Broadcom Corp. Receives Buy Rating from Jefferies Group (BRCM)
Broadcom Corp. (NASDAQ:BRCM)‘s stock had its “buy” rating restated by stock analysts at Jefferies Group in a report issued on Wednesday, American Banking News.com reports. They currently have a $32.00 price target on the stock, down from their previous price target of $34.00. Jefferies Group’s price target indicates a potential upside of 17.91% from the company’s current price.
The analysts wrote, “3Q EPS beat consensus by $0.07 due to better gross margins, higher revs and lower shares, but the outlook for 4Q revs missed the Street by 7%, which the company attributed to wireless inventories, 3G competition and weaker Broadband. We think sentiment improves with LTE, 5G WiFi and data center product ramps in early 2014. We’d use weakness as a particular buying opportunity.”
Shares of Broadcom Corp. (NASDAQ:BRCM) traded down 4.02% on Wednesday, hitting $26.05. 22,064,152 shares of the company’s stock traded hands. Broadcom Corp. has a 52-week low of $23.25 and a 52-week high of $37.85. The stock’s 50-day moving average is $26.19 and its 200-day moving average is $32.3. The company has a market cap of $15.083 billion and a price-to-earnings ratio of 37.59. Broadcom Corp. also was the recipient of some unusual options trading activity on Monday. Stock traders bought 23,511 call options on the company. This represents an increase of 216% compared to the average daily volume of 7,429 call options.
Broadcom Corp. (NASDAQ:BRCM) last released its earnings data on Tuesday, October 22nd. The company reported $0.76 EPS for the quarter, beating the Thomson Reuters consensus estimate of $0.69 by $0.07. The company had revenue of $2.15 billion for the quarter, compared to the consensus estimate of $2.13 billion. During the same quarter in the prior year, the company posted $0.79 earnings per share. The company’s quarterly revenue was up .8% on a year-over-year basis. On average, analysts predict that Broadcom Corp. will post $2.62 earnings per share for the current fiscal year.
A number of other firms have also recently commented on BRCM. Analysts at Goldman Sachs Group Inc. reiterated a “neutral” rating on shares of Broadcom Corp. in a research note to investors on Wednesday. They now have a $30.00 price target on the stock. Separately, analysts at Nomura reiterated a “buy” rating on shares of Broadcom Corp. in a research note to investors on Wednesday. They now have a $33.00 price target on the stock, down previously from $36.00. Finally, analysts at Stifel Nicolaus cut their price target on shares of Broadcom Corp. from $36.00 to $30.00 in a research note to investors on Wednesday. They now have a “buy” rating on the stock. One analyst has rated the stock with a sell rating, sixteen have assigned a hold rating and twenty-five have given a buy rating to the company. The company has a consensus rating of “Buy” and a consensus target price of $33.69.
Broadcom Corporation (NASDAQ:BRCM) is a global semiconductor solution for wired and wireless communications.
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