look at the broadcom business itself, a very solid business. in 2020 expecting to generate about $11 billion from free cash flow management executing pretty well on expanding into higher margin software businesses now making up about a quarter of their revenue and for all of those reasons it's trading at a very reasonable 18 times forward earning. a reasonable valuation and about 3.75% dividend yield one of the strongest within the semiconductor space. i kind of agree with carter's assessment that semis are overextended a little, not too concerned about broadcom as a business and next week i think will report a solid earnings here look at the chart for broadcom a pretty steady uptrend over the last roughly eight or nine months but it's a stock that actually underperformed the smh sector over the past couple of months i think earnings catalyst next week is potentially what it could mean to catch up here. so look at earnings announcement so far, the options market implying about 5.8% move while over the last eight quarters the is to stock only mo

broadcom we are more than a weekly tv show go to our website optionsaction.com. here is what is coming up next. >> grab your magnifying glass. that's a hat, by the way professor sherlock holme is investigating a volatility mystery. you see but do not observe >>> plus, reach into your pocket, get your phone andwe tet us your question if it's nice we will answer it on air when "options action" returns. ♪ ♪ ♪ ♪ ♪ >>> welcome back to "fast money. just a few minutes ago we talked about the explosion. copper and gold are all going wild if you are looking to protect your portfolio against an uncertain backdrop but aren't quite sure how, you are in luck. the professor is here. mike, take it away >> it was interesting. i was taking a look at the indices we look at it is poised to drop below 20 before we get to christmas but if you look at the longer term vix futures, you will see they still remain elevated you may wonder by the time five or six months rolls by, we will be past the inauguration it's possible if we are looking at the situation, we may be looking more macroa

broadcom civil avgo will have a remarkable quarter we own both costco and broadcom for travel trust you can follow by joining the travel.com club. now broadcom delivers will be excellent pin action throughout the groups like today. you bet they're good and any of these are going to be good let me tell you where else it is going to drift back to, apple. friday should be quiet except for consumer conferenidence i am concerned that consumers starting to worry vaccines arriving on time, saving of 30% or 50% of the country getting the virus. yikes. i think consumers are holding up incredibly well. who knows how long they can continue here is the bottom line. if democrats in congress can make a stimulus deal without progress from washington, next week could be a lot difficult because we are entering the most horrific phase of the pandemic. some days it has to impact stocks and not a positive way. joseph in new york, joseph >> booyah, jim, happy friday >> thank you, same to you. >> i want to get your thought on an ecommerce retail that had an impressive run throughout the pandemic it is tradin

broadcom is moving higher ahead of earnings later this week.k of america adding the company to its one corp isi list broadcome is up to $4.21 today the tesla stock is scheduled to be added to the s&p, up 619% let's check in now with seema mode here's your cnbc news update at federal judge in michigan has denied a republican effort to decertify the state's election results saying it provided no proof of wrongdoing, just, quote, speculation and conjecture and a sim lawyer outcome where a lawsuit from sydney powell has been dismissed on multiple grounds saying powell failed to show evidence of a conspiracy to throw the election to biden and an early study showing a universal vaccine for the flu. it produced and i mun response to flu strains that lasted for at least 18 months and in russia a warehouse full of fireworks blew up in spectacular fashion hundreds of firefighters fought the blaze for hours. surprisingly no injuries were reported are they got lucky that's a cnbc news update at this hour. kelly, back to you >> you almost feel bad just obse

i started thinking about broadcom as a grade acquirer why doesn't the ftc go after them, david?o that. >> just interested >> i mean, you any, to be fair, i know you went off on this yesterday, the facts can change and so can the mind of the regulators >> yeah, but, when you -- what would happen, carl, every time you did a deal, and it gets the ftc's blessing, and then about three or four years later, they say, we got that wrong, let me -- let's get a do-over. you're trying to run a business. who -- what kind of agency does that how about -- i think the agency, the first line of that brief should have been we screwed up, but we're not done but, no. >> listen, they got to prove it in court and that's where it will be. and it will play out over many years and if they can, then something will be done to remedy the situation in terms of an anti-competitive threat that they face. or that they present and if not, they'll go long and that will be that. >> that's it >> how would you like to be on that -- >> we are a nation of laws >> nation of laws. jefferson. i'm working with jefferson

jack, the only tech stock on our list was your broadcom call.ut to be a real good one. >> not quite as good as carlton's pick or ben's pick. i like this stock. they didn't do anything fancy. didn't convert balance sheet to bitcoin or deliver cannabis by drone. it is cheap. 16 times cash flow. dividend 3%. jack: dude, cannabis by drone. that should abyss for us next year. the melting ice cub on your use was department stores t was ugly for them before the pandemic. it pot uglier naturally you said you avoid them. they rallied. is this a dead-cat bounce? >> i thought it would be disappointing christmas season for the companies we got the vaccine news. they shot higher. i feel like i've been beat up by a pack of angry macy's san tas. i don't love the stocks but they have had a remarkable bounce. jack: people are going back to the malls. slowly surely. that is good news for the economy. up next our financial resolutions for the year. ♪. (announcer) if you've struggled to lose weight, you might think you were born with a slow metabolism. that's exact

and as we head to break, shares of broadcom lower as they announce a new cfo and coo when you switch to xfinity mobile, you're choosing to get connected to the most reliable network nationwide, now with 5g included. discover how to save up to $400 a year with shared data starting at $15 a month, or get the lowest price for one line of unlimited. come into your local xfinity store to make the most of your mobile experience. you can shop the latest phones, bring your own device, or trade in for extra savings. stop in or book an appointment to shop safely with peace of mind at your local xfinity store. >>> inoculations could happen in days we'll speak to someone on that panel. >>> and who is buying their own stocks with their own money some. >>> and it is 5:00 somewhere 5:00 p.m. that is. the ceo will be joining us to talk about alcohol sales as they look to toast to a much better year in 2021 it is friday, december 11, and this is worldwide c"worldwide ." welcome back or welcome and good friday morning and happy hanukkah which kicked off last night. glad you're with us. thanks for join

but take a look at broadcom, lulu i agree it's devastating what's going on with the economy. the stimulus plan they're talking about in congress and $600 checks doesn't get us there. it doesn't pay people's mortgages. it doesn't take them out of default on their credit cards. it's abysmal i'm going to put to bed a myth that we hear constantly, which is that tax increases hit the economy and hit the market they don't if you look at a chart going back 60 years, they show every tax increase, years where there are three tax increases and the market still went up because the acrimony, the animosity and the do nothing that we're seeing right now with the government is going to extend in biden's administration if we have the senate controlled by the republicans. so if we go to a democratic-controlled senate and a democratic-controlled house, which we have, i think you'll see massive fiscal stimulus, which we need. because the fact seems you'll get the first delivery, but keep in mind you got to wait three weeks for the next shot. we've seen the others easide frm medical and pfizer,

like broadcom and those kind of companies. [ inaudible ] lost the iphone rights so there's another company out there that's going to take over that spot. there are opportunities there. you have to really look around but at the end of the day, you are going to want apple as part of your portfolio not just for this play or the new phone but it's interesting. i remember they say we have to ramp up production of the iphone for the new 5g. didn't you hear the same thing on the iphone 11? sounds like deja vu all over again when it comes to iphone. there's always pent-up demand for these new phones. liz: yes. it's the short memory that people have when it comes to the markets. good to see you both. thank you for weighing in on apple which i do remind our viewers is the real driver behind this gain of 353 points for the dow jones industrials. we do need to see a gain of 356 to make it a record close. >>> solarwinds is extending its losses. remember we showed you the stock yesterday? as more government agencies reveal they were targeted in this massive cyber-attack that exploited a weakness in the

industries ta take a quick look, gaming blizzard and chipotle at an all-time high, paypal, paycheck, broadcomk and oracle all hitting all-time highs >> and the suspected russian hack is much worse than was feared i'll join tyler mathisen for after this quick break >>> good afternoon, everyone welcome to "power lunch. along with kelly evans, i'm tyl tyler mathisen the dow down about 200 points as we await details about whether or not there is a deal for more stimulus we may get word this hour or some word from speak

what about broadcom, telecom?elecoms in general, we are already one of the worlds largest of broadband fiber. private in the united states last year and have one of the largest broadband players in the german-speaking regions. they are rolling out fiber isoss rural germany, which quite important, because there are a lot of people who don't have access to real broadband and good internet service which is essential during the pandemic, so we like the overall telecom sector, but on the whole, we are more focused on the future proofed broadband fiber area. dani: if i can go back to something you mentioned, talking about peak deal activity. we've had airbnb and doordash in the u.s. to much fanfare last week. is this a good environment to be pursuing exits? christian: absolutely. the ipo market is already twice as active as last year and q2 is pretty quiet, so we've seen record activity and you have the facts on top of it. we took a company public in the united states last week on friday on the nasdaq. it traded up 60%

qualcomm, broadcom, kla, analogue devices it doesn't matter.i conductors are the hardware that is leading the world, as well these are on the new high list today. as far as the narrative, not a lot of change to the narrative really over the weekend we all know what the main stories are essentially, we've got a very tough covid winter coming up and that's going to be hard. the headwinds from the lockdowns and restrictions dwr s grippinge economy. and they believe it will happen in the second quarter 2021 we will return to some normalcy and that may seem optimistic and that's what the markets and we had optimism for more stimulus for two months now and going on thin fumes at this point the valuations we said over and over again 22 times, 2021 earnings overbought indicators under normal historic patterns very tough to sustain the kind of rally that we're seeing. the problem is, we're not sure this is normal we're in unchartered territory on the virus and how the virus might affect earnings and sentiment. that's why everybody is a little unsure why

having new highs those there look primarily, of course, semiconductors continuing, teradyne and broadcome new high list. service now is coming out of the new high list. you get the point. top heavy, large market cap stocks tend to moveind indexes these days this is a global breakout. look what's going on today asia pacific, we got australia, china been doing well, the msci asia pacific index at a high storic high today. in europe, i watched the dow jones stock 600, the highest since february, the efa is at a new high as well this is all being helped by the weak dollar. the dollar at a 2 1/2 year low, the dollar index against the basket of six other currencies and commodities moving crude oil is at the highest level since february so if you look at the positives and negatives now, the market really loves what it is seeing the positives here, the vaccine, the low rates, liquidity, and the stimulus all positive. the belief in the stimulus the negatives, we know what is going on covid winter, terrible initial claims, 885,000. rich valuations, 22 times forward 2021 numbers and extreme bullish

companies like broadcom, qualcomm right in the center of cloud computing.ulus but it's more likely to come after the new year, after the change in the administration. >> josh, what sort of moves have you been making lately after the tremendous run-up to new record highs, all the vaccine optimism and questions over how much news is already baked into this market >> so our tactical model has been fully invested since late spring you know, we're doing rules-based investment on the tactical side. and on the tstrategic side, we'r global there let's take tactical. it's u.s. only we're respecting trends. i'm not scratching my chin and trying to, you know, outguess the market's opinion of the moderna vaccine. like i don't think anyone is responsibly running retirement money that way, frankly. the trend has been higher. we've been in. nothing is change, if anything if, you're looking at areas like mid caps and small caps and areas that have been left behind they are joining the parade. the parade is not receding and so like when i look at what's to come in '21, it's

taking a lot of apple suppliers, thinking broadcom, skyworks, amd, chip-makers rallying one to 5% eachle bullish outlook. dan ives says it is still worth $160, apple stock value because we're in the super cycle of iphone upgrades and iphone 12 selling a lot better than anticipated. stuart: i have to believe apple at this moment is the stock of the day. susan: i think so. stuart: when you get a gain of that kind and company of that size, nearly 4%, that is gigantic. susan: takes everybody with them. stuart: held lots of conversations about this program technology companies moves out of california. the latest one to go was oracle. the executive, headquarters, from silicon valley to texas. now the ceo of oracle, his name is rapery ellison, extremely wealthy guy, he is leaving california as well. susan will tell us where he is going. susan: he is going to hawaii, not austin, texas. he has a 500 million dolan island. in in lanai. he larry ellison is the 11th richest person will work by zoom on his tropical island retreat. i looked into this. hawaii is not a low tax state. the state income t