Broadcom expected to post strong Q3 results, guidance, led by AI
Justin Sullivan
Broadcom (NASDAQ:AVGO) is slated to report fiscal third-quarter results later this week and several investment firms are expecting outperformance relative to expectations for this quarter and next.
"We believe that the strength will come from the networking business which by all counts is seeing tremendous strength from cloud and AI business trends," Piper Sandler analyst Harsh Kumar wrote in an investor note.
"During the [second-quarter] earnings call, Broadcom had stated that it believed its generative AI revenues could potentially surpass 25% of Semiconductor revenues in [fiscal 2024], up from [roughly 10% in fiscal 2022]," Srivastava wrote in an investor note. "On a quarterly trajectory, Broadcom expected revenues to double exiting the year (FY4Q23) vs. what they were entering the year, and noted that revenues from generative AI could exceed $1 billion in FY3Q."
A consensus of analysts estimates that Broadcom (AVGO) will report earnings $10.43 per share on $8.86B in revenue during the third quarter.



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