Broadcom Inc. · Common stock · Palo Alto, California

Custom AI chips for Google, Meta and OpenAI, plus a software cash machine.

Broadcom designs custom AI accelerators (XPUs) and the networking chips that connect them, and owns VMware. AI semiconductor revenue tripled to $16.7B last quarter and is guided to $21.7B next, with management talking about roughly $115B of AI revenue in fiscal 2027. Two guides in a row landed just below what the market hoped, and AI mix is pulling gross margin down.

Last close · Oct 9, 2026

$361.54

Market cap

$1.73T

at current price

52-week range

$290–495

closing low / high

P/E (forward)

~19×

consensus next-year EPS · trailing GAAP ~46×

Revenue TTM

Q4 FY26 guide

$34.8B

AI $21.7B · op. margin ~66% · GM ~73%

Next earnings

Mid-Dec

Q4 FY26 · date not yet announced

Price, last 12 months

Daily closes with the 50-day average. The stock fell after both the June and September reports despite record AI sales, and is 27% below its June high.

1Y closing high

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1Y closing low

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SMA 50

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SMA 200

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RSI 14

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Avg daily move

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last 20 sessions

Beta

1.48

vs. S&P 500

From peak

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Revenue and margins, by quarter

Revenue in US$ millions, with GAAP gross margin on the right axis. Broadcom's fiscal year ends around November 1; VMware is included from Q1 FY24. The last bar is company guidance.

RevenueGross margin (right axis)Guidance

Q3 FY26

$29.6B

+86% YoY · record

AI semiconductors

$16.7B

+221% YoY · 56% of sales

Semiconductors

$20.8B

+127% YoY

Infrastructure software

$8.75B

+29% YoY · ~84% op. margin

Free cash flow

$13.7B

46% of revenue

FY26 AI revenue

~$58B

raised from $56B · FY27 ~$115B

Quarter	Ended	Revenue, US$M	YoY	Gross margin	Op. margin	EPS (GAAP)

Watch list

What moves the thesis, sorted by direction.

Tailwind

AI run rate

AI revenue goes from $8.4B in Q1 to a guided $21.7B in Q4 FY26. Management laid out about $115B for FY27 and about $230B for FY28, and says supply is secured for FY27.

Tailwind

Customer roster

Shipping TPUs for Google and Anthropic, OpenAI's first custom accelerator, and Meta's MTIA from Q4. XPU shipments rose more than 3.5 times in a year.

Watch

Margin mix

XPUs carry more memory content and lower margins than software. Gross margin fell 210 basis points to 75% in Q3 and is guided to about 73% in Q4.

Watch

High expectations

The Q4 revenue guide of $34.8B came in just under the $35.0B consensus, and the stock fell about 5% after hours, as it did in June.

Risk

Customer concentration

A handful of hyperscalers and AI labs buy most of the AI output. A delay in one program or a shift to in-house design would show up quickly.

Risk

Debt

Broadcom carries about $59B of debt against $24B of cash, mostly from the VMware deal, though free cash flow covers it comfortably.

Calendar

Mid-Dec 2026

Q4 FY26 earnings

Guide: about $34.8B revenue, including $21.7B of AI semiconductors and $8.7B of software.

Q4 FY26

Meta MTIA shipments

Broadcom expects production shipments of Meta's custom accelerator to begin this quarter.

Early Mar 2027

Q1 FY27 earnings

First quarter against the ~$115B FY27 AI outlook.