Skip to Content
Stock Analyst Update

Broadcom Belongs on All Tech Investors' Radar Screens

Communications chipmaker reports staggering quarter once again.

Mentioned:

As Broadcom's (BRCM) second-quarter results demonstrated yet again, its dominant position in several emerging communication industries is paying off in a huge way. Broadcom’s sequential revenue growth in the quarter was far better than expected: Its 28% sales growth over the March-ending quarter is staggering given that the firm could be raking in $1 billion in annual sales by the end of the year.

Sequential sales growth has been steadily accelerating for several quarters, largely due to impressive growth in the market for high-speed Internet access equipment, specifically for cable modems and cable set-top boxes. Here, Broadcom is by far the market leader and is showing no signs of conceding share in this rapidly growing industry.

Jeremy Lopez does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.