Broadcom: Broadcom Earnings: What To Look For From AVGO

Fabless chip and software maker Broadcom ( NASDAQ: AVGO ) will be announcing earnings results tomorrow after the bell. Here's what to look for. Broadcom beat analysts' revenue expectations by 2.1% last quarter, reporting revenues of $14.92 billion, up 24.7% year on year. It was a mixed quarter for the company, with a solid beat of analysts' EPS estimates but an increase in its inventory levels. Is Broadcom a buy or sell going into earnings? Read our full analysis here, it's free . This quarter, analysts are expecting Broadcom's revenue to grow 20.3% year on year to $15.02 billion, slowing from the 43% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.57 per share. Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Broadcom has only missed Wall Street's revenue estimates once over the last two years, exceeding top-line expectations by 0.9% on average. Looking at Broadcom's peers in the processors and graphics chips segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Allegro MicroSystems's revenues decreased 19.9% year on year, beating analysts' expectations by 4.3%, and Qorvo reported a revenue decline of 7.6%, topping estimates by 2.2%. Allegro MicroSystems traded up 19.5% following the results while Qorvo was also up 14.4%. Read our full analysis of Allegro MicroSystems's results here and Qorvo's results here . There has been positive sentiment among investors in the processors and graphics chips segment, with share prices up 13.4% on average over the last month. Broadcom is up 28.4% during the same time and is heading into earnings with an average analyst price target of $250.52 (compared to the current share price of $256.94). Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we've identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link .