Broadcom’s Adjusted Q3 Profit and Revenue Beat View, but Q4 Revenue Forecast Falls Short (BRCM)

By Staff,

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Wireless chipmaker Broadcom Corporation ( BRCM ) on Wednesday posted solid third quarter earnings results, but its fourth quarter outlook wasn't as good as analysts expected.

The Irvine, CA-based company reported third quarter net income of $220 million, or 38 cents per share, compared with $270 million, or 48 cents per share, in the year-ago period. Excluding one-time items, adjusted profit was 79 cents per share.

Revenue rose 8.7% from last year to $2.13 billion.

On average, Wall Street analysts expected a smaller profit of 76 cents, on lower revenue of $2.09 billion.

Looking ahead, BRCM forecast fourth quarter revenue to range from $1.95 billion to $2.1 billion, which would miss Wall Street's view of $2.11 billion.

Broadcom shares were mostly flat in premarket trading Wednesday.

The Bottom Line
Shares of Broadcom ( BRCM ) have a 1.20% dividend yield, based on last night's closing stock price of $33.36. The stock has technical support in the $30-$32 price area. If the shares can firm up, we see overhead resistance around the $36-$37 price levels.

Broadcom Corporation ( BRCM ) is not recommended at this time, holding a DARS™ Rating of 3.2 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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This article appears in: Investing Stocks
Referenced Stocks: BRCM

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