Added to YB: 2026-03-09
Pitch date: 2026-03-05
AVGO [bullish]
Broadcom Inc.
+27.66%
current return
Author Info
No bio for this author
Company Info
Broadcom Inc. designs, develops, and supplies various semiconductor devices and infrastructure software solutions internationally.
Market Cap
$2.0T
Pitch Price
$327.59
Price Target
650.00 (+54%)
Dividend
0.61%
EV/EBITDA
54.91
P/E
82.39
EV/Sales
30.07
Sector
Semiconductors and Semiconductor Equipment
Category
growth
Broadcom 1QFY26 Earnings, From Discipline Discount to Prime Contractor
AVGO (earnings): Q1 rev $19.31B beat, AI chip sales doubled YoY to $8.4B. Q2 guide $22B, $1.5B above est. $100B AI revenue 'line of sight' for FY27 backed by supply chain commitments through 2028, 10GW customer deployments (Anthropic 3GW, OpenAI 1GW+, Meta/Google multi-GW). AI networking 33% of Q1 AI rev ($2.8B), trending 40% Q2 ($4.3B annualized = $17B). Insourcing deepens Broadcom dependence as prime contractor industrializing custom silicon. Bull: $650 PT on infrastructure platform re-rating. Base: $450. Bear: $240 on capex pause. Trading 38x FWD vs networking biz alone worth $500B at Arista multiples. VMware ARR +19%, software +1% YoY but Q2 guide implies 9% growth. Risks: AI capex pullback, customer program slips, VMware conversion delays.
Read full article (8 min)