What's Happening with 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.