Broadcom is having its own Nvidia moment as shares rise 20% on week
The post Broadcom is having its own Nvidia moment as shares rise 20% on week appeared on BitcoinEthereumNews.com.
Broadcom could be the next company to join the trillion dollar club. Wednesday’s earnings release showed another beat-and-raise announcement that has become commonplace. Markets consolidate on Friday after week’s CPI-led fireworks. Michigan Consumer Sentiment drains, sending NASDAQ lower. Broadcom (AVGO) stock exploded 12% on Thursday, quite a feat for a company already valued at more than half a trillion dollars. In total, AVGO has gained more than 20% this week, putting it ever closer to the $1 trillion club. Trading up 2% on Friday near $790 billion in total market cap, Broadcom could become the seventh US company to achieve the trillion dollar club. Only Berkshire Hathaway (BRK-B) at $875 billion and Eli Lilly (LLY) at $837 billion stand in its way. This is becoming more believable now that Nvidia’s (NVDA) 90% market share of the chips used in artificial intelligence (AI) has propelled it to a $3 trillion market cap. Major indices are lower on Friday after the University of Michigan Consumer Sentiment Index for June arrived at 65.6, well below the prior 69.1 reading. The consolidation phase is well-earned after the NASDAQ notched four straight winning sessions, which was caused by a lower inflation report from the US Consumer Price Index (CPI). Broadcom stock news Broadcom produces a heavy array of semiconductor components used by customers like Apple (AAPL) and Microsoft (MSFT), especially chips used for connectivity, as well as infrastructure software that includes its recent acquisition of VMWare. On Wednesday’s fiscal second-quarter result announcement, adjusted earnings per share rose 6% from a year earlier, but revenue soared by 43% in that same time period. The $10.96 per share bested Wall Street estimates by 12 cents, while revenue was $480 million above the consensus. Revenue related to artificial intelligence (AI) products reached $3.1 billion in the quarter,…
Filed under: News - @ June 14, 2024 10:18 pm