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Broadcom Inc. (AVGO) Stock Moves -0.39%: What You Should Know
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Broadcom Inc. (AVGO - Free Report) closed the most recent trading day at $511.09, moving -0.39% from the previous trading session. This move was narrower than the S&P 500's daily loss of 1.15%. At the same time, the Dow lost 0.71%, and the tech-heavy Nasdaq lost 0.13%.
Coming into today, shares of the chipmaker had gained 1.46% in the past month. In that same time, the Computer and Technology sector lost 1.37%, while the S&P 500 gained 1.44%.
Wall Street will be looking for positivity from Broadcom Inc. as it approaches its next earnings report date. On that day, Broadcom Inc. is projected to report earnings of $9.62 per share, which would represent year-over-year growth of 38.22%. Our most recent consensus estimate is calling for quarterly revenue of $8.41 billion, up 24.01% from the year-ago period.
AVGO's full-year Zacks Consensus Estimates are calling for earnings of $37.06 per share and revenue of $32.98 billion. These results would represent year-over-year changes of +32.31% and +20.14%, respectively.
Any recent changes to analyst estimates for Broadcom Inc. should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.01% higher. Broadcom Inc. is holding a Zacks Rank of #1 (Strong Buy) right now.
Investors should also note Broadcom Inc.'s current valuation metrics, including its Forward P/E ratio of 13.85. For comparison, its industry has an average Forward P/E of 15.14, which means Broadcom Inc. is trading at a discount to the group.
We can also see that AVGO currently has a PEG ratio of 0.95. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Electronics - Semiconductors industry currently had an average PEG ratio of 1.09 as of yesterday's close.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 150, putting it in the bottom 41% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Broadcom Inc. (AVGO) Stock Moves -0.39%: What You Should Know
Broadcom Inc. (AVGO - Free Report) closed the most recent trading day at $511.09, moving -0.39% from the previous trading session. This move was narrower than the S&P 500's daily loss of 1.15%. At the same time, the Dow lost 0.71%, and the tech-heavy Nasdaq lost 0.13%.
Coming into today, shares of the chipmaker had gained 1.46% in the past month. In that same time, the Computer and Technology sector lost 1.37%, while the S&P 500 gained 1.44%.
Wall Street will be looking for positivity from Broadcom Inc. as it approaches its next earnings report date. On that day, Broadcom Inc. is projected to report earnings of $9.62 per share, which would represent year-over-year growth of 38.22%. Our most recent consensus estimate is calling for quarterly revenue of $8.41 billion, up 24.01% from the year-ago period.
AVGO's full-year Zacks Consensus Estimates are calling for earnings of $37.06 per share and revenue of $32.98 billion. These results would represent year-over-year changes of +32.31% and +20.14%, respectively.
Any recent changes to analyst estimates for Broadcom Inc. should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.01% higher. Broadcom Inc. is holding a Zacks Rank of #1 (Strong Buy) right now.
Investors should also note Broadcom Inc.'s current valuation metrics, including its Forward P/E ratio of 13.85. For comparison, its industry has an average Forward P/E of 15.14, which means Broadcom Inc. is trading at a discount to the group.
We can also see that AVGO currently has a PEG ratio of 0.95. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Electronics - Semiconductors industry currently had an average PEG ratio of 1.09 as of yesterday's close.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 150, putting it in the bottom 41% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.