Trade Call: Buy AVGO Below $280 for 5-Year Upside

about 1 month ago

"So for me personally, a price I would consider buying ABGO at would be around $270 to $280 because I still believe those estimates are a little bit optimistic and I maybe the valuation of 25 times earnings. 5 years from now when competition is changing a lot of things are happening that could be optimistic as well. If it trades at 22 times earnings as an example, I would have to buy the stock at 280 for me to get a double in 5 years. So for me personally under 280 I would be very very interested around the current price."

The speaker offers an actionable trade call on AVGO, suggesting that if the stock trades under $280, it becomes an attractive buying opportunity. The trade idea is based on a calculated upside potential of nearly 89% with an expected 14% annual return over five years, despite acknowledging that current valuations may be too optimistic.

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