On Monday, Broadcom earned an upgrade to its Relative Strength (RS) Rating, from 85 to 94.
IBD's proprietary rating identifies market leadership with a 1 (worst) to 99 (best) score. The score shows how a stock's price behavior over the last 52 weeks stacks up against all the other stocks in our database.
Over 100 years of market history shows that the stocks that go on to make the biggest gains typically have an RS Rating of over 80 as they launch their biggest runs.
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The IBD 50 stock has climbed more than 5% past a 185.05 entry in a fourth-stage double bottom, meaning it's now out of a proper buy range. Look for the stock to create a new chance to get in like a three-weeks tight or pullback to the 50-day or 10-week moving average.
In terms of fundamentals, Broadcom has posted two quarters of rising earnings growth. Revenue growth has also moved higher over the same time frame.
Broadcom holds the No. 1 rank among its peers in the Electronics-Semiconductor Fabless industry group. SiTime and NVIDIA are also among the group's highest-rated stocks.
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