2026

About 5% of AVGO's May 2026 10-Q is new information. 21 paragraphs were added, 132 changed, and 27 removed. Below are the most important lines SECSift identified.

• Item 2 43
• Item 1A 38
• Item 1 31
• Item 5 1
• Item 3 1
• Item 4 1