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Broadcom Inc. (AVGO) Outpaces Stock Market Gains: What You Should Know
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In the latest market close, Broadcom Inc. (AVGO - Free Report) reached $1,220.50, with a +0.77% movement compared to the previous day. The stock outperformed the S&P 500, which registered a daily gain of 0.22%. Meanwhile, the Dow experienced a rise of 0.36%, and the technology-dominated Nasdaq saw an increase of 0.32%.
Coming into today, shares of the chipmaker had gained 7.95% in the past month. In that same time, the Computer and Technology sector gained 3.64%, while the S&P 500 gained 1.61%.
Market participants will be closely following the financial results of Broadcom Inc. in its upcoming release. It is anticipated that the company will report an EPS of $10.61, marking a 2.71% rise compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $11.27 billion, up 26.37% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $47.87 per share and a revenue of $50.07 billion, indicating changes of +13.3% and +39.8%, respectively, from the former year.
Any recent changes to analyst estimates for Broadcom Inc. should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 2.12% upward. Broadcom Inc. is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note Broadcom Inc.'s current valuation metrics, including its Forward P/E ratio of 25.3. This signifies a discount in comparison to the average Forward P/E of 28.3 for its industry.
Also, we should mention that AVGO has a PEG ratio of 1.99. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Electronics - Semiconductors stocks are, on average, holding a PEG ratio of 3.08 based on yesterday's closing prices.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 156, which puts it in the bottom 39% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Broadcom Inc. (AVGO) Outpaces Stock Market Gains: What You Should Know
In the latest market close, Broadcom Inc. (AVGO - Free Report) reached $1,220.50, with a +0.77% movement compared to the previous day. The stock outperformed the S&P 500, which registered a daily gain of 0.22%. Meanwhile, the Dow experienced a rise of 0.36%, and the technology-dominated Nasdaq saw an increase of 0.32%.
Coming into today, shares of the chipmaker had gained 7.95% in the past month. In that same time, the Computer and Technology sector gained 3.64%, while the S&P 500 gained 1.61%.
Market participants will be closely following the financial results of Broadcom Inc. in its upcoming release. It is anticipated that the company will report an EPS of $10.61, marking a 2.71% rise compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $11.27 billion, up 26.37% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $47.87 per share and a revenue of $50.07 billion, indicating changes of +13.3% and +39.8%, respectively, from the former year.
Any recent changes to analyst estimates for Broadcom Inc. should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 2.12% upward. Broadcom Inc. is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note Broadcom Inc.'s current valuation metrics, including its Forward P/E ratio of 25.3. This signifies a discount in comparison to the average Forward P/E of 28.3 for its industry.
Also, we should mention that AVGO has a PEG ratio of 1.99. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Electronics - Semiconductors stocks are, on average, holding a PEG ratio of 3.08 based on yesterday's closing prices.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 156, which puts it in the bottom 39% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.