Tiernan Ray, Blogger, Barron's, Tech Trader Daily

Broadcom: JMP Cuts on Pricing Worries, Sluggish Margins

July 27, 2009 at 12:00 am PT

Shares of chip maker Broadcom (BRCM) fell in after-hours trading last night and are down again today despite the fact that the company yesterday exceeded Street expectations for its Q2 and forecast above estimates for the current quarter.

A note from JMP Research’s Alax Gauna sums up the bear case for the stock. Gauna writes today that Broadcom’s beat was aided by a $65.3 million payment from Qualcomm (QCOM) as a result of a settlement reached between the two back in April.

Read the rest of this post on the original site

Tagged with: Alex Gauna, Barrons, Broadcom, chips, digital, frontpage, hardware, JMP Research, Qualcomm, semiconductors, settlement, Tech Trader Daily, Tiernan Ray

comments so far. Add yours.

About Voices

This is a section of the AllThingsD Web site featuring posts that have been curated from around the Web: pieces we’ve read, discussions we’ve followed, stuff we like. Five posts are included here each weekday, but only the headline and the first two sentences. We link to the original site for the rest. The section is explicitly labeled, so it’s clear that content comes “from other Web sites.”

We also solicit original full-length posts and accept some unsolicited submissions. Voices is edited by Beth Callaghan.