AVGO and QRVO are two Apple suppliers that have been outperforming
Schaeffer's Senior Quantitative Analyst Rocky White recently unveiled a list of
trading ideas for bullish contrarians. In other words, these stocks are trending higher, yet are surrounded by low expectations. Among the names on the list are Apple Inc. (NASDAQ:AAPL) suppliers
Broadcom Ltd (NASDAQ:AVGO) and
Qorvo Inc (NASDAQ:QRVO). Shares of both AVGO and QRVO are hovering near notable technical milestones -- which makes sense, given AAPL stock hit a record high yesterday, even amid rumors of an
iPhone 8 delay. Nevertheless, there's plenty of skepticism to be found, suggesting there's still sideline cash available to help fuel a bigger rally.
Broadcom Stock Stays Near Record Highs Amid Intense Short Selling
Last December, AVGO stock took out previous congestion near $177, and has surged more than 23% in the ensuing months. The stock recently hit an all-time peak of $227.75 on March 13, but was last seen trading at $218.24 -- just above its rising 40-day moving average. On a relative-strength basis, AVGO stock has outperformed the S&P 500 Index (SPX) by 16 percentage points in the past three months.

Amid this uptrend, AVGO short interest has nonetheless risen, jumping 8.7% in the most recent reporting period. While Broadcom Ltd's ability to stay near record highs amid this selling pressure speaks to its underlying strength, a capitulation from some of the weaker bearish hands could create tailwinds for AVGO stock.
Skeptical Analysts Have Room to Move on Qorvo Stock
QRVO topped out at $69.87 yesterday, its highest perch since July 2015. The stock was last seen trading 0.8% higher at $69.18 -- brushing off headwinds from spiraling sector peer
Advanced Micro Devices, Inc. (NASDAQ:AMD) -- bringing its year-to-date advance to 31%, thanks to double-barreled support from its rising 40- and 50-day moving averages.

Short sellers pounced in the most recent reporting period, with short interest up 5.1%. These bearish bets account for 9.4% of QRVO's available float, representing almost two weeks' worth of pent-up buying demand, at the average pace of trading. Plus, there's plenty of room for analysts to continue upwardly revising their outlooks for QRVO stock. While 44% of brokerages maintain a "hold" or "sell" rating on Qorvo Inc, the average 12-month price target of $68.14 stands at a discount to the stock's current price.