Broadcom Inc. (AVGO): Climbing Against the Tide as Markets Fall – Key Insights
Broadcom Inc. (AVGO) closed at $231.68 in the latest trading session, marking a +0.46% move from the prior day. The stock's change was more than the S&P 500's daily loss of 0.39%. Meanwhile, the Dow lost 0.27%, and the Nasdaq, a tech-heavy index, lost 0.38%.
The chipmaker's stock has climbed by 38.76% in the past month, exceeding the Computer and Technology sector's gain of 19.26% and the S&P 500's gain of 13.07%.
Financial experts and stakeholders will closely monitor the performance of Broadcom Inc. when they release their forthcoming financial update. This announcement is scheduled for June 5, 2025. Analysts anticipate an earnings per share (EPS) figure of $1.57, marking a rise of approximately 42.73% compared to the same time last year. Additionally, according to the Zacks Consensus Estimate, projected total revenues stand at around $14.92 billion, indicating growth of roughly 19.5% over the previous fiscal quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $6.60 per share and a revenue of $62.39 billion, signifying shifts of +35.52% and +20.97%, respectively, from the last year.
Any recent changes to analyst estimates for Broadcom Inc. should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), boasts a remarkable history of outperforming predictions, validated by independent reviews. Since 1988, shares ranked #1 have provided an average yearly return of +25%. In the last thirty days, the Zacks Consensus EPS estimate has stayed consistent. Currently, Broadcom Inc. holds a Zacks Rank of #2 (Buy).
In the context of valuation, Broadcom Inc. is at present trading with a Forward P/E ratio of 34.96. This indicates a premium in contrast to its industry's Forward P/E of 24.66.
We can also see that AVGO currently has a PEG ratio of 1.84. 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 1.55 as of yesterday's close.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 84, this industry ranks in the top 35% of all industries, numbering over 250.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
This article originally published on Zacks Investment Research ().
Belum ada Komentar untuk "Broadcom Inc. (AVGO): Climbing Against the Tide as Markets Fall – Key Insights"
Posting Komentar