AVGO Jul 2019 287.500 call

OPR - OPR Delayed Price. Currency in USD
2.2000
0.0000 (0.00%)
As of 3:24PM EDT. Market open.
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Previous Close2.3000
Open2.3500
Bid1.5500
Ask2.1500
Strike287.50
Expire Date2019-07-05
Day's Range2.2000 - 3.4000
Contract RangeN/A
Volume11
Open Interest253
  • EU opens formal antitrust probe of Broadcom and seeks interim order
    TechCrunch30 minutes ago

    EU opens formal antitrust probe of Broadcom and seeks interim order

    Earlier this year press reports suggested US authorities are broadening theirown antitrust probe of the company

  • Micron investors may be too hopeful that the end of the downturn is near
    MarketWatch12 minutes ago

    Micron investors may be too hopeful that the end of the downturn is near

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  • Reuters31 minutes ago

    UPDATE 1-Broadcom in EU antitrust spotlight, faces interim measures

    EU antitrust regulators will investigate whether U.S. chipmaker Broadcom uses exclusivity restrictions to block rivals in the TV and modem chipsets markets, a move that could lead to hefty fines for the company and an order to end such practices. The European Commission also said it plans to impose interim measures during the probe to avoid "serious and irreparable harm" to the market. Broadcom's anti-competitive practices prevent its customers, and ultimately consumers, from enjoying the benefits of choice and innovation, European Competition Commissioner Margrethe Vestager said in a statement.

  • TheStreet.com38 minutes ago

    Broadcom Faces EU Antitrust Probe Over Exclusivity Practices in TV Chip Markets

    The European Commission said it opened the investigation amid concerns that Broadcom was using exclusivity practices with customers that restricted competition from rivals in the TV and modem chipset markets. The Commission also said it would impose interim measures on Broadcom during the investigation, but those provisions would not preclude the continued sale of the company's products. "This would prevent Broadcom's customers and, ultimately, final consumers from reaping the benefits of choice and innovation.

  • Broadcom in EU antitrust spotlight, faces interim measures
    Reuters1 hour ago

    Broadcom in EU antitrust spotlight, faces interim measures

    EU antitrust regulators will investigate whether U.S. chipmaker Broadcom uses exclusivity restrictions to block rivals in the TV and modem chipsets markets, a move that could lead to hefty fines for the company and an order to end such practices. The European Commission also said it plans to impose interim measures during the probe to avoid "serious and irreparable harm" to the market. Broadcom's anti-competitive practices prevent its customers, and ultimately consumers, from enjoying the benefits of choice and innovation, European Competition Commissioner Margrethe Vestager said in a statement.

  • Global Tech Is Weaker Than It Looks
    Bloomberg13 hours ago

    Global Tech Is Weaker Than It Looks

    (Bloomberg Opinion) -- Ten months ago, I warned that storm clouds were brewing over the global technology industry. The situation today is much worse.Back then, a U.S.-China trade war was more risk than reality, Apple Inc.’s pending iPhone update held promise, and central banks were still in tightening mode. Yet inventories at the end of June 2018 had climbed to the highest since the financial crisis a decade earlier and a sector-wide slowdown was looming.At the time, the Pollyannas were louder than the Chicken Littles. The next iPhone had yet to launch and Christmas shopping season was coming, argued the optimists.Since then, global technology companies have issued loud warnings about lost sales due to U.S. actions against Huawei Technologies Inc. In short, because the U.S. is restricting what can be sold to the Chinese giant, the company and its suppliers are cutting orders. This is causing a ripple effect from semiconductor materials supplier IQE Plc to chip designer Broadcom Inc.But there’s something you need to know about the Huawei effect: It isn’t the cause of this technology recession. If anything, the company is the reason why the situation didn’t worsen earlier. The U.S. war on Huawei propped up the tech sector, notably semiconductors, over the past year.Let me explain. Immediately after the Trump administration in May blacklisted Huawei from buying U.S. components, Bloomberg News reported that the maker of telecommunications equipment and smartphones had been been stockpiling components in anticipation of some kind of action. Chairman Ren Zhengfei saw his own storm brewing and started saving for the rainy day that came on May 17.This tells us that some proportion of global component demand over the past year wasn’t led by end-product sales, but merely by shelf-stocking. More significantly, what revenue component makers did see was probably a false signal, pointing to demand that didn’t exist.These suspicions were confirmed earlier this month when Mark Liu, chairman of made-to-order chipmaker Taiwan Semiconductor Manufacturing Co., told me that he wasn’t sure how much of his company's recent revenue had gone to supplying Huawei’s end-product demand versus building the Chinese company’s inventory. Almost every technology company is a client of TSMC. If Liu, who has the broadest and deepest picture of the global tech sector, can’t make out the difference between demand and inventory build, then you can be sure he’s not alone.There’s also solid data to show the scale of Huawei’s stockpiling. Total inventories climbed 33% last year. Its stash of components – measured as raw materials and works in progress – jumped 76%. At even its most optimistic, there’s no way that Huawei expected 76% revenue growth this year.Which brings us back to the sector as a whole.Here’s an update of the numbers compiled 10 months ago, based on nine leading technology hardware companies and charted by my colleague Elaine He. The results aren’t heartening:With few exceptions, inventories – measured in dollar terms or days outstanding – climbed since June 30, 2018, and were unequivocally higher than two years ago. The revenue slowdowns that have affected every corner of the hardware sector this year make this buildup ominous. Of even greater concern are data pointing to prolonged cash conversion cycles, a measure of how long companies take to turn manufactured goods into money. The only firm to see a solid dip is Apple, and that’s because it tends to generate revenue from customers before having to pay suppliers. Both TSMC and iPhone assembler Hon Hai Precision Industry Co. (aka Foxconn) have said they hold inventory on their books for their key client. Were it not for that fact, Apple’s rising inventory days outstanding would probably be even higher.A major reason for Hon Hai posting weak earnings in the first quarter was inventory provisions. Those can be reversed if products sitting on shelves get sold to consumers, Hon Hai CFO David Huang told me this month. But shipping an already-made device to meet demand means you don’t need to manufacture a new phone, which in turn means no need to buy components from suppliers, and so forth.That’s the situation we’re in now: plenty of inventory, false signals from the Huawei effect, and a pending global economic slowdown that’s likely to suppress demand. If that doesn’t make make you worry about the state of global technology hardware, then I applaud your optimism. To contact the author of this story: Tim Culpan at tculpan1@bloomberg.netTo contact the editor responsible for this story: Matthew Brooker at mbrooker1@bloomberg.netThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Tim Culpan is a Bloomberg Opinion columnist covering technology. He previously covered technology for Bloomberg News.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.

  • Both FedEx (FDX) and Micron (MU) Beat on Bottom Line (revised)
    Zacks14 hours ago

    Both FedEx (FDX) and Micron (MU) Beat on Bottom Line (revised)

    FedEx (FDX) beat bottom-line estimates by 20 cents per share, while semiconductor major Micron (MU) posted an even bigger beat to $1.05 per share.

  • FedEx (FDX) Beats on Bottom Line, Micron (MU) Misses
    Zacks14 hours ago

    FedEx (FDX) Beats on Bottom Line, Micron (MU) Misses

    FedEx (FDX) beating bottom-line estimates by 20 cents per share, while semiconductor major Micron (MU) missed the Zacks consensus by 4 cents per share.

  • Is Nvidia Stock A Buy Right Now? Here's What Earnings, Charts Show
    Investor's Business Daily19 hours ago

    Is Nvidia Stock A Buy Right Now? Here's What Earnings, Charts Show

    Chipmaker Nvidia is at the forefront of AI and machine learning, but earnings and share prices have dived. Here is what fundamental and technical analysis say about buying Nvidia stock now.

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  • Why It’s Time to Get Over Fed Mania and Look at the Economy
    Market Realist2 days ago

    Why It’s Time to Get Over Fed Mania and Look at the Economy

    Last week, the S&P 500 (SPY) rose to a record high. Last week, Trump tweeted, “Since Election Day 2016, Stocks up almost 50%, Stocks gained 9.2 Trillion Dollars in value, and more than 5,000,000 new jobs added to the Economy.”

  • Trade War Risks Make Some Analysts Cautious on Broadcom
    Market Realist2 days ago

    Trade War Risks Make Some Analysts Cautious on Broadcom

    The stock market is very volatile due to the US-China trade war, and semiconductor stocks have been showing sharp price movements. Wall Street analysts are optimistic on Broadcom (AVGO) despite a weak full-year fiscal 2019 revenue guidance. Analysts have a median price target of $310 for Broadcom, reflecting an upside of 12% from the current trading price.

  • How Trump's China Trade War Could Wreck The U.S. Economy
    Investor's Business Daily2 days ago

    How Trump's China Trade War Could Wreck The U.S. Economy

    Escalating the China trade war could deal a serious blow to the slowing U.S. economy. President Trump will meet with Chinese President Xi Jinping this week.

  • Trump, Huawei, and 5G: The Saga Won’t Die Down
    Market Realist2 days ago

    Trump, Huawei, and 5G: The Saga Won’t Die Down

    US President Donald Trump is reportedly considering imposing a requirement that 5G equipment used in the United States must be manufactured outside China. Just last month, Trump barred Huawei from doing business with US companies without prior approval.

  • Why Broadcom May Be Well-Positioned to Handle Downturn
    Market Realist2 days ago

    Why Broadcom May Be Well-Positioned to Handle Downturn

    Broadcom’s (AVGO) stock fell 5.6% a day after it released its fiscal 2019 second-quarter earnings in which it cut its full-year fiscal 2019 revenue guidance by 7%, or $2 billion.

  • TheStreet.com4 days ago

    Qualcomm Shares Some More About its 5G RF Chip Progress

    radio-frequency (RF) chip business has been gradually gaining steam, thanks in part to a strong 5G position. Last summer, Qualcomm unveiled a pair of 5G RF module families -- one for more conventional, sub-6Ghz, spectrum bands, and another for high-frequency, millimeter-wave (mmWave) bands that have limited range but can support very high upload and download speeds. The company followed that up in February of this year by unveiling -- along with a second-gen 5G modem known as the Snapdragon X55 -- a second-gen, mmWave, antenna module and a slew of new RF products for sub-6GHz bands.

  • Weak Global Semiconductor Outlook for 2019 Is Bad News for Micron
    Market Realist5 days ago

    Weak Global Semiconductor Outlook for 2019 Is Bad News for Micron

    The US-China trade war accelerated in May as the two countries hiked tariff rates and the US banned firms from doing business with Huawei, one of the biggest customers of the tech industry. In May, the WSTS lowered its November 2018 estimate of a 3% YoY decline in global semiconductor revenue in 2019 to 12%.

  • Trade War Fears Deflate Broadcom Stock’s Valuation
    Market Realist5 days ago

    Trade War Fears Deflate Broadcom Stock’s Valuation

    Fiscal 2019 has been an interesting year for Broadcom (AVGO). Its revenue has fallen due to weak demand in the wireless communications market, but its profit margins have risen due to declining costs. While Broadcom is succeeding in improving its margins, profit is falling in dollar terms because of declining revenue.

  • Reuters5 days ago

    IQE shares plunge as Huawei ban hammers tech suppliers

    The United States restricted Huawei Technologies from buying U.S. goods in May, saying the firm's equipment could be used by Beijing for spying. IQE, which makes semiconductor wafers for chips used in Apple Inc products among others, is also suffering from a global slowdown in demand. Chief Executive Drew Nelson said IQE was operating in "unprecedented times" for the semiconductor industry.

  • Broadcom Open to New Chip Acquisitions despite US-China Tension
    Market Realist5 days ago

    Broadcom Open to New Chip Acquisitions despite US-China Tension

    Over the years, Broadcom (AVGO) has grown through acquisitions, which has helped it increase cash flows and profits. This strategy will help it maintain its profits even in the semiconductor downturn. However, these acquisitions also increased its leverage. At the end of the second quarter of fiscal 2019, Broadcom had $5.3 billion in cash reserves and $37.5 billion in total debt, resulting in net debt of $32.2 billion.

  • Nvidia Stock Shows Life Ahead of a Key Second Half
    InvestorPlace5 days ago

    Nvidia Stock Shows Life Ahead of a Key Second Half

    Support has held for Nvidia (NASDAQ:NVDA) shares again. In late May, the Nvidia stock price dipped below $135. As was the case in November, late December, and late January, NVDA stock rebounded.Source: Nvidia There has been some outside help, admittedly. Progress on the trade war with China has boosted the entire chip sector. The tech-heavy NASDAQ Composite looks like it's targeting new all-time highs. But at least for now, the market seems to have a threshold where it decides the Nvidia stock price is just too cheap.The question now is whether that support can hold again, if tested. And that comes down to the chipmaker's performance in the second half of its fiscal 2020. That starts about six weeks from now. This is a second-half story, as I've written earlier this year and as NVDA management itself has insisted.InvestorPlace - Stock Market News, Stock Advice & Trading TipsIf management is right, the rally could keep going. I remain skeptical, given long-term risks. Plus, the short-term news of late looks mixed. NVDA Stock and the Second HalfTo be sure, it's widely known that NVDA relies on a second-half recovery. Management made that case after fiscal-fourth-quarter results. They even took the unusual step of offering full-year guidance to highlight the dichotomy between the first and second half. * 6 Stocks Ready to Bounce on a Trade Deal So far, Nvidia continues to sing the same tune. CFO Colette Kress reiterated on Q1's conference call in mid-May that "we expect a stronger second half than the first." Last week, at an investment conference, she said much the same regarding data-center demand.There are two factors at play here. First-half results last year, in the company's fiscal 2019, were enormously impressive. In retrospect, those results were driven by demand for cryptocurrency mining. In the first half of this year, Nvidia faces very difficult comparisons. It's also suffering from what the company itself has called a "crypto hangover." At the same time, data-center demand has slowed, as key customers paused spending.In the second half, however, the situation reverses. Comparisons get easier, particularly in Q4. And data-center growth -- as Kress said last week -- should return. And so the Street at least sees revenue declining 18% in Q2 and 6% in Q3 before a sharp rebound (+47%) in Q4 sets up 20% growth in fiscal 2021. The Importance of the RecoveryThe question now is whether that recovery is on the way. And it's not just a matter of NVDA earnings rebounding a quarter or two early -- or a quarter or two late.First, management's credibility is at stake. Last year, Nvidia clearly misjudged cryptocurrency demand both financially and operationally. The company didn't see the drop-off in sales coming. Unfortunately, it overproduced GPUs, leading to an inventory glut in the first half of this year. Another broken promise will make Nvidia a "show me" story for some time to come.Secondly, data-center demand in particular must come back quickly. That's an area where investors see years of double-digit growth ahead. A longer slowdown will raise fears that demand issues aren't short-term, but rather a sign that investors (and management) simply overestimated the market opportunity.And third, Nvidia has an opportunity to take share from Intel (NASDAQ:INTC) in that market. Intel is dealing with shortages and a number of other unforced errors. Its leadership team seems more cautious about second-half demand. If Nvidia sees a recovery and Intel doesn't, that's a sign that Intel's dominance in that market is eroding further. That leaves NVDA and Advanced Micro Devices (NASDAQ:AMD) likely picking up share. But Is It en Route?Is that recovery on the way? We'll see. CFO Kress' sentiment toward data center, and similar comments from another Nvidia executive regarding AI a week before, unquestionably are good news. We don't know exactly how clear is Nvidia's visibility into Q3 and Q4. However, the company hasn't backed off its forecast yet.On the other hand, chip giant Broadcom (NASDAQ:AVGO) sounded much more cautious after its fiscal Q2 report last week. The day before, Evercore (NYSE:EVR) pushed its forecast for a recovery well into 2020. As MarketWatch noted after Nvidia earnings last month, Microchip Technology (NASDAQ:MCHP) CEO Steve Sanghi "lightly walked back" his call of a bottom in chips.To be sure, Nvidia doesn't necessarily play in the same markets as those other chipmakers. It's possible NVDA could follow the bullish trajectory while the rest of the space stays stuck near the bottom of the cycle. Still, after the debacle last year, it's wise to take Nvidia management's projections with a grain of salt.With Nvidia stock still off the lows, there is a case to stay patient. After all, the recovery can come in Q4 FY2020 or Q3 FY2021. NVDA still isn't that expensive on an earnings basis, though it's not cheap by chip standards. The long-term growth drivers -- data center, artificial intelligence, autonomous driving -- are mostly in place.But AMD is rising as a real competitor. I personally still see self-driving cars as a long way off. And investor patience is likely going to wane if NVDA is overpromising again. Nvidia stock has bounced off support several times. It won't be able to do so forever.As of this writing, Vince Martin has no positions in any securities mentioned. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 Blue-Chip Stocks to Buy for a Noisy Market * 5 Strong Buy Biotech Stocks for the Second Half * 6 Stocks Ready to Bounce on a Trade Deal Compare Brokers The post Nvidia Stock Shows Life Ahead of a Key Second Half appeared first on InvestorPlace.

  • What to Make of Broadcom’s Reduced Free Cash Flow
    Market Realist5 days ago

    What to Make of Broadcom’s Reduced Free Cash Flow

    Broadcom’s (AVGO) business strategy revolves around acquiring high cash flow companies to increase its cash flows in order to return more value to shareholders. By integrating CA Technologies, Broadcom increased its operating cash flow by 15%, or $350 million, YoY to $2.67 billion in the second quarter of fiscal 2019.

  • Fund Managers Are Bearish on Growth and Corporate Profit Outlook
    Market Realist6 days ago

    Fund Managers Are Bearish on Growth and Corporate Profit Outlook

    The BAML survey highlighted the fact that investors are very bearish on growth expectations. A net 50% of the respondents expect global growth to weaken over the next 12 months. A record number of investors said that the global economy was in the late cycle.

  • What’s Driving Broadcom’s Profit Margins during Downturn?
    Market Realist6 days ago

    What’s Driving Broadcom’s Profit Margins during Downturn?

    Broadcom (AVGO) CEO Hock Tan is known for his expertise in growing through mergers and acquisitions. His strategy is to acquire companies that are market leaders with high cash flow and deliver strong returns to shareholders.

  • The Trade War Is Still the Market’s Biggest Concern
    Market Realist6 days ago

    The Trade War Is Still the Market’s Biggest Concern

    In Bank of America Merrill Lynch’s June 2019 survey, the trade war remained the top risk cited by 56% of the respondents. Since Trump’s tweet on May 5, trade tensions have only revived with China retaliating in kind. Time and again, Trump has also talked about bringing another $300 billion worth of Chinese imports under tariffs.