AVGOP
Broadcom Inc. · Technology
Broadcom Inc. · Technology
Broadcom Inc. designs, develops, and supplies various semiconductor devices with a focus on complex digital and mixed signal complementary metal oxide semiconductor based devices and analog III-V based products worldwide. The company operates in two segments, Semiconductor Solutions and Infrastructure Software. It provides set-top box system-on-chips (SoCs); cable, digital subscriber line, and passive optical networking central office/consumer premise equipment SoCs; wireless local area network access point SoCs; Ethernet switching and routing merchant silicon products; embedded processors and controllers; serializer/deserializer application specific integrated circuits; optical and copper, and physical layers; and fiber optic transmitter and receiver components. The company also offers RF front end modules, filters, and power amplifiers; Wi-Fi, Bluetooth, and global positioning system/global navigation satellite system SoCs; custom touch controllers; serial attached small computer system interface, and redundant array of independent disks controllers and adapters; peripheral component interconnect express switches; fiber channel host bus adapters; read channel based SoCs; custom flash controllers; preamplifiers; and optocouplers, industrial fiber optics, and motion control encoders and subsystems. Its products are used in various applications, including enterprise and data center networking, home connectivity, set-top boxes, broadband access, telecommunication equipment, smartphones and base stations, data center servers and storage systems, factory automation, power generation and alternative energy systems, and electronic displays. Broadcom Inc. was incorporated in 2018 and is headquartered in San Jose, California.
Technology
Semiconductors
20,000
2019-09-25
1.11

Broadcom is reiterated at a buy rating as AI-driven growth accelerates and valuation contracts, presenting a compelling long-term opportunity. Q1 revenues rose 29% YoY to $19.3B, with AI-specific revenue up 106% YoY, confirming a robust inflection and strong demand for custom AI accelerators and networking. Q2 guidance targets $22B in revenue (+47% YoY) and 68% EBITDA margin, with 2027 AI chip revenue projected above $100B, supported by a secured supply chain.

Broadcom Inc. delivers robust FQ1 2026 results, and operation updates suggest multi-year growth visibility ahead. Yet, the ongoing volatility in the broader market has distracted investors and resulted in a mispricing of AVGO's growth potential. AVGO's forward PEG ratio is deeply discounted, currently only around 0.5x.

Jay Goldberg at Seaport Research recommends selling Nvidia and buying Broadcom. Goldberg is concerned about Nvidia's circular investments and competition from custom silicon.

Broadcom Inc. (AVGO) is rated Buy, driven by its dominant AI accelerator (XPU) and Ethernet networking positions amid the ongoing AI infrastructure buildout. AVGO's AI semiconductor revenues surged 106% YoY to $8.4B, with management guiding for $10.7B next quarter and sustained demand through 2027. Recent margin contraction warnings stem from a revenue mix shift toward lower-margin hardware, but valuation now appears attractive after a 24% pullback.

Broadcom Inc. (AVGO) reported earnings 30 days ago. What's next for the stock?

U.S. chipmaker Broadcom on Thursday named Alphabet executive Amie Thuener as its next finance chief, effective June 12, when incumbent Kirsten Spears retires.
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