AVGO | Broadcom Inc. Technology | Semiconductors | USA | NASD Broadcom Inc. designs, develops, and supplies various semiconductor devices with a focus on complex digital and mixed signal complementary metal oxide semiconductor based devices and analog III-V based products worldwide. The company operates in two segments, Semiconductor Solutions and Infrastructure Software. It provides set-top box system-on-chips (SoCs); cable, digital subscriber line, and passive optical networking central office/consumer premise equipment SoCs; wireless local area network access point SoCs; Ethernet switching and routing custom silicon solutions; embedded processors and controllers; serializer/deserializer application specific integrated circuits; optical and copper, and physical layer devices; and fiber optic components and RF semiconductor devices. The company also offers RF front end modules and filter; Wi-Fi, Bluetooth, and global positioning system/global navigation satellite system SoCs; custom touch controllers; custom touch controllers; inductive charging; attached small computer system interface, and redundant array of independent disks controllers and adapters; peripheral component interconnect express; fiber channel host bus adapters; read channel based SoCs; custom flash controllers; preamplifiers; optocouplers, industrial fiber optics, and motion control encoders and subsystems; light emitting diode, ethernet PHYs, switch ICs, and camera microcontrollers. Its products are used in various applications, including enterprise and data center networking, home connectivity, set-top boxes, broadband access, telecommunication equipment, smartphones and base stations, data center servers and storage systems, factory automation, power generation and alternative energy systems, and electronic displays. Broadcom Inc. was incorporated in 2018 and is headquartered in San Jose, California.
One Stock, Two Impressive Streaks Wed, Aug 30, 2023 Earnings season is well past its peak, but one important report to watch this week (Thursday afternoon) will come from Broadcom (AVGO). While it doesn't attract nearly the type of publicity that many other stocks in the Technology sector get, AVGO is in the middle of two very impressive streaks. First, as shown in the snapshot from our Earnings Explorer tool below, the company has reported twelve Earnings Triple Plays (better than expected earnings, better than expected revenues, and raised guidance) in a row. Earnings Triple Plays are relatively uncommon already (just 6% of all earnings reports over the last ten years), but to report twelve in a row is practically unheard of. In fact, using our earnings database which dates back to 2001, the only other stock to report 12 Earnings Triple Plays in a row was AMN Healthcare Services (AMN). That streak actually ended earlier this month when the company reported better than expected EPS and sales but lowered guidance. When AMN's streak ended with its report after the close on 8/3, the stock sold off sharply falling more than 11% on its earnings reaction day (8/4). Almost as impressive as the streak of twelve straight Earnings Triple Plays, shares of AVGO have reacted positively on its earnings reaction day for ten straight quarters. There are actually 120 other instances dating back to 2001 in our database of companies reacting positively to earnings for at least ten quarters. The record actually belongs to Assured Guaranty (AGO) which, if you have a good memory, you'll recall lost over 90% of its value during the Financial Crisis due to its credit market exposure. Coming out of the Financial Crisis, though, the company had 21 straight quarters from May 2012 through May 2017 where the stock's one-day reaction to earnings was positive. Given AVGO's impressive streaks of Earnings Triple Plays and positive reactions to earnings, it should come as no surprise that it has performed admirably over the last three years. With a gain of 153%, the stock has been the 30th best performer in the S&P 500 during that span. Of the 29 stocks that have outperformed AVGO, thirteen are from the Energy sector, while the remaining sixteen span the Technology (7), Industrials (4), Materials (3), and Health Care (2) sectors.
