We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Here's Why Broadcom Inc. (AVGO) Fell More Than Broader Market
Read MoreHide Full Article
In the latest trading session, Broadcom Inc. (AVGO - Free Report) closed at $1,265, marking a -1.44% move from the previous day. The stock fell short of the S&P 500, which registered a loss of 0.1% for the day. Elsewhere, the Dow saw an upswing of 0.33%, while the tech-heavy Nasdaq depreciated by 0.3%.
Heading into today, shares of the chipmaker had gained 15.87% over the past month, outpacing the Computer and Technology sector's gain of 11.35% and the S&P 500's gain of 5.78% in that time.
The upcoming earnings release of Broadcom Inc. will be of great interest to investors. The company's earnings report is expected on March 7, 2024. The company is expected to report EPS of $10.59, up 2.52% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $11.27 billion, up 26.37% from the year-ago period.
For the full year, the Zacks Consensus Estimates project earnings of $47.53 per share and a revenue of $50.07 billion, demonstrating changes of +12.5% and +39.8%, respectively, from the preceding year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Broadcom Inc. 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.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.78% lower. Broadcom Inc. is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note Broadcom Inc.'s current valuation metrics, including its Forward P/E ratio of 27. This valuation marks a discount compared to its industry's average Forward P/E of 30.26.
Investors should also note that AVGO has a PEG ratio of 2.13 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As the market closed yesterday, the Electronics - Semiconductors industry was having an average PEG ratio of 3.58.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 206, finds itself in the bottom 19% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Here's Why Broadcom Inc. (AVGO) Fell More Than Broader Market
In the latest trading session, Broadcom Inc. (AVGO - Free Report) closed at $1,265, marking a -1.44% move from the previous day. The stock fell short of the S&P 500, which registered a loss of 0.1% for the day. Elsewhere, the Dow saw an upswing of 0.33%, while the tech-heavy Nasdaq depreciated by 0.3%.
Heading into today, shares of the chipmaker had gained 15.87% over the past month, outpacing the Computer and Technology sector's gain of 11.35% and the S&P 500's gain of 5.78% in that time.
The upcoming earnings release of Broadcom Inc. will be of great interest to investors. The company's earnings report is expected on March 7, 2024. The company is expected to report EPS of $10.59, up 2.52% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $11.27 billion, up 26.37% from the year-ago period.
For the full year, the Zacks Consensus Estimates project earnings of $47.53 per share and a revenue of $50.07 billion, demonstrating changes of +12.5% and +39.8%, respectively, from the preceding year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Broadcom Inc. 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.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.78% lower. Broadcom Inc. is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note Broadcom Inc.'s current valuation metrics, including its Forward P/E ratio of 27. This valuation marks a discount compared to its industry's average Forward P/E of 30.26.
Investors should also note that AVGO has a PEG ratio of 2.13 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As the market closed yesterday, the Electronics - Semiconductors industry was having an average PEG ratio of 3.58.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 206, finds itself in the bottom 19% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.