Will Strong Numbers Push Broadcom (AVGO) Stock Back to its Record High?

What's Happening With AVGO View more about AVGO >

Broadcom (AVGO) reports fiscal second-quarter numbers June 13 after the market close. Analysts expect to see earnings of $5.18 per share on revenue of $5.66 billion for the quarter. During the same period last year the company earned $4.88 on $5.01 billion and the stock has appreciated 9.1% on the year.

Technical Analysis

AVGO was recently trading at $277.39 down $45.81 from its 12-month high and $79.93 above its 12-month low. InvestorsObserver’s Stock Score Report gives AVGO a 64 long-term technical score and a 80 short-term technical score. The stock has recent support above $250 and recent resistance below $300. Of the 25 analysts who cover the stock 18 rate it Strong Buy, 0 rate it Buy, 7 rate it Hold, 0 rate it Sell, and 0 rate it Strong Sell, AVGO gets a score of 73 from InvestorsObserver’s Stock Score Report.

Analysts' Thoughts

AVGO stock took a big hit in May along with the overall semiconductor sector as trade negotiations between the U.S. and China eroded. The tech sector was hit particularly hard during the May pullback, and semiconductors fell sharply as concerns rose over demand should the trade war lead to a global recession. The stock has started to recover some of its May losses as the broader market stabilized over the last week, but the stock is still vulnerable to additional downside if trade negotiations do not improve quickly between the world’s two largest economies. Last quarter the company delivered a solid earnings beat while sales fell a bit shy of the consensus. Despite the sales miss the stock rallied on the positive earnings surprise and shares hit an all-time high before selling off in May with the overall market. The street expects another earnings beat with a whisper number of $5.35 for the quarter, and analysts have an average price target of $312.73 on the stock.

AVGO
About Broadcom Limited

Broadcom--the combined entity of Broadcom and Avago--boasts a highly diverse product portfolio across an array of end markets. Avago focused primarily on radio frequency filters and amplifiers used in high-end smartphones, such as the Apple iPhone and Samsung Galaxy devices, in addition to an assortment of solutions for wired infrastructure, enterprise storage, and industrial end markets. Legacy Broadcom targeted networking semiconductors, such as switch and physical layer chips, broadband products (such as television set-top box processors), and connectivity chips that handle standards such as Wi-Fi and Bluetooth. The company recently acquired Brocade and CA Technologies to bolster its offerings in enterprise storage and mainframe software, respectively.

  • Last Price:
    $279.20
  • Previous Close:
    $273.99
  • Change:
    $5.21 (1.90%)
  • Open:
    $275.52
  • Volume:
    2,002,277
  • Average Volume (100 Day):
    2,838,827
  • Market Capitalization:
    $111.1 B
  • Day's Range:
    $275.00 - $279.45
  • Dividend Yield:
    3.87%
  • 52-week Range:
    $323 - $197.46
  • P-E:
    34.20
  • EPS:
    $8.17
  • Earnings Date:
    9/5/19
  • Ex Dividend Date:
    6/21/19
  • Sector:
    Technology
  • Industry:
    Semiconductors
  • Analyst Average Recommendation:
    Moderate Buy

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