Avgo

business4 days ago•13 min saved

Broadcom Falls as AI Revenue Guidance Falls Short of Expectations

Broadcom posted a strong Q2 with revenue of $22.19B (+48% YoY) and AI semiconductors revenue of $10.8B (+143%), plus a record free cash flow of $10.3B and EBITDA margin of 69%, but the stock dropped after management guided Q3 AI revenue to $16B (about $1.2B below expectations) and chose not to raise its long-term AI target of over $100B for 2027, signaling a catalyst gap despite solid fundamentals; Q3 revenue guidance of $29.4B beat consensus, and analysts were mixed on the stock’s path, with some raising targets and others downgrading.

#ai-semiconductors #avgo #broadcom

business5 days ago•11 min saved

Broadcom Slumps After AI-Chip Forecast Miss

Broadcom’s shares fell more than 10% in after-hours trading after the company forecast AI semiconductor revenue of $16 billion for Q3, below the $17.2 billion consensus, and guided full-year AI chip revenue to $56 billion vs. about $57.6 billion expected. Despite Q2 revenue up 48% to $22.2 billion and adjusted earnings of $2.44 per share (vs. $2.39 expected), investors questioned the pace of AI ramp. Broadcom has long-term AI deals with Google/Anthropic/Meta and is funding capacity expansion (more than 20 gigawatts through 2028, including 3 GW for Meta; 1.3 GW in 2027 as part of a 10 GW by 2029 plan), but timing remains key as demand may be recognized over years rather than quarters.

#ai-chips #avgo #broadcom

business6 days ago•13 min saved

Broadcom Q2: AI Chips Spark Record Revenue, Margin Pressure Emerges

Broadcom posted Q2 revenue of $22.2B (up 48% YoY), led by AI semiconductor revenue of $10.8B (up 143% YoY); gross margin fell to 77.1% as the mix shifts toward semiconductors. The company guided Q3 revenue to $29.4B and AI semiconductor revenue to about $16B, with AI bookings totaling around $30B, signaling continued AI-driven growth though margins remain under pressure; Google/Anthropic/OpenAI have long-term deals, and free cash flow reached $10.3B.

#ai-semiconductors #avgo #broadcom

business6 days ago•11 min saved

Broadcom Dips After-Hours on Softer Q3 Revenue Outlook Despite Strong Q2

Broadcom reported Q2 revenue of about $22.2 billion (up ~48% year over year) with adjusted earnings per share around $2.44, roughly in line with expectations. For Q3, the company pegged revenue at about $29.4 billion and EBITDA near 68% of revenue, a guide below the top end of analyst estimates, which sent AVGO lower in after-hours trading by roughly 6%. Management cited AI-related semiconductor demand as a key growth driver and even projected AI semiconductor revenue to grow more than 200% year over year to about $16 billion in Q3. The stock had previously surged on mega-deals for custom chips with Anthropic, Meta and Alphabet, but investors remain cautious as the AI demand outlook competes with the softer near-term guidance.

#ai-semiconductors #avgo #broadcom

business6 days ago•13 min saved

Broadcom Tops Q1 Revenue and Guides Higher, Yet Shares Slip

Broadcom beat Q1 CY2026 revenue and non-GAAP EPS estimates, reporting $22.19B in revenue (up 47.9% YoY) and $2.44 per share, with Q2 guidance of about $29.4B at the midpoint above consensus. AI-related semiconductor demand helped drive growth, including roughly $10.8B in AI revenue, while margins remained strong (operating margin ~48.6%, free cash flow margin ~46.3%). Despite the upbeat results, the stock fell about 5-6% after the report as investors digested the broader outlook.

#avgo #broadcom #business

business6 days ago•11 min saved

Oppenheimer Bets Broadcom Higher Ahead of Earnings on AI Demand

An Oppenheimer analyst reiterates a Buy rating and a $450 target on Broadcom ahead of its June 3 earnings, forecasting a Q2 beat and a higher Q3 outlook driven by AI-chip demand and hyperscaler spending from Alphabet and Meta, supported by Broadcom’s AI chip and networking businesses, even as the stock trades at a premium multiple.

markets1 month ago•16 min saved

ASML Forecast Lift Triggers AI-Chip Stock Rally for Nvidia, TSMC, AVGO

AI chip stocks rose after ASML lifted its 2026 forecast, signaling stronger demand for advanced chipmaking tools and suggesting more AI chips will be produced; Nvidia benefited as its GPUs power AI workloads, while TSMC rose on expanding production to meet higher demand; Broadcom gained on a new multi-year deal with Meta to design and supply AI chips for data centers, highlighting the shift toward custom AI hardware; analysts view Nvidia as the top upside among these names.

#asml #avgo #markets

business3 months ago•7 min saved

AI-Fueled Surge Keeps Broadcom in Spotlight, But Is the Price Right?

Broadcom posted a 29% year-over-year revenue rise to $19.3B in Q1, with AI revenue up 106% to $8.4B and free cash flow of about $8B, while guiding for 47% YoY revenue growth in Q2 and AI revenue of $10.7B. The stock has surged and trades around 70x earnings, reflecting lofty expectations, and the article cautions that valuation leaves little margin for error if the AI cycle slows. Concentration risk with a few large customers and the need for sustained revenue/EPS growth over the next five years add to the risk, suggesting Broadcom may not be a buy at today’s price despite its strong fundamentals.

via The Motley Fool|

business3 months ago•14 min saved

Broadcom Delivers Upside Surprise, Nvidia’s Gains Seem Priced In

Broadcom vs. Nvidia: Broadcom posted a clear earnings beat with Q1 revenue of $19.31B (up 29% YoY) and $8.4B of AI revenue, guiding to about $22B in Q2, triggering a positive market move (~+5%). Nvidia, despite a strong top-line and earnings beat, saw a muted reaction as investors had likely priced in perfection, with its stock down about 6%. Analysts still see upside for both names, with NVDA targets around $272 and AVGO around $460.

market-news3 months ago•13 min saved

Broadcom climbs on AI-driven Q1 beat and $10B buyback

Broadcom (AVGO) rose about 3% after a strong Q1 beat with adjusted EPS of $2.05 on $19.31B revenue, led by AI-related demand (AI revenue up to $8.4B). The company guided roughly $22B revenue for the next quarter and outlined a path to AI chip sales exceeding $100B annually by 2027, while also announcing a $10B stock buyback, keeping sentiment bullish with a Strong Buy consensus and significant upside potential.

#artificial-intelligence #avgo #broadcom

business3 months ago•12 min saved

Broadcom Rides AI Boom to Strong Beat and $10B Buyback

Broadcom topped Wall Street estimates with EPS of $2.05 on revenue of $19.31B (up 29% YoY) and unveiled a $10B buyback through 2026. The company guided to about 68% earnings margin and roughly $22B in revenue next quarter, helped by AI demand that produced $8.4B in AI-related revenue in Q4 2025 and $10.7B in AI semiconductor revenue expected this quarter. Analysts broadly remain bullish with a Strong Buy consensus and a $449.46 average price target (~41% upside).

business3 months ago•17 min saved

Broadcom Beats Estimates as AI Demand Powers Hardware

Broadcom topped fiscal Q1 expectations with adjusted earnings of $2.05 per share (vs. $2.03 expected), driven by strong demand for AI hardware. The stock’s longer-term performance remains up about 64% over 12 months, though it’s down year-to-date, and shares trade around 26.9x forward earnings, signaling cautious optimism amid chip-sector dynamics.

via Barron's|

market-news4 months ago•16 min saved

AMD slide underscores mixed sentiment on AI spend and gaming cuts

AMD jumped the gun on a Q4 beat but a tepid Q1 2026 outlook sent shares down ~17%, as investors weigh AI spending momentum against a roughly $1 billion 2026 hit from gaming. Analysts offered mixed reactions: UBS trimmed its target to $310 but kept a Buy rating, citing positive CPU/GPU fundamentals; Truist lifted its target to $283 with a Buy, and Bernstein raised to $235 while staying Hold. The Street remains roughly bullish overall (Strong Buy consensus, avg target around $286, ~42% upside), but near-term AI growth remains uncertain and investor focus on data-center trends, China contributions, and potential client headwinds persists.

#ai #amd #avgo

business4 months ago•4 min saved

Broadcom Pulls Back as Intel Earnings Spark AI Valuation Debate

Broadcom stock slid about 1.5% after Intel's Q4 results, as investors weigh AI demand growth and higher AI-related costs; despite the dip, Broadcom is up ~33% over the past year, with valuations in the AI infrastructure space remaining debated.

via The Motley Fool|