BROADCOM INC (NASDAQ:AVGO) – A Strong Growth Stock Meeting Minervini’s Criteria

BROADCOM INC (NASDAQ:AVGO) has been identified as a high-growth momentum stock that aligns with Mark Minervini’s Trend Template. The company’s strong technical setup and accelerating fundamentals make it a compelling candidate for growth-focused investors.

Why AVGO Fits the Minervini Trend Template

Minervini’s strategy focuses on stocks exhibiting strong uptrends with clear technical strength. AVGO meets these criteria:

• Price Above Key Moving Averages: The stock is trading at $275.65, well above its 50-day ($228.82), 150-day ($211.19), and 200-day ($201.81) moving averages.
• Upward-Trending Averages: The 150-day and 200-day moving averages are rising, confirming long-term bullish momentum.
• Strong Relative Strength: AVGO has a ChartMill Relative Strength (CRS) score of 95.37, meaning it outperforms 95% of stocks.
• Near 52-Week High: The stock is trading within 1% of its 52-week high ($277.71), a sign of sustained momentum.

Growth Fundamentals Supporting the Case

Beyond technicals, AVGO demonstrates strong growth metrics:

• Earnings Growth: EPS grew 34.1% year-over-year (TTM), with recent quarterly growth accelerating to 44.2%.
• Revenue Expansion: Sales increased 33.9% (TTM), with recent quarters showing consistent double-digit growth.
• Profit Margins: The company maintains healthy profitability, with a trailing quarter profit margin of 33.1%.
• Analyst Upgrades: EPS and revenue estimates for the next year have been revised upward by 0.93% and 2.24% over the past three months.

Technical Outlook

According to ChartMill’s technical report, AVGO scores a 9 out of 10 for technical strength, supported by:

• A strong uptrend in both short and long-term timeframes.
• High relative strength within the semiconductor industry.
• Recent price action near all-time highs.

However, the setup rating is currently 3 out of 10, indicating that while the stock is technically strong, it may need a consolidation phase before an optimal entry point emerges.

For a deeper technical breakdown, review the full technical report here.

Our High Growth Momentum + Trend Template screener lists more stocks meeting these criteria.

Disclaimer

This is not investing advice. The observations are based on current data, but investors should conduct their own research before making decisions.