Score 8.6 (out of 10): BROADCOM INC poised to seasonally rally by +19.5% during the next 90 days.

47

What’s Going On Here?

Broadcom designs, develops, and markets digital and analog semiconductors. The Federal Trade Commission is blocking Broadcom from entering into some exclusivity or loyalty agreements for chips used in set-top boxes and broadband internet devices. An indication how valuable Broadcom’s products are.

Why Now?

BROADCOM INC indicates an interesting 90 days seasonal set up. During similar occasions, BROADCOM INC shares had a median return of +19.5% – based on 10 historical occasions with 9 of those showing positive returns (90%). This buy signal for BROADCOM INC received a high score of 8.6 (out of 10). This insight was generated with last price of 553.28.

What’s This Company About?

BROADCOM INC is in the Electronic Compo-Semicon business. Based on the last 2 years’ risk/return profile, this asset is seen as Less Risky. ‘Wall Street’ analysts think the stock price will be worth 3.2% more (average). Ticker symbol: AVGO US.

What’s My Risk / Reward and Time Horizon?

We found 90 days to be the optimal trade horizon, after testing a number of possible alternatives (accuracy of previous returns). Otherwise consider closing out this trade once the target level of 661.23 (+19.5%) has been reached. Based on BROADCOM INC’s recent up and down swings, LongShortBets suggests considering to set a stop loss level for this insight at 527.78 (last price at 553.28), which is equivalent to a -4.6% decline.

Returns during similar periods:

The chart above shows the previous returns (in %) based on similar setups with the most recent ‘insight’ shown under (1), the second most recent ‘insight’ shown under (2), etc. 

Previous episodes:

23.9% (November-2021), 2.7% (November-2020), 22.9% (November-2019), -9.5% (November-2018), 18% (November-2017), 5.5% (November-2016), 22.2% (November-2015), 32.3% (November-2014), 7.7% (November- 2013), 21% (November-2012)

Historical Chart:

———————————————————————

Summary:

NameBROADCOM INC
ViewUp
Star (1 to 10)8.6
Target+19.5%
Time90 days
Hit Rate90%

Leave a Reply