Google Inc (GOOG), QUALCOMM, Inc. (QCOM) and Broadcom Corporation (BRCM): 3 Tech Behemoths to Consider

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Besides having major firms such as Apple Inc. (NASDAQ:AAPL) and SAMSUNG ELECT LTD(F) (OTCMKTS:SSNLF) as its customers, Broadcom Corporation (NASDAQ:BRCM) has been forming partnerships with handset makers in emerging markets. In China, the world’s largest smartphone market, Broadcom is working with China Unicom (Hong Kong) Limited (ADR) (NYSE:CHU) to introduce a smartphone priced below $100.

While there are encouraging long-term revenue opportunities for Broadcom Corporation (NASDAQ:BRCM), the company must invest heavily in R&D if it wants to maintain its competitive technology edge. This is due to the company facing increasingly fierce competition in the wireless market.

Currently, Broadcom Corporation (NASDAQ:BRCM) trades at 33$ or almost 24 times its earnings, representing a slight premium in comparison to the industry average. With a strong performance record and a growing customer base, however, it looks like good time to chip in.

Bottom line

While the three stocks reviewed offer tempting prospects, my bet here is with Broadcom Corporation (NASDAQ:BRCM). The firm has been performing strongly, has demonstrated notable technological proficiency, and is expected to continue to benefit from the strong demand for mobile devices and smartphones. In this aspect, the partnership with China Unicorn certainly sounds promising as it answers this demand in the large Chinese market.

Damian Illia has no position in any stocks mentioned. The Motley Fool recommends Facebook and Google. The Motley Fool owns shares of Facebook, Google, and Qualcomm.

The article 3 Tech Behemoths to Consider originally appeared on Fool.com.

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