Broadcom Inc.’s Stock Price Plummets to $207.93, Experiencing a Sharp 4.91% Drop

Broadcom Inc. (AVGO)

207.93 USD -10.73 (-4.91%) Volume: 32.65M

Broadcom Inc.’s stock price is currently standing at 207.93 USD, witnessing a drop of -4.91% this trading session with a trading volume of 32.65M. The stock has experienced a year-to-date decrease of -10.31%, indicating a bearish trend for AVGO.

Latest developments on Broadcom Inc.

Today, Broadcom’s stock price movements are influenced by a series of key events. Reports suggest that Broadcom and TSMC are considering challenging Intel’s dominance in the market, raising questions about potential government intervention. Despite this, Broadcom has recently exceeded expectations in Q4, with CEO Hock Tan’s leadership earning a rating upgrade. Additionally, Apple’s plans to introduce its own custom WiFi 7 chip in future iPhone models have caused speculation about the tech giant dropping Broadcom. The company’s surge on the AI boom and partnership with Primark have also contributed to its stock prospects. Amidst deal chatter and investor interest, Broadcom’s position in the market remains strong, making it a top stock to watch.

Broadcom Inc. on Smartkarma

Analysts on Smartkarma have provided diverse coverage of Broadcom. Baptista Research highlighted the company’s significant growth in the fourth quarter and fiscal year 2024, driven by strategic acquisitions and advancements in AI technologies. They reported a consolidated revenue of $51.6 billion, a 44% year-over-year increase. On the other hand, Brian Freitas noted a swing in Broadcom’s position from buy to sell due to constituent changes in the S&P 500 Index and capping adjustments. Meanwhile, Nicolas Baratte emphasized Broadcom’s strong growth potential in AI revenue, projecting a market opportunity of $60-90 billion by fiscal year 2027.

Furthermore, Baptista Research discussed Broadcom’s strong fiscal third quarter in 2024, with net revenue reaching $13.1 billion, a 47% increase year-on-year. They attributed this performance to growth in AI revenue, accelerated bookings at VMware, and stable non-AI semiconductor revenue. Uttkarsh Kohli reported that Broadcom surpassed Q3 earnings estimates with revenue of $13.07 billion and EPS of $1.24. However, weaker Q4 revenue guidance and a net loss of $1.88 billion, impacted by a tax provision, led to a 7% drop in shares. Despite this, AI revenue is expected to grow in Q4, surpassing $3.5 billion, and reach $12 billion for fiscal 2024.

A look at Broadcom Inc. Smart Scores

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Based on the Smartkarma Smart Scores, Broadcom has a positive long-term outlook. With a high Momentum score of 5, the company is showing strong performance and growth potential. Additionally, both the Growth and Dividend scores are at 3, indicating a stable and promising future for investors. However, the Value and Resilience scores are lower at 2, suggesting some room for improvement in these areas.

Broadcom Inc. is a company that designs, develops, and supplies semiconductor and infrastructure software solutions. They offer a range of products including storage adapters, networking processors, and security software to customers worldwide. Overall, Broadcom’s Smartkarma Smart Scores point towards a company with solid growth prospects and a strong momentum in the market.

Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
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