By Alex Sirois
Publication Date: 2026-10-15 16:45:00
Broadcom just delivered its best quarter ever, yet the stock sits nearly flat on the year as critics hammer its slower segments. Here is why one investor sees the same drag as his reason to keep buying.
I have added to my Broadcom (NASDAQ:AVGO | AVGO Price Prediction) position again and again this year, and last week’s slide gave me one more reason to buy. Shares fell 8.04% in a week to $346.25 as chip stocks wobbled. That leaves the stock up just 0.59% year to date, even though the business just reported the best quarter in its history.
Here is what draws me back. Broadcom co-designs the custom chips that the biggest AI developers build their data centers around. It pairs that with a software franchise that throws off cash. Critics call the slower segments a drag. I see them as ballast (we featured seven companies driving this same expansion, from power to cooling to networking, in a free report you can grab here).
