Broadcom (AVGO) Stock Down, KeyBanc Decreases Price Target

Broadcom (AVGO) price target was lowered this morning at KeyBanc due to concerns about a week 2H16 iPhone 7 (AAPL) ramp.
By Natalie Walters ,

NEW YORK (TheStreet) -- Shares of Broadcom (AVGO) - Get Report are down 2.61% to $150.20 in afternoon trading as the company's price target was decreased this morning to $180 from $185 at KeyBanc Capital

The price change is due to "concerns" about a "weak 2H16 iPhone 7 (AAPL) ramp" that could negatively affect the San Jose, CA-based semiconductor company, according to an analyst note.

The firm maintained its "overweight" rating for Broadcom because its believes "the company's proven M&A track record will allow for continued diversification away from mobile and sustained earnings growth over time," KeyBanc wrote.  

Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. TheStreet Ratings has this to say about the recommendation:

We rate BROADCOM LTD as a Hold with a ratings score of C+. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and weak operating cash flow.

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