Shares of semiconductor company Broadcom (AVGO) sank in today’s trading as investors await its Q3 earnings results on September 5 after the market closes. Analysts are expecting earnings per share to come in at $1.22 on revenue of $12.963 billion. This equates to 16.2% and 46.2% year-over-year increases, respectively, according to TipRanks’ data. It’s worth noting that Broadcom has beaten earnings estimates for 15 consecutive quarters.
And there are reasons to believe that this win streak could continue. In fact, according to TipRanks’ Bulls Say, Bears Say tool, bullish analysts point to the company’s AI revenue growth as a catalyst since it raised guidance for this segment from $10 billion to over $11 billion. This is due to the momentum being seen in custom AI silicon.
Nevertheless, it is important to not forget about the bearish arguments. This includes an increase in customer churn due to significant changes in…
