Is CLS plummeting on Avgo results? Also why the negative reaction on Avgo with the earnings beat? I am not liking this market particularly tech. Any reason to sell off growth names right now it seems to happen with very little new catalysts in sight. Is it time to diversify away from tech with the portfolio already down approx 12% from highs. Or just ride out these growth names as usual? Thx
Shane
We have AVGO comments posted recently. The whole AI trade is getting hit, and CLS is no exception. We would not panic here. The sector is volatile, but the growth rates remain high. We have seen scares before (i.e Deepseek in January). The big customers all increased capex spending in the past few months. Giant profits have been made, and that makes selling easy for some. But the fundamentals really haven't changed. We would as usual keep exposure to a level in which one can handle the dips. But we doubt the tech party is over and we would be fine riding this out. On average, earnings have been very good.
Authors of this answer, directors, partners and/or officers of 5i Research and/or affiliated companies have a financial or other interest in AVGO.