Broadcom tops estimates on strong wireless chip demand (AVGO, AAPL, 005930)


It's worth it to have a look at Broadcom Limited (NASDAQ:AVGO) as there may be a chasm between the bulls and the bears as far as recent trading activity goes. This implies that they believe the stock has what it takes to lift the price another 11.38%.

Other equities analysts also recently issued reports about the stock.

Broadcom (NASDAQ:AVGO) is up 4.4% in after-hours trade following fiscal Q4 earnings where it beat the Street thanks to healthy demand for wireless chips spurred by smartphones. The stock has "Buy" rating by Drexel Hamilton on Thursday, August 24. Scott Selber stated it has 16,550 shares or 2.33% of all its holdings.

IBD'S TAKE: Broadcom stock broke out of a 10-week flat base with a buy point of 259.46 on October 30. The stock presently has a consensus rating of "Buy" and an average price target of $298.73. During the regular session, Broadcom rose 0.9% to 263.89.

Excluding items, the company earned $4.59 per share. The firm has a market capitalization of $106,747.80, a P/E ratio of 19.78, a price-to-earnings-growth ratio of 1.26 and a beta of 1.05. A low ratio will specify that there is a probable undervaluation, while a ratio that is comparatively high above the average may indicate overvaluation. Raymond James maintained it with "Strong Buy" rating and $300 target in Friday, June 16 report.

Broadcom Ltd (NASDAQ:AVGO) shares are rising 4% after storming past Street-wide expectations with a stellar fourth fiscal quarter showcase to close out 2017. They expect $3.92 EPS, up 30.67% or $0.92 from last year's $3 per share. The firm had revenue of $4.84 billion for the quarter, compared to the consensus estimate of $4.84 billion. Broadcom had a return on equity of 26.82% and a net margin of 3.12%. The business's revenue was up 132.8% on a year-over-year basis. During the same period in the previous year, the company posted $3.47 EPS. analysts predict that Broadcom will post 13.93 earnings per share for the current fiscal year. The stock of Broadcom Limited (NASDAQ:AVGO) earned "Outperform" rating by BMO Capital Markets on Friday, August 28. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Also, insider Hock E. Tan sold 20,000 shares of the firm's stock in a transaction that occurred on Friday, September 15th. The shares were sold at an average price of $240.62, for a total value of $2,406,200.00. The disclosure for this sale can be found here.

In related news, SVP Bryan Ingram sold 30,000 shares of the company's stock in a transaction on Thursday, September 14th. Company insiders own 3.60% of the company's stock. It turned negative, as 64 investors sold AMZN shares while 542 reduced holdings. Dividends are mostly given in terms of cash payments, property or as shares of stock. Ameriprise Financial Inc. boosted its position in shares of Broadcom by 18.2% during the second quarter. Shine Investment Advisory Services Inc. bought a new stake in shares of Broadcom during the second quarter valued at approximately $116,000. Pioneer Investment Management Inc. now owns 1,236,209 shares of the semiconductor manufacturer's stock worth $288,099,000 after buying an additional 26,246 shares during the last quarter. IFP Advisors Inc now owns 2,169 shares of the semiconductor manufacturer's stock worth $506,000 after buying an additional 257 shares during the last quarter. Pioneer Investment Management Inc. grew its stake in Broadcom by 2.2% during the 2nd quarter. Vanguard Group Inc. now owns 27,561,770 shares of the semiconductor manufacturer's stock worth $6,423,271,000 after buying an additional 793,335 shares in the last quarter.

The short interest to Broadcom Limited Ord's float is 0.81%.

Revenue by segment: Wired infrastructure, $2.146B (up 3%); Wireless communications, $1.796B (up 33%); Enterprise storage, $645M (up 15%); Industrial and other, $257M (up 66%).