From Nasdaq: 2024-06-23 06:49:00

Broadcom (NASDAQ: AVGO) recently announced a 10-for-1 stock split, reducing its trading price from about $1,700 to $170. The split won’t make the stock more affordable, but will make options cheaper to trade and stock-based compensation payments easier. Broadcom’s expansion strategy includes bold acquisitions, making it one of the largest chipmakers. Its AI chip sales soared 280% year over year in the second quarter of fiscal 2024, with consistent growth and reasonable valuations. Despite the upcoming split, focus on Broadcom’s core strengths to understand its potential for new highs.

Consider buying Broadcom for its continued growth potential, despite the upcoming stock split. The company’s expansion strategy, strong sales in AI chips, consistent growth, and reasonable valuations make it a compelling investment. Ignore the noise around the split date and focus on the long-term benefits of owning Broadcom stock. The Motley Fool Stock Advisor team recently identified 10 best stocks to buy now, excluding Broadcom, but the company’s growth potential remains strong.



Read more at Nasdaq: Forget the Stock Split — These Are the 4 Reasons to Buy Broadcom’s Stock Now