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Broadcom Rallies on Analyst Upgrades and Reported Microsoft Chip Talks Ahead of Dec. 11 Earnings

Investors await Dec. 11 results to see if hyperscaler demand is sustaining Broadcom’s AI-led surge.

Overview

  • Shares rose after reports said Microsoft is discussing future custom AI chip designs with Broadcom, potentially shifting work from Marvell.
  • Wall Street models about $17.5 billion in fiscal Q4 revenue and roughly $1.87 in EPS, while JPMorgan projects an upside driven by stronger AI chip and networking demand.
  • UBS lifted its price target to $472 as Bank of America moved to $460 and Susquehanna to $450, reflecting growing confidence in Broadcom’s AI roadmap.
  • Broadcom previously disclosed more than $10 billion in orders for XPU-based AI rigs and has deepened customer engagements that include Google’s TPU program.
  • The stock is up about 68% in 2025 as analysts look for fiscal 2026 guidance, with some forecasting AI revenue could scale into the $20–50 billion range in coming years.