Broadcom Inc. (AVGO) Shares Drop 3.08%: What’s Behind the Decline?

Broadcom Inc. (NASDAQ: AVGO) experienced a significant decline in its stock price on Thursday, November 28, 2024. The shares fell by 3.08% during mid-day trading, reaching an intraday low of $157.54 before slightly recovering to $159.67. This drop follows the stock’s previous close at $164.74.

The trading volume for the day was substantial, with 19,722,723 shares changing hands, which is a decline of 32% from the average session volume of 29,185,664 shares. This volatility is noteworthy, especially given the company’s recent performance and analyst expectations.

Analysts have been optimistic about Broadcom’s prospects, with several firms adjusting their price targets upward. For instance, Goldman Sachs lifted their target price from $185.00 to $190.00 and maintained a “buy” rating. The average one-year price target from 31 analysts stands at $196.23, suggesting a potential upside of 22.90% from the current price.

Broadcom’s financial health remains robust, with the company reporting $1.24 EPS for the last quarter, exceeding analysts’ consensus estimates. The firm also posted revenue of $13.07 billion, surpassing the consensus estimate of $12.98 billion. However, the recent stock price movement may reflect broader market sentiments or specific sectoral pressures.

The company is set to release its Q4 earnings on Thursday, December 12, 2024, which could provide further insight into its financial performance and potentially influence the stock price in the coming weeks.