Broadcom Eyes a Beat, Will NVDA's Shadow Help Lift AVGO?

Hi everyone,

Markets are still processing the ripple effects of Nvidia’s blockbuster Q1 earnings, but all eyes now shift to the next major AI player set to report: Broadcom (AVGO). Below, you’ll find our latest signal summary from Cmind’s EPS Beats model, including predicted beats/misses by sector and market cap, plus this week’s top EPS calls.

As always, our predictions are updated daily and integrate real-time filings, peer company earnings, and over 150 financial, sentiment, and governance indicators.

Deep Dive: Broadcom ($AVGO) Following NVDA's Lead?

Broadcom, widely considered the No. 2 AI chip franchise after Nvidia, is set to report Q2 earnings after the close this Thursday. Wall Street expects strong revenue growth and robust margins driven by surging AI infrastructure demand. Consensus EPS is $1.57.

Cmind’s EPS model predicts a likely beat with a 68% probability, though confidence has fluctuated over the past month. The chart below visualizes our beat probability trend over the last 12 weeks. Notably, Nvidia’s May 28 release shifted AVGO’s trajectory, and earlier in April, Libration Day introduced a brief surge in probability before a taper.

What drives our model’s optimism?

• AVGO outperforms 75%+ of its semiconductor peers on fundamental metrics like Operating Profit/Sales, Gross Margin Trend, EBIT/Sales, Receivables Quality, and Analyst Bullishness.
  
  

• Peer signals from TXN, INTC, NXPI, QRVO, LSCC, AMD, SWKS, ADI, and NVDA have also reinforced a stronger read for AVGO.

Bottom line: Broadcom’s position in AI infrastructure is solid, and our signals lean toward a beat—but volatility remains as the post-Nvidia re-rating plays out.

Sector Breakdown

This week’s beat predictions are strongest in:

• Information Technology (12 predicted beats vs. 3 misses)

• Industrials and Consumer Discretionary (6 predicted beats each)

Sectors to watch with balanced signals or elevated risks include Consumer Staples, Materials, and Health Care.

Market Cap Breakdown

Predicted beats remain fairly balanced across size tiers:

• Large Caps: 7 beats

• Mid Caps: 11 beats, 4 misses

• Small Caps: 10 beats, 6 misses

Overall, Cmind’s model is flagging 28 companies as likely to beat this week.

🔝Top 5 Predicted Beats This Week:

• MAMA (Tue, Jun 3) – 93% – Consumer Staples

• HQY (Tue, Jun 3) – 84% – Health Care

• JFIN (Wed, Jun 4) – 71% – Communication Services

• AVGO (Thu, Jun 5) – 68% – Information Technology

• ABM (Fri, Jun 6) – 68% – Industrials

🔻Top 5 Predicted Misses This Week:

• AVO (Thu, Jun 5) – 20% – Consumer Staples

• CHPT (Wed, Jun 4) – 32% – Consumer Discretionary

• FCEL (Fri, Jun 6) – 38% – Industrials

• THO (Wed, Jun 4) – 41% – Consumer Discretionary

• ALOT (Thu, Jun 5) – 43% – Information Technology

Weekly Heatmap

Cmind Interactive Heatmap For Week of June 2nd, 2025

*Heatmap as of June 1st, 2025

Individual Stock Predictions

Large Caps

With just a few large-cap earnings on deck this week, signals are concentrated in high-conviction names. Broadcom (AVGO) stands out in Information Technology with a 68% beat probability, reinforcing continued strength in the AI and semiconductor narrative post-Nvidia. Other large caps show marginal signals or are not scheduled to report, leaving AVGO as this week’s flagship signal in the size tier.

Mid Caps

Mid-cap signals are relatively mixed, though HealthEquity (HQY) emerges as a clear standout in Health Care with an 84% beat probability. ABM Industries (ABM) also posts a strong likelihood of beating, suggesting upside in Industrials. On the caution side, THOR Industries (THO) in Consumer Discretionary leans toward a likely miss, pointing to potential weakness in consumer-exposed cyclical sectors.

Small Caps

Small caps remain the most volatile group this week. MamaMancini’s Holdings (MAMA) posts the strongest signal overall, with a 93% beat probability in Consumer Staples. Conversely, AVO (Mission Produce) and ALOT (AstroNova) are flagged as likely misses, illustrating the continued dispersion in this cohort. These names present targeted opportunities but require close attention to pre-release signals.

About the Model

Cmind AI’s EPS predictions are powered by a machine learning model built for accuracy, objectivity, and transparency. We ingest over 150 variables across six data modalities—including real-time 10-Q filings, earnings transcripts, governance metrics, and peer signals—to provide early, company-specific EPS forecasts.

Updated daily, our model covers 4,400+ public companies, with proven backtests demonstrating Sharpe and Sortino ratio improvements across portfolios.

To learn more, contact us at [email protected].