NewsMV
Custom XPU and networking silicon demand pushed Broadcom's (NASDAQ: AVGO) Q2 FY2026 AI semiconductor revenue to $10.80 billion, up 143% year over year, marking eight straight quarters of EPS beats.
Shares trade at $416.08 against a consensus 12-month target of $527.88 across 48 covering analysts, 44 of whom rate the stock Buy or Strong Buy.
Q3 results, expected in weeks, will test management's $16 billion AI semiconductor guidance against total Q3 revenue guidance of roughly $29.4 billion, up 84% year over year.
Two chokepoints: custom silicon and networking CEO Hock Tan has secured multi-generation XPU agreements with Google, Meta, OpenAI, and Anthropic. OpenAI has committed to 10 gigawatts of capacity by 2029.
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