AVGO down 6%+ on Q3 revenue guidance miss as nuclear and chips rally

Broadcom ($AVGO) fell more than 6% Wednesday after its Q3 revenue guidance came in below estimates, overshadowing 86% year-over-year revenue growth. Nuclear power stocks and chip names closed higher, pulling in the opposite direction.

$AVGO: beat overshadowed by guidance miss

Broadcom's Q3 earnings modestly beat Wall Street's estimates, but the first-quarter revenue forecast disappointed. StoneX Financial analyst Cody Acree described the results as "not enough to keep investors happy." CEO Hock Tan addressed investors as shares slid more than 6% on the session.

Macro: 10-year at 4.79%, VIX at 16.3, WTI at $91.48

The 10-year Treasury yield held at 4.79% as of Tuesday's close, sustaining pressure on rate-sensitive equity valuations. The VIX settled at 16.3 — elevated relative to recent months, but not in distress territory. WTI crude closed at $91.48.

Nuclear power: $VST +3.9%, $CEG +3.5%

Vistra ($VST) gained 3.9%, supported by its hedging posture and 20-year nuclear power purchase agreements with AWS and Meta that lock in revenue through a demand cycle most utilities cannot match. Separately, President and CEO James Burke purchased $903,000 in VST shares on September 2, a disclosed insider buy on the same session the stock rose. Constellation Energy ($CEG) added 3.5%, with analysts citing rising commercial and industrial demand as the driver of longer-term revenue visibility.

$NVDA +3.2%, $ORCL +3.1%; $PLTR -5.8% despite contract win

Nvidia ($NVDA) gained 3.2%, with the chip-sector bid partly attributed to a bullish quarterly report from Dell Technologies. Oracle ($ORCL) added 3.1%, supported by an expanded HPE collaboration to deploy gigawatt-scale AI infrastructure; Jefferies maintained a Buy rating while cutting its price target to $290, calling the prior sell-off overdone. Palantir ($PLTR) fell 5.8% despite securing a $192 million U.S. Army contract. Analysts flagged growing competitive overlap with Google and valuation concerns following the announcement that former AIG CEO Peter Zaffino will join as Global Head of Financial Services.

Filings desk

Since Tuesday's issue covered Nadella's $36.2 million in $MSFT sales, a new Form 4 discloses a second tranche from September 1: 86,525 shares across eight transactions at $498–$505, totaling $43.4 million. Nvidia's ($NVDA) General Counsel and Secretary Teter sold $6.5 million in company shares, disclosed on the same day the stock gained 3.2%. Visa's ($V) CEO Ryan McInerney sold 5,875 shares at $379.65 under a Rule 10b5-1 pre-planned arrangement, netting approximately $1.4 million — a different executive from the $6.7 million sale by Visa's President of Technology covered on August 24.

What we set aside

One proxy and governance filing was reviewed and dropped — board mechanics, not a price catalyst. Seven filings disclosed today involved events more than 36 hours old and were held on freshness grounds. Four tickers examined in the sweep — ABBV, DLR, PSX, and QCOM — produced no filings or substantive news within the review window.

The desk is watching how AVGO's consensus revenue estimates reset ahead of the next reporting cycle, and whether the nuclear power trade holds above Wednesday's close.