Broadcom beats Q3 expectations, but shares fall as guidance fails to impress
📊 Broadcom reported Q3 revenue of $29.59 billion, up 86% year over year and above market expectations. Adjusted EPS came in at $3.32, also ahead of estimates of around $3.22–$3.24.
🤖 AI remained the key growth driver, with AI chip revenue reaching $16.7 billion, up 221% YoY and above forecasts. The company expects this figure to rise to around $21.7 billion in Q4.
📉 Despite the strong quarterly results, AVGO fell roughly 3–6% in after-hours trading. Q4 revenue guidance of about $34.8 billion was only in line with or slightly below consensus near $35 billion, falling short of elevated market expectations.
💡 The price reaction appears to reflect extremely high expectations rather than weakening AI demand. Broadcom is still growing rapidly, but at its current valuation, investors are looking for a larger upside surprise.
#Broadcom $AVGOB
📊 Broadcom reported Q3 revenue of $29.59 billion, up 86% year over year and above market expectations. Adjusted EPS came in at $3.32, also ahead of estimates of around $3.22–$3.24.
🤖 AI remained the key growth driver, with AI chip revenue reaching $16.7 billion, up 221% YoY and above forecasts. The company expects this figure to rise to around $21.7 billion in Q4.
📉 Despite the strong quarterly results, AVGO fell roughly 3–6% in after-hours trading. Q4 revenue guidance of about $34.8 billion was only in line with or slightly below consensus near $35 billion, falling short of elevated market expectations.
💡 The price reaction appears to reflect extremely high expectations rather than weakening AI demand. Broadcom is still growing rapidly, but at its current valuation, investors are looking for a larger upside surprise.
#Broadcom $AVGOB
