Table of Contents :
• Stock Rating & Target Price
• Investment Thesis
• Fundamental Models Used
• Company Description
• Corporate Timeline
• Key Metrics (KPI ) and Recently Reported Earnings Review
• Business Highlights, Strategic Announcements & Outlook
• Quarter-over-Quarter (Q-o-Q) and Year-over-Year (Y-o-Y) Growth Analysis
• Key Catalysts Driving Growth
• Historical Financial Statement Analysis & CAGR Trends
• Quarterly Key Financial Ratios and Performance Metrics
• Annual Financial Performance Analysis: Horizontal and Vertical Financial Analysis, Trends
• Financial Forecasts
• Annual Forecasts: Income Statement
• Annual Forecasts: Cash Flow Statements
• Net Debt Levels
• A Closer Look at DCF: Our Assumptions and Methodology
• Terminal Value Calculation
• Target Price Analysis
• Valuation Multiples
• Supplementary Valuation Analysis: Multiples Approach
• Scenario/Sensitivity Analysis – Base Case , Bull Case ,Bear Case
• Holistic Peer Review & Trading Comps: Financial Data, Operational Metrics, and Valuation Multiples
• Implied Price Per Share
• Ownership Activity/ Insider Trades
• Ownership Summary
• An analysis of ESG Risk Rating
• Key Professionals
• Key Board Members
• Key Risks Considerations
• Analyst Ratings
• Analyst Industry Views
• Disclosures
Broadcom’s $1 Tn AI Bet: Not Over Yet ? Inside the Structural AI Growth Story, Intel’s Shake-Up Impact and Hyperscaler Moves Mean for the Rally’s Next Chapter !
Broadcom’s FY24 results delivered a record $51.6 billion in revenue (+44% YoY), driven by robust AI-driven semiconductor demand (+220% YoY) and the accretive VMware integration. AI revenues now contribute 24% of consolidated sales, supported by hyperscaler adoption of custom silicon and networking solutions (Tomahawk, Jericho) that drove networking revenue up 45% YoY. Management’s bold projection of $60–$90B in AI revenue by FY27, representing a 3–4x expansion, underscores Broadcom’s strategic positioning as a frontrunner in hyperscale AI infrastructure. Simultaneously, VMware’s rapid integration—evidenced by 70% operating margins and strong private cloud adoption—adds stability to the software segment, positioning it as a critical growth vector. Near-term challenges include non-AI semiconductor softness (-23% YoY in Q4), gross margin pressures from AI mix shifts, and execution risks around scaling AI silicon. However, recovery in server storage and broadband suggests non-AI stabilization is underway. With Q1 FY25 guidance projecting 22% YoY growth ($14.6B revenue), driven by a 65% increase in AI revenue, Broadcom’s structural growth narrative remains firmly intact. Can Broadcom sustain this momentum and continue dominating the AI semiconductor value chain, even as competition intensifies and hyperscalers ramp in-house chip development?
