Overview
- Goldman Sachs raised Broadcom’s price target to $435 with a Buy rating, putting focus on the Dec. 12 results and an expected lift to fiscal 2026 AI revenue guidance above 100% growth.
- Broadcom’s custom AI accelerators now drive roughly 65% of its AI sales through partnerships with Google and OpenAI, with Q4 AI chip revenue projected at about $6.2 billion and a reported $110 billion backlog that includes a new $10 billion-plus customer order.
- Nvidia detailed record quarterly revenue of about $57 billion and guided to roughly $65 billion next quarter, while a memo defending its $4.5 trillion valuation addressed accounting and working-capital questions that had weighed on sentiment.
- Sell-side firms, including Bernstein, reiterated positive views on Nvidia following the memo, citing sold-out Blackwell GPUs and sustained data-center demand despite a recent pullback.
- Reports that Meta may adopt Google’s TPUs starting around 2026–2027 heightened competitive scrutiny for Nvidia, even as commentators warn the AI buildout could risk a broader capacity bubble if utility lags massive spending.