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Key Takeaways
- Broadcom posted quarterly results that topped analysts’ estimates, thanks to strong demand for its AI offerings.
- The stock has lost more than a fifth of its value from its December highs amid a broader pullback in AI-exposed stocks.
Can Broadcom’s latest quarterly results revive enthusiasm for its stock?
Shares of Broadcom (AVGO) were recently up more than 4% in extended trading, after the chipmaker posted better-than-expected results for its fiscal first quarter.
Broadcom posted adjusted earnings per share of $2.05 on a 29% year-over-year jump in revenue to a record $19.31 billion as AI sales more than doubled. Both figures topped analysts’ estimates compiled by Visible Alpha.
Why This Is Significant
The strong results could help revive flagging enthusiasm for Broadcom’s stock, though analysts warned it may face an uphill battle from weak sentiment around parts of the AI trade.
CEO Hock Tan said Broadcom saw “robust demand for custom AI accelerators and AI networking,” and that he sees that momentum continuing in the current quarter.
The supplier for Meta (Meta) and Alphabet’s (GOOGL) Google forecast second-quarter revenue of $22 billion, above the $20.31 billion analysts called for.
If Broadcom’s gains hold, they could help the shares recover some of their recent losses. They were down about 8% for 2026 through Wednesday’s close, after a broader pullback in many AI-exposed stocks in recent weeks.
