By Aniruddha Ganguly
Publication Date: 2026-05-01 17:19:00
Broadcom AVGO shares closed at $417.43 on April 30, down 2.8% from the 52-week high of $429.31 the stock hit on April 23. AVGO shares have jumped 20.6% in the year-to-date (YTD) period, outperforming the broader Zacks Computer and Technology sector’s return of 9.8%. Broadcom shares have been benefiting from rising AI revenues driven by strong demand for custom AI accelerators (XPUs) despite lower margins on the chips that are hurting the revenue mix. An expanding portfolio bodes well for AVGO’s prospects, which are expected to push up the shares.
AVGO’s Strong AI Growth Boosts Competitive Prowess
AVGO’s prospect benefits from rising AI revenues. Semiconductor business benefits from strong AI revenues, which surged 106% year over year in the first quarter of fiscal 2026. AI networking revenues grew 60% year over year and represented one-third of AI revenues, while AVGO’s revenues from XPUs jumped 140% year over year.
The company’s strong portfolio is…