Why Broadcom Stock Sank 5.6% Today
Shares of (NASDAQ: AVGO) fell on Monday, finishing the day down 5.6%. The slide came as the S 500 and Nasdaq Composite lost 0.2% and 0.6%, respectively.
Broadcom stock fell today, along with much of the artificial intelligence (AI) market, as investors continue to rotate out of the sector following earnings from both Broadcom itself and fellow tech giant .
Despite reporting record sales and net income as AI sales soar, investors were disappointed by the impact its AI is having on margins. During the company's earnings call, CEO Hock Tan said that its AI business has lower gross margins than its other segments, and as AI sales become a larger part of its total revenue mix, overall margins will be negatively impacted moving forward.
Source Fool.com
Broadcom Ltd. Stock
The stock is one of the favorites of our community with 91 Buy predictions and 1 Sell predictions.
As a result the target price of 320 € shows a slightly positive potential of 15.98% compared to the current price of 275.9 € for Broadcom Ltd..
