Why Broadcom stock is tumbling after an earnings beat — and how to play the dip

  • 📰 CNBC
  • ⏱ Reading Time:
  • 20 sec. here
  • 11 min. at publisher
  • 📊 Quality Score:
  • News: 42%
  • Publisher: 72%

Apple Inc News

Marvell Technology Inc,NVIDIA Corp,Advanced Micro Devices Inc

The investment thesis for Broadcom is intact: AI revenues are strong, non-AI semi sales are bottoming and the VMWare integration is exceeding all expectations.

Broadcom reported an earnings beat Thursday, driven by strong sales of its AI products and VMware software. But management's guidance for the current quarter disappointed investors, sending shares of the chipmaker down nearly 7% in the after market. This is too harsh of a reaction to an otherwise solid print. Revenue increased 47% year over year to $13.07 billion, beating analysts' forecasts of $12.97 billion, according to estimates compiled by LSEG, formerly Refinitiv.

9 event, when the company is expected to reveal its new AI-powered iPhone. Although Tan didn't budge his full-year wireless outlook of relatively flat year over year, this could be a conservative call and fiscal 2025 sales will be strong because Apple is about to embark on a big new upgrade cycle. Server and storage connectivity : Sales fell 25% year over year to $861 million.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 12. in BUSİNESS

Business Business Latest News, Business Business Headlines