Broadcom Ltd Is a Buy; Strong Momentum from Option Traders

 Broadcom Ltd Is a Buy; Strong Momentum from Option Traders

In today’s session Broadcom Ltd (AVGO) registered an unusually high (1,525) contracts volume of call trades. Someone, most probably a professional was a very active buyer of the December, 2016 call, expecting serious AVGO increase. With 1,525 contracts traded and 17044 open interest for the Dec, 16 contract, it seems this is a quite bullish bet. The option with symbol: AVGO161216C00165000 closed last at: $14.7 or 33.6% up. The stock increased 0.03% or $0.06 on November 23, hitting $177.08. About 2.21M shares traded hands. Broadcom Ltd (NASDAQ:AVGO) has risen 17.79% since April 22, 2016 and is uptrending. It has outperformed by 12.38% the S&P500.

Analysts await Broadcom Ltd (NASDAQ:AVGO) to report earnings on December, 8 after the close. They expect $2.88 earnings per share, up 23.61% or $0.55 from last year’s $2.33 per share. AVGO’s profit will be $1.17B for 15.37 P/E if the $2.88 EPS becomes a reality. After $2.47 actual earnings per share reported by Broadcom Ltd for the previous quarter, Wall Street now forecasts 16.60% EPS growth.

Broadcom Ltd (NASDAQ:AVGO) Ratings Coverage

Out of 33 analysts covering Avago Technologies Limited (NASDAQ:AVGO), 31 rate it a “Buy”, 0 “Sell”, while 2 “Hold”. This means 94% are positive. Avago Technologies Limited has been the topic of 80 analyst reports since August 4, 2015 according to StockzIntelligence Inc. Goldman Sachs maintained it with “Buy” rating and $185 target price in Friday, June 3 report. The stock of Broadcom Ltd (NASDAQ:AVGO) has “Buy” rating given on Thursday, August 27 by Jefferies. As per Thursday, December 3, the company rating was maintained by Oppenheimer. M Partners maintained Broadcom Ltd (NASDAQ:AVGO) rating on Wednesday, February 24. M Partners has “Buy” rating and $160 price target. Oppenheimer maintained the stock with “Outperform” rating in Friday, June 3 report. On Friday, June 3 the stock rating was maintained by Cantor Fitzgerald with “Buy”. The firm has “Outperform” rating given on Tuesday, August 25 by Credit Agricole. The stock has “Buy” rating given by SunTrust on Friday, June 3. Craig Hallum initiated it with “Buy” rating and $175 target price in Thursday, February 4 report. The firm has “Buy” rating by M Partners given on Tuesday, November 24.

According to Zacks Investment Research, “Broadcom Limited is a designer, developer and supplier of analog and digital semiconductor connectivity solutions. The company provides data center networking, home connectivity, broadband access, telecommunications equipment, smartphones and base stations, data center servers and storage, factory automation, power generation and alternative energy systems and displays. It serves wired infrastructure, wireless communications, enterprise storage and industrial & other market. Broadcom Limited, formerly known as Avago Technologies Limited, is headquartered in Singapore.”

Insitutional Activity: The institutional sentiment increased to 1 in 2016 Q2. Its up 0.53, from 0.47 in 2016Q1. The ratio is positive, as 11 funds sold all Broadcom Ltd shares owned while 4 reduced positions. 5 funds bought stakes while 2 increased positions. They now own 2.04 million shares or 19.41% less from 2.54 million shares in 2016Q1.
Janney Montgomery Scott Limited Liability last reported 0.03% of its portfolio in the stock. Vantage Investment Advsrs Lc has 0% invested in the company for 12 shares. Moreover, Mitchell Mcleod Pugh Williams has 0.29% invested in Broadcom Ltd (NASDAQ:AVGO) for 2,045 shares. Quantitative Inv Mngmt Limited Liability Corp last reported 0.07% of its portfolio in the stock. Moreover, Lmr Ptnrs Llp has 0.51% invested in Broadcom Ltd (NASDAQ:AVGO) for 21,306 shares. Huntington Bancshares has 0.01% invested in the company for 2,296 shares. Moreover, Trust Department Mb Finance Bancshares N A has 0% invested in Broadcom Ltd (NASDAQ:AVGO) for 243 shares. Scott And Selber holds 1.75% or 16,831 shares in its portfolio. Moreover, Eqis Cap Mgmt has 0.1% invested in Broadcom Ltd (NASDAQ:AVGO) for 9,008 shares. Lyrical Asset Mgmt Lp owns 1.94M shares or 6.3% of their US portfolio. Gemmer Asset Ltd has invested 0.01% of its portfolio in Broadcom Ltd (NASDAQ:AVGO). Cibc World Corp holds 0.11% or 26,277 shares in its portfolio.

Broadcom Limited is a semiconductor company. The company has a market cap of $72.17 billion. The Firm offers a range of products in end-markets, including wired infrastructure, wireless communications, enterprise storage, and industrial and others. It currently has negative earnings. The Company’s products are used in various applications, including data center networking, home connectivity, broadband access, telecommunications equipment, smartphones and base stations, data center servers and storage, factory automation, power generation and alternative energy systems, and displays.

AVGO Company Profile

Broadcom Limited is a semiconductor company. The Firm offers a range of products in end-markets, including wired infrastructure, wireless communications, enterprise storage, and industrial and others. The Company’s products are used in various applications, including data center networking, home connectivity, broadband access, telecommunications equipment, smartphones and base stations, data center servers and storage, factory automation, power generation and alternative energy systems, and displays. The Company’s product categories include broadband access and modems, enterprise and network processors, Ethernet communication and switching, set-top box and media processors, wireless infrastructure and wireless connectivity. The Company’s broadband access and modems category consists of products, such as Universal 1024 quadrature amplitude modulation (QAM) Modulator, Universal DOCSIS 2.0-Based Downstream Modulator, Dual Universal DOCSIS/EuroDOCSIS 2.0 Burst Receiver, DOCSIS/EuroDOCSIS 2.0-Based Cable Modem Termination System and QAMLink DOCSIS/EuroDOCSIS 2.0 Single-Chip Cable Modem.

More notable recent Broadcom Ltd (NASDAQ:AVGO) news were published by: Fool.com which released: “Better Buy: Qualcomm Inc vs. Broadcom Ltd.” on November 09, 2016, also Fool.com with their article: “Why Did Broadcom Ltd. Quit The Internet of Things?” published on May 09, 2016, Streetinsider.com published: “Broadcom Ltd. (AVGO) to Acquire Brocade (BRCD) in ~$5.9B Deal” on November 02, 2016. More interesting news about Broadcom Ltd (NASDAQ:AVGO) were released by: Fool.com and their article: “Broadcom Ltd Already a Big Winner From the Upcoming iPhone 7” published on September 06, 2016 as well as Profitconfidential.com‘s news article titled: “Broadcom Ltd: This Catalyst Could Boost AVGO Stock to $200” with publication date: September 30, 2016.

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