Broadcom (AVGO, $362.95) beats Q2 earnings and revenue estimates
Broadcom reported third-quarter earnings that surpassed analysts’ expectations.
For the quarter ended Aug. 2, the semiconductor and software company’s non-GAAP earnings of $5.40 a share, beat the $5.24 expected by analysts polled by FactSet.
Revenue for the quarter came in at $5.82 billion, compared to analysts’ estimate of $5.76 billion.
Semiconductor revenue was $4.2 billion in the quarter, which is 72% of its overall revenue.
Looking ahead, the company expects fourth quarter revenue to range between $6.25 billion and $6.55 billion, compared to analysts’ forecast of $6.18 billion.
“Looking ahead, our cash-flow outlook remains robust and we plan to pay down an additional $3 billion in debt in the fourth quarter," said Chief Financial Officer Tom Krause.
Tickeron's analysis of shows that, AVGO's in Uptrend: Moving Average Convergence Divergence (MACD) Histogram just turned positive
This is a Bullish indicator signaling AVGO's price could rise. Traders may explore going long on the ticker or buying call options. In 31 of 43 cases where AVGO's MACD histogram became positive, the price rose further within the following month. The odds of a continued Uptrend are 72%.
Current price $362.95 is above $327.36 the highest support line found by A.I. Throughout the month of 08/05/20 - 09/04/20, the price experienced a +10% Uptrend. During the week of 08/28/20 - 09/04/20, the stock enjoyed a +5% Uptrend growth.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator exceeded the 0 level on August 21, 2020. Traders may consider buying the ticker or exploring call options. In 68 of 95 cases where the ticker's Momentum Indicator exceeded 0, its price rose further within the subsequent month. The odds of a continued Uptrend are 72%.
The Aroon Indicator entered an Uptrend today. In 167 of 295 similar cases where AVGO Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are 57%.
Bearish Trend Analysis
The RSI Indicator appears to be shifting from an Uptrend to a Downtrend. In 25 of 40 cases where AVGO's RSI indicator exited the overbought zone, the price fell further within the following month. The odds of a continued Downtrend are 63%.
The Stochastic Indicator may be shifting from an Uptrend to a Downtrend. In 40 of 66 cases where AVGO's Stochastic indicator exited the overbought zone, the price fell further within the following month. The odds of a continued Downtrend are 61%.
The higher Bollinger Band was broken -- a price fall is expected as the ticker heads toward the middle band, which invites the trader to consider selling or shorting the ticker, or exploring put options. In 27 of 45 cases where AVGO's price broke its higher Bollinger Band, its price dropped further during the following month. The odds of a continued Downtrend are 60%.
Fundamental Analysis (Ratings)
Tickeron has a positive outlook on this ticker and predicts a further increase by more than 4.00% within the next month with a likelihood of 56%. During the last month, the daily ratio of advancing to declining volumes was 1.9 to 1.
The Tickeron Valuation Rating of 8 (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (6.10) is normal, around the industry mean (4.91). P/E Ratio (68.13) is within average values for comparable stocks, (84.09). Projected Growth (PEG Ratio) (0.00) is also within normal values, averaging (2.21). AVGO's Dividend Yield (3.57) is considerably higher than the industry average of (0.59). P/S Ratio (5.76) is also within normal values, averaging (4.39).
The Tickeron Price Growth Rating for this company is 8 (best 1 - 100 worst), indicating outstanding price growth. AVGO’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is 15 (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 58, placing this stock better than average.
The Tickeron PE Growth Rating for this company is 21 (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is 58 (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
Contributor
Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.
AVGO sees its Stochastic Oscillator ascends from oversold territory
On August 31, 2026, the Stochastic Oscillator for AVGO moved out of oversold territory and this could be a bullish sign for the stock. Traders may want to buy the stock or buy call options. Tickeron's A.I.dvisor looked at 50 instances where the indicator left the oversold zone. In of the 50 cases the stock moved higher in the following days. This puts the odds of a move higher at over .
Technical Analysis (Indicators)
Bullish Trend Analysis
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where AVGO's RSI Indicator exited the oversold zone, of 12 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Momentum Indicator moved above the 0 level on September 08, 2026. You may want to consider a long position or call options on AVGO as a result. In of 86 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where AVGO advanced for three days, in of 349 cases, the price rose further within the following month. The odds of a continued upward trend are .
AVGO may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Bearish Trend Analysis
The Moving Average Convergence Divergence Histogram (MACD) for AVGO turned negative on August 17, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 54 similar instances when the indicator turned negative. In of the 54 cases the stock turned lower in the days that followed. This puts the odds of success at .
AVGO moved below its 50-day moving average on August 18, 2026 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for AVGO crossed bearishly below the 50-day moving average on August 24, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In of 14 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where AVGO declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for AVGO entered a downward trend on September 08, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 75, placing this stock better than average.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. AVGO’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: AVGO's P/B Ratio (17.575) is slightly higher than the industry average of (7.385). P/E Ratio (47.010) is within average values for comparable stocks, (156.887). Projected Growth (PEG Ratio) (0.365) is also within normal values, averaging (1.646). Dividend Yield (0.007) settles around the average of (0.015) among similar stocks. P/S Ratio (20.202) is also within normal values, averaging (54.291).
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
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General Information
a manufacturer of digital and analog semiconductor products
Industry Semiconductors
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