Lululemon - Lululemon's shares increased by approximately 9%, or $17 per share, following the announcement of CEO Calvin McDonald's departure by January 2026 [2] - The company's board is currently collaborating with an executive search firm to appoint a new CEO, while the CFO and Chief Commercial Officer will act as interim co-CEOs [3] - Lululemon reported an EPS of $2.59, exceeding estimates of $2.25, and revenue of $2.57 billion, surpassing expectations of $2.48 billion; however, guidance is projected between $4.66 and $4.76, below the estimate of $5.03 [4] Broadcom - Broadcom's shares fell by about 6%, or $23.57 per share, despite reporting an EPS of $1.95, which was better than the estimated $1.86, and revenue of $18.02 billion, exceeding expectations of $17.49 billion [5] - The CEO indicated that AI chip sales are anticipated to double year-over-year to $8.2 billion, with analysts raising the price target to $475 based on strong AI results [5] - The stock decline was attributed to a disappointing backlog of $73 billion in product orders expected to be shipped over the next six quarters [6] Newmont - Newmont's shares rose by $2.40 per share, benefiting from higher gold prices and generating record free cash flow of $1.6 billion, marking the fourth consecutive quarter of FCF growth over $1 billion [7] - The company's margins are improving due to cost-cutting efforts, and analysts at Bank of America have reiterated a buy rating with a price target of $118 [8]

Core Insights - Broadcom's stock fell nearly 9% after the company warned that rising AI revenue would lead to lower profit margins, disappointing investors who anticipated a successful transition to custom chips for hyperscalers [1][2] - Despite beating Wall Street estimates with Q4 revenue of $18.02 billion and guiding for Q1 revenue of $19.1 billion, the margin warning overshadowed the positive earnings report [1][2] Financial Performance - In Q4, Broadcom reported adjusted EPS of $1.95 on revenue of $18.02 billion, exceeding estimates of $1.87 and $17.45 billion [2] - AI semiconductor revenue reached $8.3 billion in Q4, significantly surpassing prior guidance of $6.2 billion [2] - For fiscal 2025, Broadcom achieved record revenue of $64 billion, a 24% increase, with AI revenue soaring 65% to $20 billion [3] Margin Concerns - CFO Kirsten Spears projected a decline in Q1 gross margins by approximately 100 basis points due to a higher mix of AI revenue, raising concerns among analysts [4] - The shift towards lower-margin system sales, where component costs are passed through to customers, is expected to grow, impacting overall gross margins [4][5] - Custom AI chips and systems inherently carry lower gross margins compared to traditional software products, leading to a compression in gross margin percentage despite absolute dollar profit growth [5] Customer Concentration Risk - The $73 billion backlog is heavily reliant on just five customers, including Google, Meta, and Anthropic, which poses a concentration risk [6] - Any slowdown in orders or a shift to in-house chips by major customers could significantly impact Broadcom's growth trajectory [6] Market Position and Outlook - Despite the sell-off, Broadcom's operating margins remain strong at 66.2% in Q4, and the company is well-positioned as a beneficiary of hyperscalers' demand for custom silicon [7] - The substantial backlog provides unusual revenue visibility, but the margin warning indicates potential challenges ahead [7]

格隆汇12月12日｜博通(AVGO.US)大跌超7%，公司称第一财季毛利润率将因AI产品而收缩1%。 ...

Group 1 - Broadcom's stock fell 8.4% after the company warned of reduced future margins on AI system sales, despite projecting strong quarterly revenue, raising concerns about the profitability of AI investments [1][10] - Other chip stocks, including Advanced Micro Devices, experienced a decline of 1%, while a broader chips index fell by 1.5% following Oracle's weak forecast [2][10] - Nvidia's stock increased by 0.3% as the company is considering raising H200 chip production to meet strong demand from China [11] Group 2 - The S&P 500, Dow, and Russell 2000 closed at record highs, supported by a less hawkish outlook from the Federal Reserve and a reduction in borrowing costs [5][11] - A shift towards value stocks is evident, with the Russell 2000 outperforming the S&P 500 as investors move away from AI-driven growth stocks to sectors like healthcare [6][11] - Lululemon Athletica's stock surged by 12% after the company raised its annual profit forecast and announced the departure of CEO Calvin McDonald [11] Group 3 - Cannabis companies saw significant stock increases, with Canopy Growth rising by 23% and Tilray Brands climbing by 30% following reports of potential easing of marijuana restrictions by President Trump [9][11] - Advancing issues outnumbered decliners on both the NYSE and Nasdaq, indicating a positive market sentiment [9][11] - The S&P 500 recorded 24 new 52-week highs and one new low, while the Nasdaq Composite noted 66 new highs and 37 new lows, reflecting a mixed performance in the market [9][11]

A handful of remaining major companies reported their quarterly results this week, including Oracle (ORCL) and Broadcom (AVGO). The Q3 earnings season has largely brought solid results. As of Dec. 5, 99% of S&P 500 companies have reported, according to FactSet data, and analysts estimate a 13.4% jump in earnings per share during the third quarter. If it holds, that figure would mark the fourth straight quarter of double-digit earnings growth and an acceleration from the 12% earnings growth rate reported i ...

and Kevin Hanks at the CBOE the pre-bell playbook joining us now live from there. Good morning. So I was just saying how it was a record setting day.I mean intraday we saw the Dow hitting highs and you know stocks took off right after the Fed meeting on Wednesday and managed to clock in some wins. What are your thoughts this morning. Good morning Kevin. >> Good morning Nicole.You know, I think this is an interesting market to pay attention to because it seems to be the revenge of the 493. It's the equal wei ...

Broadcom ( AVGO ) just dropped its 4QFY25 results, comfortably sliding ahead of expectations, reporting $18.02B for the quarter, better than the expected $17.49B, and guiding for 1QFY26 sales of $19.10B, higher than the $18.3B anticipated. The stock is up about 3% on the resultsTech Stock Pros is a team of three former technology sector engineers with a long history of investing in the tech sector. They run Tech Contrarians, an investing group providing institutional-level company research to individual inv ...

Core Insights - Broadcom (AVGO) reported 4QFY25 results of $18.02 billion, exceeding expectations of $17.49 billion, and provided guidance for 1QFY26 sales of $19.10 billion, higher than the anticipated $18.3 billion [1] Group 1: Financial Performance - The company's quarterly revenue of $18.02 billion represents a strong performance compared to market expectations [1] - Guidance for the next quarter indicates a positive outlook with projected sales of $19.10 billion [1] Group 2: Market Reaction - Following the earnings report, Broadcom's stock increased by approximately 3% [1]

Brasada Capital Management, an investment management company, released its Q3 2025 investor letter. A copy of the letter can be downloaded here. In the letter, the firm noted that the market entered the fourth quarter with equities near all-time highs and monetary policy easing. The firm also believes that this momentum could persist even though there are indications that a capital expenditure bubble exists. Further, the firm continues to invest selectively in companies with solid moats and cash flows, whil ...

U.S. stock futures are presenting a mixed picture this Friday, December 12, 2025, as investors grapple with lingering concerns about a potential bubble in artificial intelligence (AI) stocks, even as the broader market continues to digest the Federal Reserve's recent interest rate cut. While Dow Jones Industrial Average futures are pointing higher, S&P 500 and Nasdaq 100 futures are showing slight declines in premarket trading, indicating a cautious start to the day.Premarket Activity and Futures MovementsA ...