Broadcom’s Revenue Guidance for 3Q15
Net income for 2Q15 included acquisition cost of Avago Generally accepted accounting principles (GAAP) net income for 2Q15 included costs associated with the proposed acquisition of Avago (AVGO) of $22 million or $0.04 per share. Broadcom’s press release on July 31, 2015, stated, “GAAP net income for the first quarter of 2015 included impairment charges […]
US Equities Decline on 1Q15 Gross Domestic Product Numbers
US equities declined in 1Q15. GDP dropped by 0.7% in the first quarter against the expectation of 0.2% growth.
Point72 Asset Management starts a new position in Estée Lauder
Steven Cohen’s Point72 Asset Management, which was earlier known as SAC Capital, added a position in Estée Lauder Companies (EL) in 1Q 2014.
Highfields Capital exits its position in Broadcom
Highfields Capital sold its position in BRCM in the third quarter. The position accounted for 1.66% of the fund’s 2Q14 portfolio. Broadcom makes semiconductors for wired and wireless communications.
Steven Cohen and Point72 Asset Management’s 1Q 2014 positions
Steven Cohen’s Point72 Asset Management, the new name for SAC Capital Advisors, disclosed new positions in its 13F filing this month.
Profitability of 16-NM Planar NAND Entices Micron
To improve upon its storage business, Micron announced the availability of its 16-nm TLC planar NAND in the previous quarter.
Avago Technologies Led SPY as Its Earnings Beat Estimates
Avago Technologies creates semiconductors, and is a key supplier to Apple and Samsung. Avago’s adjusted EPS for the quarter ended November 1 came in at $2.51.
Why Qualcomm’s stock has underperformed compared to peers
Qualcomm’s (QCOM) stock performed poorly compared to the company’s peers in the semiconductor industry. As the chart below shows, Qualcomm’s stock has increased by only 2% year-to-date.
Avago: Designs, Develops, and Supplies Semiconductor Devices
Avago Technologies (AVGO) is a designer, developer, and global supplier of a broad range of semiconductor devices. It’s purchasing Broadcom (BRCM).
Qualcomm 2Q15 Earnings: What Investors Can Expect
Qualcomm continues to face issues in China (FXI), the most important market for the company. Plus, Samsung reportedly replaced Qualcomm’s chipsets with its own chipsets in its latest Galaxy S6 smartphone.
Business Segment Performance of Broadcom in 2Q15
Broadband and connectivity In 2Q15, the “Broadband and Connectivity” segment of Broadcom (BRCM) generated revenues of $1.42 billion compared to $1.40 billion in 1Q15 and $1.30 billion in 2Q14. Operating income in 2Q15 for this segment was $268 million compared to $241 million in 1Q15 and $243 million in 2Q14. While operating margin was 18.8% […]
Why the Embedded Processing segment influences TXN’s operations
Texas Instrument’s Embedded Processing segment’s products can be referred to as the “brains” of many electronic devices. They’re designed to handle specific tasks.
Shares of Xilinx Just Spiked on Acquisition Rumors
On January 21, Xilinx announced its fiscal 3Q16 earnings. Its earnings beat analyst expectations, but the firm still posted a weak guidance for fiscal 4Q16.
Highfields Capital Management’s positions in 3Q14
Highfields Capital Management LP is based in Boston. The fund was founded by Jonathon Jacobson in 1998. The fund’s US long portfolio declined slightly to $12.8 billion in the third quarter.
Broadcom and Avago Merger: Why Is the MAC Clause Important?
It’s important for investors to understand the MAC clause. It explains how Avago (AVGO) can exit its transaction with Broadcom (BRCM).
China and the Global Semiconductor Space Are Consolidating
Globally, a lot of mega deals have happened in the semiconductor sector. On May 28, Avago Technologies announced that it would acquire Broadcom.
How Was Micron’s Cash and Cash Flow Position in Fiscal 3Q15?
Micron (MU) generated an operating cash flow (or OCF) and free cash flow (or FCF) of $1.3 billion and $200 million, respectively, in fiscal 3Q15.
Skyworks Solutions Traded below Moving Averages in Early August
Out of 23 analysts covering the stock, 18 have a “buy” recommendation on Skyworks Solutions, and five have a “hold” recommendation on it.
Why it’s important for investors to understand Texas Instruments
Texas Instruments (TXN) was founded in 1941. It’s headquartered in Dallas. TXN is known for designing and manufacturing semiconductors. It has operations in ~35 countries.
Why high-grade and high-yield markets assess risks before FOMC
Generally, bond yields increase when the economy is expanding because the central bank will likely raise rates sooner rather than later—the demand for financing for funding new projects also increases which generally tends to increase rates.
Why Qualcomm’s chipset products are helping it gain market share
Qualcomm’s management mentioned that its Wi-Fi and RF360 products are showing fast growth. RF360 is the radio frequency chipset that is a single chipset aimed to work with 40 different cellular radio bands across the world.
Last Place: The ClearBridge Aggressive Growth Fund
The ClearBridge Aggressive Growth Fund – Class A (SHRAX) had $12.1 billion worth of assets under management at the end of January 2016.
Analyzing the 2015 Allocation of ClearBridge Aggressive Growth Fund
ClearBridge Aggressive Growth Fund’s top ten equity holdings in December included UnitedHealth Group (UNH), Comcast (CMCSA), SanDisk (SNDK), Broadcom (BRCM), and Anadarko (APC).
Why Does Intel Expect a Slow Start to 2016?
Intel expects fiscal 2016 to start slow given the weak economic growth in China. Its move towards data center and IoT will likely boost sales in 2016.
Could Intel’s Capital Spending in Fiscal 4Q15 Bear Fruit?
In September 2015, Intel announced plans to invest $50 million in quantum computing. Also, Intel Capital announced plans to invest in eight Chinese startups.
The ClearBridge Aggressive Growth Fund through November 2015
The ClearBridge Aggressive Growth Fund’s assets were invested in 78 holdings in stocks, bonds, and cash as of November 2015. The fund managed $14.04 billion in assets as of the end of November.
Recapping Avago Technologies’ Stock Performance in Fiscal 2015
As of December 2, Avago’s stock was trading at $132.21, at the high end of its 52-week range of $95.18–$150.50. Over the past 52 weeks, it soared by 28%.
Analyzing 3Q15 R&D Expenditure for Broadcom, Micron, and Linear
In 3Q15, Broadcom’s (BRCM) expenses in research and development (or R&D) fell to $542 million from $573 million in 3Q14 and $609 million in 3Q13.
Understanding Intel in the Microserver Market
Intel accounts for 98% of the microserver market. ARM Holdings is its main competitor in the microserver space.
Avago’s Revenues Increase 36.72% Year-over-Year in 3Q15
In August 2015, Avago announced its 3Q15 results and declared revenues of $1.73 billion, a 7.49% increase compared to 2Q15.
NVidia Focuses on Research and Development
Fabless suppliers like Nvidia, Qualcomm, and Broadcom had the highest research and development spending as a percentage of sales ratios in 2014.
SMH Sees $117.45 Million in Fund Outflows in Trailing 12 Months
SMH tracks the performance of 26 publicly listed companies in the US semiconductor sector. Its market capitalization is $277.70 million with an expense ratio of 0.35%.
SMH: $26.45 Million in Fund Outflows in Trailing 12-Month Period
The VanEck Vectors Semiconductor ETF (SMH) tracks a market cap–weighted portfolio of US semiconductor companies. SMH’s market capitalization is $179.29 million.
Broadcom: A Major Player in the Semiconductor Segment
Overview of the company Broadcom (BRCM) is a global leader and innovator in semiconductor solutions for wired and wireless communications. The company has a portfolio of integrated SoC (system-on-a-chip) solutions that help deliver voice, video, data, and multimedia connectivity for both home and business applications. Broadcom’s business is structured around two reportable segments: Broadband and Connectivity Infrastructure and […]
Intel Shifts Focus toward Data Center, Internet of Things Spaces
Intel’s Data Center Group supplies server, storage, and network platforms for enterprise, cloud, communications infrastructure, and technical computing.
Intel Leverages Manufacturing Capabilities to Compete
Only a few large companies, including Intel, Samsung (SSNLF), and Taiwan Semiconductor Manufacturing Company (TSM), could afford to run 450 mm manufacturing sites.
Key Ratios: Comparing Skyworks with Its Close Competitors
The current ratio measures whether the firm is in a position to pay their obligation or not. The higher the ratio, the better. Skyworks has the highest ratio of 5.70.
Avago Falls by 6.15% but Analysts Are Upbeat about Stock
After the Broadcom acquisition, Avago Technologies is set to become the third largest semiconductor company in the world after Intel and Qualcomm.
Be Ready for a Rough Ride If You Set Up the Broadcom-Avago Merger
In the Broadcom-Avago merger, you’re getting about an 8.9% annualized yield. That’s probably a reasonable return in a low interest–rate environment and given the risks of the transaction.
Beware the Political Considerations of the Broadcom-Avago Merger
The Broadcom-Avago merger can fall apart on antitrust or on the national interest issues of the CFIUS. The most realistic way to block the merger is through CFIUS review.
Intel Finally Acquires Altera on June 1 in a Cash Deal
On June 1, Intel announced the acquisition of Altera for about $16.7 billion, funded by cash and debt. Intel would pay $54 per share to Altera.
Take Advantage of Election Option in the Broadcom-Avago Merger
In the Broadcom-Avago merger, Broadcom (BRCM) shareholders will have the right to choose from four options for their stock. Shareholders should take advantage of the best option.
What’s the Rationale for the Broadcom-Avago Merger?
The Broadcom-Avago merger is expected to deliver $750 million in annual synergies within about 18 months of completion of the deal.
Basics of the May Broadcom-Avago Merger Agreement
The Broadcom-Avago merger is a cash and stock transaction. Broadcom shareholders will participate in the upside by holding stock in the merged entity.
Broadcom Faces Stiff Competition in Semiconductor Industry
Up to 3Q13, Broadcom was the fifth-ranked player in the cellular baseband market. Last year, Broadcom exited that market, citing stiff competition.
Avago Announces Acquisition of Broadcom Today, a $37-Billion Deal
In a May 28 press release, Avago Technologies said it will acquire Broadcom for $37 billion. Avago will gain a broad portfolio of chips that Broadcom develops.
Factors that will shape the EDA industry
Gordon Moore predicted that chip complexity would double roughly every year. Moore’s Law has held up well, as chip complexity doubles every year and a half.
Intel acquired Lantiq to expand in the gateway market and IoT
Lantiq develops modem or transceiver chipsets and system on chips, or SoCs, for home and office broadband hardware and carrier access equipment.
Highfields Capital opens new position in Michaels Companies Inc.
Highfields Capital initiated a new position in MIK in the third quarter. The position accounts for 1.38% of the fund’s 3Q14 portfolio. Michaels is the largest arts and crafts specialty retailer in North America.
Should you buy Texas Instruments stock?
According to the company’s annual report for 2013, no single Texas Instruments customer accounts for 10% or more of its revenue. This means the company’s growth isn’t dependent on any single customer, and that it has a diversified customer base.
Why Texas Instruments’ products ensure steady revenues
Once a Texas Instruments customer selects an analog chip, there’s a tendency to stick with it for the entire life of the device. It’s a costly affair to redesign a device for a different chip that may not be compatible with the rest of the product.
Texas Instruments reports strong financials
Of its three operating segments, the analog and embedded processing segments are growing best. At the same time, it’s the analog and other segments that contribute the best margins.
Why does Intel expect its gross margin to increase in Q2?
Here, we’ll discuss Intel’s outlook in Q2 and why Intel expects its gross margins to increase sequentially from 60% in Q1 2014 to 63% in Q2 2014.
Why Highfields Capital started a new position in Royal Dutch Shell
Highfields Capital established a new 1.38% position in Royal Dutch Shell last quarter.