Market Overview

Broadcom Shares Tumble as Pacific Crest Downgrades, Raises Concerns Related to Co. Involvement with Apple

Share:
Related BRCM
Benzinga's M&A Chatter for Monday April 13, 2015
Tech Investors: Keep An Eye On These 7 Coming Earnings Reports
3 Reasons Why Broadcom Will Surprise (Seeking Alpha)

Shares of Broadcom (NASDAQ: BRCM) are one of the Semi stocks leading the sector lower Tuesday morning following several news items. The stock last traded at $31.96, down nearly 4 percent from Monday's close.

An analyst at Pacific Crest, Michael McConnell, downgraded the stock from Outperform to Sector Perform and removed his $41 price target.

McConnell pointed at the latest teardowns of Samsung devices which suggested Broadcom has lost sockets. He believes Apple (NASDAQ: AAPL) may seek in-house connectivity solutions rather than purchasing from Broadcom, citing recent news from Apple it has been hiring former Texas Instruments (NYSE: TXN) OMAP/connectivity employees.

Despite the new Sector Perform rating, McConnell's price target implies potential upside of nearly 30 percent from where shares of Broadcom are currently trading.

Latest Ratings for BRCM

DateFirmActionFromTo
Apr 2015Ladenburg ThalmannInitiates Coverage onBuy
Mar 2015NomuraUpgradesNeutralBuy
Mar 2015Tigress FinancialDowngradesStrong BuyBuy

View More Analyst Ratings for BRCM
View the Latest Analyst Ratings

Posted-In: Analyst Color News Downgrades Price Target Analyst Ratings Movers

 

Related Articles (AAPL + BRCM)

Around the Web, We're Loving...

Get Benzinga's Newsletters