Broadcom Drops Over 4% as $21.7 Billion AI Forecast Meets Slowdown Fears

This article first appeared on GuruFocus. Broadcom shares fell over 4% to $346.98 in Monday regular trading as investors pulled back from AI semiconductor names following fresh calls to slow the development of frontier AI models. Broadcom (NASDAQ:AVGO), the semiconductor and infrastructure-software giant, was caught in the same selloff hitting Nvidia and major memory-chip producers. But Broadcom is no ordinary AI trade anymore. Its custom accelerators and high-speed networking products have made it one of the biggest alternatives to Nvidia for hyperscalers building their own AI infrastructure. Warning! GuruFocus has detected 3 Warning Sign with AVGO. Is AVGO fairly valued? Test your thesis with our free DCF calculator.