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Broadcom Inc. (AVGO) Dips More Than Broader Markets: What You Should Know
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Broadcom Inc. (AVGO - Free Report) closed the most recent trading day at $513.22, moving -0.94% from the previous trading session. This move lagged the S&P 500's daily loss of 0.89%. At the same time, the Dow lost 0.63%, and the tech-heavy Nasdaq lost 0.25%.
Prior to today's trading, shares of the chipmaker had gained 21.3% over the past month. This has outpaced the Computer and Technology sector's gain of 10.6% and the S&P 500's gain of 11.42% in that time.
Broadcom Inc. will be looking to display strength as it nears its next earnings release, which is expected to be December 8, 2022. In that report, analysts expect Broadcom Inc. to post earnings of $10.27 per share. This would mark year-over-year growth of 31.5%. Meanwhile, our latest consensus estimate is calling for revenue of $8.9 billion, up 20.1% from the prior-year quarter.
It is also important to note the recent changes to analyst estimates for Broadcom Inc.These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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.
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. Within the past 30 days, our consensus EPS projection has moved 0.63% lower. Broadcom Inc. currently has a Zacks Rank of #4 (Sell).
Looking at its valuation, Broadcom Inc. is holding a Forward P/E ratio of 12.93. This valuation marks a discount compared to its industry's average Forward P/E of 15.27.
Also, we should mention that AVGO has a PEG ratio of 0.86. 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 was holding an average PEG ratio of 1.8 at yesterday's closing price.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 208, putting it in the bottom 18% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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) Dips More Than Broader Markets: What You Should Know
Broadcom Inc. (AVGO - Free Report) closed the most recent trading day at $513.22, moving -0.94% from the previous trading session. This move lagged the S&P 500's daily loss of 0.89%. At the same time, the Dow lost 0.63%, and the tech-heavy Nasdaq lost 0.25%.
Prior to today's trading, shares of the chipmaker had gained 21.3% over the past month. This has outpaced the Computer and Technology sector's gain of 10.6% and the S&P 500's gain of 11.42% in that time.
Broadcom Inc. will be looking to display strength as it nears its next earnings release, which is expected to be December 8, 2022. In that report, analysts expect Broadcom Inc. to post earnings of $10.27 per share. This would mark year-over-year growth of 31.5%. Meanwhile, our latest consensus estimate is calling for revenue of $8.9 billion, up 20.1% from the prior-year quarter.
It is also important to note the recent changes to analyst estimates for Broadcom Inc.These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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.
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. Within the past 30 days, our consensus EPS projection has moved 0.63% lower. Broadcom Inc. currently has a Zacks Rank of #4 (Sell).
Looking at its valuation, Broadcom Inc. is holding a Forward P/E ratio of 12.93. This valuation marks a discount compared to its industry's average Forward P/E of 15.27.
Also, we should mention that AVGO has a PEG ratio of 0.86. 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 was holding an average PEG ratio of 1.8 at yesterday's closing price.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 208, putting it in the bottom 18% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.