Broadcom Stock Jumps Nearly 3.2% as $16.7 Billion AI Engine Faces Margin Test

This article first appeared on GuruFocus. Broadcom (NASDAQ:AVGO), the custom chip and networking giant, caught a lift as JPMorgan argued the AI trade could recover from its recent pullback. Shares rose nearly 3.2% to $360.53 at roughly 11:14 a.m. ET Tuesday, a sharper move than the nearly flat opening suggested. Warning! GuruFocus has detected 3 Warning Sign with AVGO. Is AVGO fairly valued? Test your thesis with our free DCF calculator.AVGO GF Value chart The numbers behind that optimism are hard to ignore. Broadcom reported $16.7 billion in fiscal third-quarter AI semiconductor revenue, up 221% from a year earlier and 54% from the prior quarter.