Broadcom Jumps 2% After Forecasting $115 Billion AI Revenue for 2027
Updated
Updated · CNBC · Sep 2
Broadcom Jumps 2% After Forecasting $115 Billion AI Revenue for 2027
3 articles · Updated · CNBC · Sep 2
Summary
$115 billion in fiscal 2027 AI revenue and $230 billion in 2028 became Broadcom’s new targets, helping lift the stock 2% after hours despite a softer-than-expected $34.8 billion Q4 revenue outlook.
Q3 results still beat estimates: adjusted EPS reached $3.32 versus $3.24 expected, revenue hit $29.59 billion versus $29.36 billion, and net income more than tripled to $13.09 billion.
AI chip demand drove the quarter, with semiconductor revenue more than tripling to $16.7 billion as CEO Hock Tan highlighted expanding shipments to Google, OpenAI, Meta and Anthropic.
Broadcom said it expects tens of billions of dollars of annual processor deliveries to Google for several years and sees major 2027 deployments for OpenAI’s Jalapeno chips and Anthropic’s TPU 8i systems.
The outlook extends Broadcom’s AI-fueled run—its shares are up more than sixfold since late 2022—though the stock has gained only 6% this year, trailing the S&P 500’s 12% rise.