Broadcom's roughly 15% drop on strong numbers is a textbook case of positioning over fundamentals. Implied vol into the print was elevated and dealers were short gamma, so when the report cleared the bar on results but not on the unchanged FY27 target, the unwind was mechanical and fast.
The thing to watch now is whether the VIX (the volatility index) stays bid into tonight's payrolls. If it does, names like this keep gapping on any headline. If volatility cools, the 15% air-pocket becomes the buyable overreaction the dip-buyers are betting on. I am not chasing it either way.
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