1304 ET - Broadcom has a better setup heading into its third-quarter report, Benchmark analyst Cody Acree says, noting that shares have fallen over the last month and were recently up just 7% year-to-date. "In our opinion, this creates a better tactical setup after fiscal 2Q26 fell roughly 13% on results that were strong but below elevated buy-side AI expectations," Acree writes in a note. The company will need to issue strong fourth-quarter guidance, likely for around $21 billion in AI semiconductor shipments with an operating margin near 67%, and offer positive commentary on AI-semiconductor conversion and customer timing. Still, Acree writes, "the expectation hurdle is more achievable than it was in June." Shares are off 1.4%.