By Alex Sirois
Publication Date: 2026-08-21 11:42:00
Quick Read
AVGO fell 13% on Treasury yield fears, yet guides $56 billion in FY2026 AI revenue backed by gigawatt-scale signed contracts through 2029.
As borrowing costs squeeze capex budgets, META and OpenAI are locking in AVGO’s cheaper custom ASICs over NVDA’s general-purpose GPUs.
AVGO trades at just 20x forward earnings despite 200% AI revenue growth guidance and free cash flow compounding at 60% annually.
Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Broadcom didn’t make the cut. Grab the names FREE today.
I keep hitting the buy button on Broadcom (NASDAQ:AVGO), and last week’s selloff handed me another reason to do it. When the 10-year Treasury yield ripped to 4.75% on July 31 and dragged AI names lower, AVGO fell 12.87% in a single week. I added again.
Here is what pulls me back. Broadcom designs the custom ASICs that hyperscalers like Alphabet (
