Jim Cramer said Broadcom (AVGO) - Get Broadcom Inc. Report may be one of the best stocks that just doesn't captivate Wall Street's interest. Find out why he's so bullish on the name in the video above from Cramer's September Action Alerts PLUS members only call.
Broadcom-- all right, it may not be the-- this may be the best stock that nobody likes. I put it that way because it has made a company buying spree that many feel aren't delivering, except to slash and burn outfits like Symantec CA. What kind of deal was that? The old tech riddled right through it, that CA deal?
But this is what's going on. This company is run by a man by the name of Hock Tan, and he is ruthless-- ruthless in a way that, as you can tell from the top of his talk, sometimes you can't let a winner get away. Tan is such a good manager, that his company spews cash flow and he returns a great deal of it to shareholders.
Let me see. Today, remember, he kept a symbol for Avago. But this is one where the dividend is so spectacular, it's almost 3%. The company is almost at a 52 week high again. And I got to tell you, it sells at 14 times-- let's call it 15 times next year's earnings I. Think the estimates are very low.
So we hold on. Yes, we wish we bought more. But isn't that the flip side of wishing you had less Union Pacific? Right? It's the flip side of the same coin.
Hear Cramer break down his latest thoughts on all of the stocks in his charitable portfolio on Action Alerts PLUS. Recap the September call here.