Broadcom vs. Nvidia: 3 Key Metrics Point to the Stronger AI Chipmaker to Buy After Earnings
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Nvidia and Broadcom are two of the dominant chipmakers. Both Nvidia and Broadcom provided strong outlooks. Nvidia (NASDAQ: NVDA) and Broadcom, two of the largest chipmakers in the world, have now both reported earnings for their most recent quarters, which ended at the end of July for Nvidia, and in early August for Broadcom. Both put up strong results as well. Nvidia's adjusted revenue grew 106% year over year, while diluted earnings per share (EPS) rocketed 120%. Meanwhile, Broadcom had adjusted net revenue growth of 86% and adjusted diluted EPS growth of 96%. Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue » Both companies also topped Wall Street average estimates as well. Although there is an investment case to be made for Nvidia and Broadcom, three key metrics point to the stronger AI chip stock following their respective earnings reports. Image source: Getty Images. One of the first metrics in earnings reports that Wall Street analysts and investors look at is forward financial guidance, which both Nvidia and Broadcom provide to some extent. Specifically, they are looking to see how company forecasts compare to Wall Street estimates. Broadcom...
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