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Barchart
Barchart
Mark R. Hake, CFA

Broadcom Looks Deeply Undervalued Given Its Massive Free Cash Flow Margins

Broadcom (AVGO) recently released impressive results for its fiscal Q3 ending July 30. The semiconductor company reported a massive free cash flow (FCF) of $4.6 billion. This could push AVGO stock significantly higher. 

Moreover, given that the stock has recently shown weakness, this provides a great opportunity for value buyers. In addition, given very high put option premiums, it makes sense to short out-of-the-money (OTM) puts to gain extra income.

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