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.
