# Broadcom Inc. (AVGO)

Broadcom Inc. is an American multinational designer, developer, manufacturer, and global supplier of a wide range of semiconductor and infrastructure software products. Broadcoms product offerings serve the data center, networking, software, broadband, wireless, storage, and industrial markets.

## Stock Price Trends

Stock price trends estimated using linear regression.

#### Key facts

- The primary trend is increasing.
- The growth rate of the primary trend is 99.50% per annum.
- AVGO price at the close of March 1, 2024 was $1,399.17 and was inside the primary price channel.
- The secondary trend is increasing.
- The growth rate of the secondary trend is 216.67% per annum.
- AVGO price at the close of March 1, 2024 was inside the secondary price channel.

### Linear Regression Model

Model equation:

Y_{i} = α + β × X_{i} + ε_{i}

Top border of price channel:

Exp(Y_{i}) = Exp(a + b × X_{i} + 2 × s)

Bottom border of price channel:

Exp(Y_{i}) = Exp(a + b × X_{i} – 2 × s)

where:

i - observation number

Y_{i} - natural logarithm of AVGO price

X_{i} - time index, 1 day interval

σ - standard deviation of ε_{i}

a - estimator of α

b - estimator of β

s - estimator of σ

Exp() - calculates the exponent of e

### Primary Trend

Start date: September 20, 2022

End date: March 1, 2024

a = 3.6584

b = 0.0019

s = 0.0697

Annual growth rate:

Exp(365 × b) – 1

= Exp(365 × 0.0019) – 1

= 99.50%

Price channel spread:

Exp(4 × s) – 1

= Exp(4 × 0.0697) – 1

= 32.14%

#### September 20, 2022 calculations

Top border of price channel:

Exp(Y_{895})

= Exp(a + b × X_{895} + 2 × s)

= Exp(a + b × 1,296 + 2 × s)

= Exp(3.6584 + 0.0019 × 1,296 + 2 × 0.0697)

= Exp(6.2500)

= $517.99

Bottom border of price channel:

Exp(Y_{895})

= Exp(a + b × X_{895} – 2 × s)

= Exp(a + b × 1,296 – 2 × s)

= Exp(3.6584 + 0.0019 × 1,296 – 2 × 0.0697)

= Exp(5.9713)

= $392.01

#### March 1, 2024 calculations

Top border of price channel:

Exp(Y_{1,258})

= Exp(a + b × X_{1,258} + 2 × s)

= Exp(a + b × 1,824 + 2 × s)

= Exp(3.6584 + 0.0019 × 1,824 + 2 × 0.0697)

= Exp(7.2490)

= $1,406.69

Bottom border of price channel:

Exp(Y_{1,258})

= Exp(a + b × X_{1,258} – 2 × s)

= Exp(a + b × 1,824 – 2 × s)

= Exp(3.6584 + 0.0019 × 1,824 – 2 × 0.0697)

= Exp(6.9703)

= $1,064.58

#### Description

- The primary trend is increasing.
- The growth rate of the primary trend is 99.50% per annum.
- AVGO price at the close of March 1, 2024 was $1,399.17 and was inside the primary price channel.

### Secondary Trend

Start date: September 21, 2023

End date: March 1, 2024

a = 1.4281

b = 0.0032

s = 0.0420

Annual growth rate:

Exp(365 × b) – 1

= Exp(365 × 0.0032) – 1

= 216.67%

Price channel spread:

Exp(4 × s) – 1

= Exp(4 × 0.0420) – 1

= 18.31%

#### September 21, 2023 calculations

Top border of price channel:

Exp(Y_{1,147})

= Exp(a + b × X_{1,147} + 2 × s)

= Exp(a + b × 1,662 + 2 × s)

= Exp(1.4281 + 0.0032 × 1,662 + 2 × 0.0420)

= Exp(6.7609)

= $863.46

Bottom border of price channel:

Exp(Y_{1,147})

= Exp(a + b × X_{1,147} – 2 × s)

= Exp(a + b × 1,662 – 2 × s)

= Exp(1.4281 + 0.0032 × 1,662 – 2 × 0.0420)

= Exp(6.5928)

= $729.85

#### March 1, 2024 calculations

Top border of price channel:

Exp(Y_{1,258})

= Exp(a + b × X_{1,258} + 2 × s)

= Exp(a + b × 1,824 + 2 × s)

= Exp(1.4281 + 0.0032 × 1,824 + 2 × 0.0420)

= Exp(7.2726)

= $1,440.23

Bottom border of price channel:

Exp(Y_{1,258})

= Exp(a + b × X_{1,258} – 2 × s)

= Exp(a + b × 1,824 – 2 × s)

= Exp(1.4281 + 0.0032 × 1,824 – 2 × 0.0420)

= Exp(7.1045)

= $1,217.38

#### Description

- The secondary trend is increasing.
- The growth rate of the secondary trend is 216.67% per annum.
- AVGO price at the close of March 1, 2024 was inside the secondary price channel.