I’m Buying Broadcom Because It Sucks Up The Hyperscaler AI Capex That Doesn’t Go To Nvidia

Quick Read

• Broadcom supplies nearly everything inside a hyperscale AI cluster except the GPU, capturing capex from custom accelerators, Ethernet switches, and interconnect fabric.

• AVGO’s AI semiconductor revenue surged 143% to $11 billion last quarter as Google, Meta, and OpenAI route custom silicon spending away from NVDA.

• With 69% EBITDA margins and $10 billion in quarterly free cash flow, Broadcom trades at 21x forward earnings against a $528 analyst target.

• 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 because the company sells nearly everything inside a hyperscale AI cluster except the GPU. Every time I examine how Google, Meta, OpenAI, and Anthropic build compute, Broadcom’s name appears on the custom accelerator, Ethernet switch, DSP, optics, and fabric. That is why my cost basis…