Latest news with #marketfundamentals
Yahoo
4 days ago
- Business
- Yahoo
OPEC+ makes another large oil output hike in market share push
OPEC+ agreed on Sunday to raise oil production by 547,000 barrels per day for September, the latest in a series of accelerated output hikes to regain market share, as concerns mount over potential supply disruptions linked to Russia. The move marks a full and early reversal of OPEC+'s largest tranche of output cuts plus a separate increase in output for the United Arab Emirates amounting to about 2.5 million bpd, or about 2.4% of world demand. Eight OPEC+ members held a brief virtual meeting, amid increasing U.S. pressure on India to halt Russian oil purchases - part of Washington's efforts to bring Moscow to the negotiating table for a peace deal with Ukraine. President Donald Trump said he wants this by August 8. In a statement following the meeting, OPEC+ cited a healthy economy and low stocks as reasons behind its decision. Oil prices have remained elevated even as OPEC+ has raised output, with Brent crude LCOc1 closing near $70 a barrel on Friday, up from a 2025 low of near $58 in April, supported in part by rising seasonal demand. 'Given fairly strong oil prices at around $70, it does give OPEC+ some confidence about market fundamentals,' said Amrita Sen, co-founder of Energy Aspects, adding that the market structure was also indicating tight stocks. The eight countries are scheduled to meet again on Sept. 7, when they may consider reinstating another layer of output cuts totalling around 1.65 million bpd, two OPEC+ sources said following Sunday's meeting. Those cuts are currently in place until the end of next year. OPEC+ in full includes 10 non-OPEC oil producing countries, most notably Russia and Kazakhstan. The group, which pumps about half of the world's oil, had been curtailing production for several years to support oil prices. It reversed course this year in a bid to regain market share, spurred in part by calls from Trump for OPEC to ramp up production. The eight began raising output in April with a modest hike of 138,000 bpd, followed by larger-than-planned hikes of 411,000 bpd in May, June and July, 548,000 bpd in August and now 547,000 bpd for September. 'So far the market has been able to absorb very well those additional barrels also due to stockpiliing activity in China,' said Giovanni Staunovo of UBS. 'All eyes will now shift on the Trump decision on Russia this Friday.' As well as the voluntary cut of about 1.65 million bpd from the eight members, OPEC+ still has a 2-million-bpd cut across all members, which also expires at the end of 2026. 'OPEC+ has passed the first test,' said Jorge Leon of Rystad Energy and a former OPEC official, as it has fully reversed its largest cut without crashing prices. 'But the next task will be even harder: deciding if and when to unwind the remaining 1.66 million barrels, all while navigating geopolitical tension and preserving cohesion.'
Yahoo
08-05-2025
- Business
- Yahoo
Broadcom Inc. (AVGO): Among Richard Chilton's Stock Picks with Huge Upside Potential
We have published an article titled . In this article, we are going to take a look at where Broadcom Inc. (NASDAQ:AVGO) stands against Richard Chilton's other stock picks. Richard Chilton is a veteran investor and the founder of Chilton Investment Company, a long-standing and respected name in the world of hedge funds. Known for his disciplined, research-driven investment philosophy, Chilton has built a reputation over the decades for being a thoughtful, value-oriented manager who combines patience with a deep understanding of market fundamentals. He launched Chilton Investment Company in 1992 after gaining experience at major firms like Allen & Company and Alliance Capital. From the beginning, his approach stood out. Instead of chasing fast money or following trends, Chilton focused on long-term opportunities grounded in detailed analysis and risk management. His fund, which started with just $5 million, grew significantly over the years as investors recognized the strength of his strategy and the consistency of his returns. READ ALSO: 10 Most Undervalued Energy Stocks and 15 High-Growth Companies Hedge Funds Are Buying. Chilton's style is often described as "fundamental, bottom-up investing". Essentially, he and his team dig into company financials, industry dynamics, and management quality before making any investment decisions. This focus on quality and sustainability has helped the firm navigate multiple market cycles with relatively steady hands. Chilton is known to favor businesses with strong competitive advantages and predictable cash flows — companies that can weather downturns and continue compounding returns over time. Chilton Investment Company has navigated the complexities of the post-pandemic market landscape with a focus on disciplined investment strategies, delivering solid returns for its clients. Today, Chilton Investment Company remains a respected player in the asset management world, guided by the same principles Richard Chilton laid out over 30 years ago: deep research, long-term thinking, and a strong sense of fiduciary duty. With that context in mind, let's take a look at Richard Chilton's 10 stock picks with huge upside potential according to analysts. For this list, we picked stocks from Chilton Investment Company's 13F portfolio as of the end of the fourth quarter of 2024. We listed them in the ascending order of analysts' average upside potential, as of May 2. These equities are also popular among other hedge funds. At Insider Monkey we are obsessed with the stocks that hedge funds pile into. The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here). A technician working at a magnified microscope, developing a new integrated Potential: 19.57% Number of Hedge Fund Holders: 161 Broadcom Inc. (NASDAQ:AVGO) is a global leader in semiconductor and infrastructure software solutions, with a 60-year legacy rooted in companies like AT&T/Bell Labs, HP, and VMware. It designs and supplies thousands of semiconductor products for applications in AI, networking, telecom, and industrial systems, focusing on high-performance, mixed-signal, and analog devices. Its infrastructure software simplifies IT for major enterprises. Broadcom's 2023 acquisition of VMware strengthened its cloud and data center offerings. The company emphasizes innovation, strategic acquisitions, and global engineering to drive growth. Broadcom's AI-related revenue jumped a whopping 220% to $12.2 billion, representing 41% of semiconductor sales, fueled by demand for custom AI accelerators (XPUs) and networking solutions from hyperscale customers. However, the company's non-AI semiconductor business declined 23% in FY 2024 to $17.8 billion due to cyclical weakness, especially in enterprise and broadband. However, signs of recovery are emerging in server storage and broadband, with current year growth expected at mid-single-digit rates, according to analysts. On April 30, 2025, Seaport Global began coverage of Broadcom Inc. (NASDAQ:AVGO) with a Buy rating and a price target of $230. The firm highlighted Broadcom's strong exposure to the ongoing surge in AI investments, noting that the market has not yet fully recognized this upside in the stock's valuation. The analyst also emphasized Broadcom's leadership in the semiconductor space and its strategic expansion across various areas of the tech industry. Overall AVGO ranks 9th on our list of billionaire Richard Chilton's stock picks with huge upside potential. While we acknowledge the potential of AVGO as an investment, our conviction lies in the belief that AI stocks hold great promise for delivering high returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than AVGO but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock. READ NEXT: and . Disclosure: None. This article is originally published at .
