Broadcom raised its fiscal 2027 AI semiconductor revenue forecast to $115 billion, up from its previous $100 billion target, and expects $230 billion in fiscal 2028—double the 2027 estimate. It said it has secured the supply chain needed to support that growth.
Broadcom designs application-specific integrated circuits (ASICs), custom chips built for specific workloads, for clients including Alphabet, Meta Platforms, Anthropic and OpenAI. The article says these companies are increasing spending with Broadcom to improve computing efficiency in their data centers.
The article says Broadcom trades at 19 times next year's expected earnings and calls that multiple attractive. It also notes that Broadcom was not among the 10 stocks selected by The Motley Fool's Stock Advisor team, whose list the article promotes.
