The stock market closed lower to start the year as Apple (AAPL) loses $100 billion in market capitalization.
Overall, S&P 500 declined 0.6% to 4,743, while NASDAQ fell 1.6% to 14,766.
Tweet of the Day
NEWS: The IRS has released the full list of vehicles that are eligible for the Fed EV tax rebate in 2024. The number of eligible EVs in 2024 has dropped 50% vs 2023. Only 7 models currently qualify.
Full list:
• Rivian R1S & R1T: $3,750
• Chevy Bolt EV & EUV: $7,500
• Ford… pic.twitter.com/Pm0Hke2o0f— Sawyer Merritt (@SawyerMerritt) January 1, 2024
Chart of the Day
Here is the one-year chart of Broadcom (AVGO) as of December 13, 2023, when the stock was at $1,090.
Broadcom delivered mediocre results last quarter (6% profit growth on 4% revenue growth) and investors were so impressed that they drove the stock from around $900 to around $1100. Generative AI and AI accelerators were close to 20% of semiconductor revenue, which is a plus.
Broadcom also closed on its deal to acquire VMware which will likely take software revenue from a quarter of its total revenue to perhaps half. With the addition of VMware, Broadcom’s revenue growth is expected to climb from 4% last quarter to 31% this quarter. The company has some integration costs with VMware, so its expected to grow revenue 40% in 2024 while profits are expected to rise just 10% during the year.
AVGO is part of the Growth Portfolio and the Aggressive Growth Portfolio.
