Broadcom Corp (AVGO)

[winston]

not vested

Broadcom Just Cratered 16% in a Month. Is It Time to Sell, or Buy More?

by David Moadel

Broadcom's Q2 beat included 48% revenue growth and 143% AI semiconductor gains, yet shares fell 16% in a month as elevated valuations outran even strong results.

AVGO carries 44 buy ratings and a $524 consensus target, but its 63x trailing P/E leaves little margin if AI growth disappoints.

Broadcom CEO Hock Tan guided Q3 AI chip revenue to $16 billion, a 200%-plus year-over-year jump that could restore investor sentiment if delivered.

Insider activity has added to the cautious tone, with Director Henry Samueli disposing of more than 1 million Broadcom shares on June 24.

Custom AI accelerators for hyperscalers, AI networking silicon and the VMware subscription transition all support strong forward growth.

Moreover, Broadcom's Q2 free cash flow hit $10.3 billion, giving the company ample firepower for buybacks and dividends.

Trailing P/E ratio of 63. With forward EPS estimates of $12, Broadcom's forward P/E ratio still sits in the mid-40s.

Source: 24/7 Wall Street

https://finance.yahoo.com/markets/stock ... 06942.html

[winston]

Broadcom's $30 Billion Apple Deal: This Chip Giant Is About More than Just AI

Broadcom’s latest Apple deal cements a massive non-AI revenue stream and underscores the chipmaker’s reach beyond the AI boom.

With growth accelerating across all three business lines, the stock may have more upside than its recent pullback suggests.

Broadcom extended its chip supply agreement with Apple through 2031, a deal Apple expects to exceed $30 billion in value.

Non-AI semiconductors and infrastructure software together, made up just over half of Broadcom's revenue last quarter, showing diversification beyond AI chips.

Broadcom forecasts accelerating growth across AI semiconductors, non-AI semiconductors, and infrastructure software next quarter, even as its shares trade about 20% below their highs.

Source: Market Beat

[winston]

Broadcom’s $200 Billion Samsung Deal Shows How Costly the AI Memory Race Has Become

Broadcom is paying a premium to lock down scarce HBM supply and keep its AI chip ambitions on track.

The Samsung pact also gives it a potential alternative to TSMC for next-generation chipmaking and advanced packaging.

Broadcom and Samsung Electronics announced a five-year, over $200 billion agreement under which Broadcom will purchase memory and other chips from Samsung.

The deal secures Broadcom's supply of High Bandwidth Memory amid shortages and price spikes, supporting its AI accelerator growth and potentially limiting margin pressure.

The agreement also covers Samsung's 2-nanometer foundry process and may extend to advanced packaging, offering Broadcom a potential alternative to TSMC's constrained capacity.

Source: Market Beat

[winston]

not vested

Broadcom (AVGO) Faces A $370 Billion AI Financing Risk Question

by Bailey Pemberton

Broadcom (NasdaqGS:AVGO) is using a chip financing vehicle that could reach US$370b in senior debt by mid 2029 to support its AI platform growth.

The structure backstops customer lease obligations on Broadcom AI chips, which may leave the company exposed if customers default on payments.

The potential scale of this off balance sheet style financing raises questions about Broadcom's future risk profile and capital structure.

Source: Simply Wall Street

https://finance.yahoo.com/technology/ai ... 58853.html

[winston]

not vested

Broadcom Shares Plunge on Major VMware Security Threat

by Nauman Khan

Broadcom (NASDAQ:AVGO) shares dropped about 6% Friday as reports of attacks targeting a recently fixed VMware security issue weighed on the stock.

The vulnerability affects VMware vCenter Syslog Server, a tool used to manage and oversee virtual infrastructure.

Source: Guru Focus

https://finance.yahoo.com/markets/stock ... 33296.html

[winston]

vested

Broadcom amassing US$60 billion to fund chips for Anthropic: sources

Banks involved in the massive debt package include Bank of America, Citigroup and Morgan Stanley

In August, Nvidia also announced a partnership with six of the biggest names in finance, including Blackstone, to mobilise more than US$500 billion for AI, including helping customers fund their purchases of the company’s chips.

Source: Bloomberg

https://www.businesstimes.com.sg/startu ... ic-sources

[winston]

vested

Here’s Why I’m Buying Broadcom Even As Concerns About Circular Financing With Anthropic Mount

by Alex Sirois

Broadcom's AI semiconductor revenue surged 221% to $16.7B, and management projects $230B by fiscal 2028 at just 12x forward earnings.

Broadcom co-designs custom AI chips with the few companies building frontier models, then sells them the networking that ties those chips together.

Management described a long-term Google agreement that could involve "multi-tens of billions of dollars of TPUs annually over the next several years."

Source: 24/7 Wall Street

https://finance.yahoo.com/markets/stock ... 04728.html