In today's video I look at fundamentals and valuation metrics for the following stocks: Autodesk (ADSK 0.83%) and Broadcom (AVGO 5.32%). In the trailing 12 months (TTM), the cash flow from operations for both these stocks is over 30% of revenue. Below I share a few more reasons to add them to your watch list.
Three reasons to add Autodesk to your watch list
- Autodesk reported 12% year-over-year (YOY) revenue growth for the first quarter of 2021, driven by growth in all its product segments and growth in all geographic regions.
- Autodesk has solid fundamentals for its TTM. It has positive cash flow from operations and positive earnings.
- Autodesk is attempting to increase its design and modeling software solutions. In the past three months, it has completed one acquisition, and it recently announced a proposal to acquire Altium Limited. Altium has reportedly rejected the offer, and investors are waiting to see if a new bid will be made.
Three reasons to add Broadcom to your watch list
- Broadcom provides solutions for numerous high-growth markets like data centers, enterprise security, wireless, and much more.
- Broadcom has solid fundamentals for its TTM. It has positive cash flow from operations and positive earnings.
- Between the fiscal years of 2016 and 2020, Broadcom's dividend has seen a compounded annual growth rate of 49%. It currently pays a dividend yield of roughly 3.1%.
Click the video below for my full thoughts and analysis.
*Stock prices used were the closing prices of June 7, 2021. The video was published on June 7, 2021.