Why Investors Are So Interested in Broadcom Stock
#Broadcom ’s enterprise storage segment In the previous part of this series, we saw that Broadcom (AVGO) is likely to witness seasonal weakness in its wireless revenue. This decline is likely to be offset by flat revenue from its wired segment and strong growth from its enterprise storage segment, which accounts for 14% of the company’s revenue. The enterprise storage segment was created through the acquisition of #LSI and #PLX Technology. Broadcom is also acquiring #Brocade Communications Systems (BRCD), which will increase the segment’s revenue contribution to 22% by the end of fiscal 2017. The segment offers storage products such as HDDs (hard disk drives), server storage, and PCIe (peripheral component interconnect express) switches and bridges. The company competes with the likes of Cavium (CAVM) and Microsemi (MSCC) in this space.