How is AVGO different from other AI stocks? It is unique in the market. Basically, semiconductor stocks can be divided into designer and manufacturer. The user is also the designer, like NVDA, MSFT, APPL, AMZN, GOOG……, TSM is only responsible for manufacturing, but AVGO possesses both. That is why it is said to be the next NVDA.
Mind that a lot of stocks are prosecuted by European Union, either in breach of monopoly or competition law, including GOOG, AMZN, AAPL. For AVGO, it also had been charged by EU of violation of competition law. Never mind, they have the right to employ a group of best solicitors in the world and fight down to even a penny. They can argue for any single point which they think should fight for and would never like Alibaba and Jackie Ma which dropped down dramatically.
Recently, 3 major indexes are all on record high, it is quite hard to chase high, but if you do not chase it will lost a lot of chances, when you cannot bear and buy later, it will be more expensive than now. Actually NVDA, AVGO and TSM are all on record high, if the market retreats at this moment, it’s the best time to buy, for no one will expect it can drop down to the bottom of Liberation Day in April.
So if you target is placed upon Landing of Mars, that is aiming at 2029 or 2030, there should not be any problem. Please compare with the Dow Jones chart and can found that when DJIA is under the 250-SMA, it once dropped quite deep, and when went up the 250-SMA, DJIA only up a little. For AVGO, it’s the reverse, it only dropped a little when under the 250-SMA, but when over, it has a long way to go up. This proves the outlook and the past are also better than DJIA.
AVGO won!