Broadcom Inc. designs, develops, and supplies various semiconductor devices with a focus on complex digital and mixed signal complementary metal oxide semiconductor based devices and analog III-V based products worldwide. The company operates in two segments, Semiconductor Solutions and Infrastructure Software. It provides set-top box system-on-chips (SoCs); cable, digital subscriber line, and passive optical networking central office/consumer premise equipment SoCs; wireless local area network access point SoCs; Ethernet switching and routing custom silicon solutions; serializer/deserializer application specific integrated circuits; optical and copper, and physical layer devices; and fiber optic components and RF semiconductor devices. The company also offers RF front end modules and filter; Wi-Fi, Bluetooth, and global positioning system/global navigation satellite system SoCs; custom touch controllers; inductive charging; attached small computer system interface, and redundant array of independent disks controllers and adapters; peripheral component interconnect express; fiber channel host bus adapters; read channel based SoCs; custom flash controllers; preamplifiers; optocouplers, industrial fiber optics, and motion control encoders and subsystems; light emitting diode, ethernet PHYs, switch ICs, and camera microcontrollers. Its products are used in various applications, including enterprise and data center networking, home connectivity, set-top boxes, broadband access, telecommunication equipment, smartphones and base stations, data center servers and storage systems, factory automation, power generation and alternative energy systems, and electronic displays. Broadcom Inc. was founded in 1961 and is headquartered in Palo Alto, California.

Broadcom Inc. демонстрирует разнообразные фундаментальные метрики, которые в целом указывают на сильные позиции компании в своем секторе. P/E и другие мультипликаторы значительно превышают медианные значения по отрасли, что может свидетельствовать о переоцененности акций. Однако, высокая рентабельность и маржи, такие как net profit margin и operating margin, показывают эффективное управление. Долговая нагрузка по показателю debt to equity также выше медианы, что представляет собой риск. Тем не менее, компания демонстрирует стабильный рост выручки и прибыли, что является положительным фактором. Рост EPS и прогнозируемый рост также подчеркивают уверенность в будущих доходах. В то же время, показатели ликвидности, такие как current ratio и quick ratio, ниже медианных значений, что может вызывать опасения по поводу краткосрочных обязательств. В общем, сильные финансовые результаты и устойчивый рост прибыли дают основания для осторожного оптимизма, несмотря на высокие мультипликаторы и некоторые риски, связанные с долгами и ликвидностью.

Broadcom Inc.

Key Points
Meta Platforms introduced its new AI training and inference chips last week.
Meta collaborated with Broadcom in the effort, with Broadcom saying customers are increasingly turning to specialized XPUs for different workloads over GPUs.
Should the announcements make Nvidia investors nervous?
Nvidia (NASDAQ: NVDA) is known as the king of artificial intelligence (AI), but as the industry migrates from training large language models to inference, will its competitive moat hold up?
Over the past week, even more competitive pressures emerged, with a big custom chip announcement from Meta Platforms (NASDAQ: META) and its chipmaking partner Broadcom (NASDAQ: AVGO).
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
As more large customers migrate to custom XPU solutions, should Nvidia investors be worried about the competition?
Meta launches four new chips
On Wednesday, Meta unveiled four new artificial intelligence chips: The MTIA 300, MTIA 400, MTIA 450, and the MTIA 500.
The 300 is optimized for Meta's core ranking & recommendation (R&R) workloads, which were Meta's dominant workload before generative AI. The 400, 450, and 500 are each for different types of inference workloads. The 400 can implement larger generative AI models for traditional R&R applications. The 450 then augments the 400's capabilities by doubling the high-bandwidth memory (HBM) capacity, and the 500 takes the 450's HBM higher by another 50% on top of that.
Meta disclosed that while the 300 is in use now, the 400, 450, and 500 will be rolled out beginning in early 2027 for generative AI inference. Meta also elaborated on its chip design strategy, noting it uses a "modular" approach that enables it to iterate on new chip designs every six months, rather than the typical two-year cadence. Meta believes this is a necessity, given the rapid pace of AI evolution today:
Rather than placing a bet and waiting for a long period of time, we deliberately take an iterative approach: Each MTIA generation builds on the last, using modular chiplets, incorporating the latest AI workload insights and hardware technologies, and deploying on a shorter cadence. This tighter loop keeps our hardware better aligned with evolving models while enabling faster adoption of new technology.
Like other major cloud companies, Meta is using Broadcom to manufacture and package parts of its chips.
Broadcom says XPUs are on the rise versus GPUs
Broadcom counts Meta as one of its five major XPU customers, to which it supplies SerDes components that connect the chip logic to the networking fabric. At the same time, Broadcom also handles packaging and other elements, ensuring these self-designed chips are manufacturable.
Broadcom held its quarterlyearnings calllast week, during which CEO Hock Tan elaborated on the current trend toward XPUs over graphics processing units (GPUs), noting that as AI workloads evolve, chips require greater specialization for each step in the AI training and inference processes:
The one-size-fits-all general-purpose GPU gets you only that far. ... In a GPU, you have a design for dense matrix multiplication. So you do it with software kernels, but it is not as effective as if you hard-coded it in silicon and make those XPUs purposely designed to be much more performing for mixture-of-experts workloads. The same applies for inference. ... And the design starts to depart from what is the traditional standard GPU design. Which is why, as we always indicated before, XPUs will eventually be more the choice simply because it will allow flexibility in making designs that work with particular workloads -- one for training even and one for inference. ... You can tweak your XPUs toward a particular kind of workload LLM that you want. And we are seeing that. We are seeing that road map in all our five customers.
Should Nvidia investors be worried?
As the AI computing industry evolves toward pre-training, post-training, reinforcement learning, and inference for diverse applications, is Nvidia in danger of losing market share? After all, Nvidia did shell out $20 billion for the intellectual property and engineering talent of inference chip start-up Groq late last year. That may indicate that Nvidia sees emerging demand for non-GPU chips as the industry pivots, as Hock Tan described.
That being said, Nvidia investors shouldn't necessarily panic. Even as the inference market is becoming more competitive, Nvidia still has a strong lead in training, and investment in training infrastructure will continue to grow.
Look no further than Meta itself for evidence. Despite unveiling new chips last week, Meta inked a massive, multiyear deal with Nvidia last month to deploy literally millions of Nvidia Blackwell and Rubin chips in its data centers, along with Nvidia central processing units (CPUs), all connected via Nvidia's SpectrumX ethernet switches.
So, even Meta's new chip designs haven't enabled it to stop buying Nvidia infrastructure.
Meta has legacy businesses across Facebook, Instagram, WhatsApp, and its Reality Labs segments, but it is also building its own Llama family of large language models (LLMs). So, Meta may be deploying Nvidia for its LLM efforts and frontier AI research, while the homegrown chips can more efficiently serve its legacy business footprint with optimized solutions.
But the big picture is that AI computing demand is still growing exponentially. That means the emergence of new inference chipmakers won't cause traditional training-focused GPUs to decline; rather, these new types of chips should be incremental and not displace Nvidia GPUs.
In this case, it appears the rising tide of AI compute truly lifts all boats.
Should you buy stock in Meta Platforms right now?
Before you buy stock in Meta Platforms, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Meta Platforms wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $514,000!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,105,029!*
Now, it’s worth noting Stock Advisor’s total average return is 930% — a market-crushing outperformance compared to 187% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of March 15, 2026.
Billy Duberstein and/or his clients have positions in Broadcom and Meta Platforms. The Motley Fool has positions in and recommends Meta Platforms and Nvidia. The Motley Fool recommends Broadcom. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Meta Platforms Just Unveiled Its New AI Chips. Should Nvidia Investors Be Worried?

Key Points
Demand for semiconductors and the ancillary products needed to support the data center build-out has surged in recent years.
Broadcom's dizzying assortment of customizable chips and infrastructure products is helping sustain the data center boom.
Despite its critical role in the data center space, the stock is still attractively priced.
There are currently 11 companies worth $1 trillion or more (as I write this), but only four are members of the vaunted $3 trillion club: Nvidia at $4.4 trillion, Apple at $3.7 trillion, Alphabet at $3.6 trillion, and Microsoft at $3 trillion.
Mounting evidence suggests that Broadcom (NASDAQ: AVGO) will join these tech titans in the years to come. The company's products play a crucial role in data centers -- where most artificial intelligence (AI) processing occurs -- and unprecedented demand is fueling robust financial and operating results.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
The semiconductor and data center specialist has a market capitalization of $1.6 trillion (as of this writing), so investors who buy Broadcom right now are looking at potential returns of 91% if the company joins the $3 trillion club. I believe that day is fast approaching.
AI is just the beginning
One of the biggest byproducts of the rapid adoption of AI has been the ongoing expansion of data centers needed to support the technology. While Broadcom is widely known for its semiconductors, the company is also a supplier of networking components and accessories that are critical to the operation of data centers.
The biggest contributor to the company's recent success has been the unrelenting demand for its Application-Specific Integrated Circuits (ASICs). These specialized chips can be customized to be more efficient in specific use cases.
As cloud and data center operators look to rein in costs, ASICs have emerged as a viable alternative to Nvidia's flagship graphics processing units (GPUs), which are the gold standard and currently underpin the AI data center market. Google, for example, relies on Broadcom to design and manufacture the high-performance cores at the heart of its Tensor Processing Units (TPUs). The company is also developing a custom AI accelerator for Meta Platforms.
The results are undeniable
Broadcom's financial results tell the tale. In its fiscal 2026 first quarter (ended Feb. 1), the company generated record revenue of $19.3 billion, up 29% year over year, driving adjusted earnings per share (EPS) of $2.05, a 28% increase.
Management believes the company's growth will continue to accelerate. For the second quarter, Broadcom is guiding for revenue of $22 billion, which would represent an increase of nearly 47%, fueling adjusted EBITDA of $15 billion, up 50%.
Broadcom's mathematical path to $3 trillion
Wall Street expects Broadcom to generate revenue of nearly $105 billion in fiscal 2026, giving the stock a forward price-to-sales (P/S) ratio of 15. Assuming its P/S ratio remains constant, the company will need to generate revenue of $200 billion to support a $3 trillion market cap.
As the chart above illustrates, Wall Street predicts Broadcom's revenue will grow to $196 billion by 2028, putting it within striking distance of the $200 million needed for a $3 trillion market cap. However, Broadcom's tendency to beat analysts' consensus estimates and raise its guidance is well-documented, so it will likely reach that benchmark even sooner.
The data center boom continues to gain momentum, with global capital expenditures expected to reach roughly $7 trillion by 2030, according to global management consultants McKinsey & Company. As a leading supplier of data center components and infrastructure, Broadcom is well-positioned to benefit from this trend. Moreover, ASICs are increasingly viewed as a viable, less expensive alternative to GPUs, thereby increasing Broadcom's opportunity.
Despite the blistering rise in its stock price, Broadcom still trades at 30 times forward earnings. Valuing the stock using the more appropriate price/earnings-to-growth (PEG) ratio yields a multiple of 0.44, when any number less than 1 is the standard for an undervalued stock.
Given the available evidence, I think it's clear that Broadcom stock is a buy -- before it joins the $3 trillion club.
Should you buy stock in Broadcom right now?
Before you buy stock in Broadcom, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Broadcom wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $514,000!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,105,029!*
Now, it’s worth noting Stock Advisor’s total average return is 930% — a market-crushing outperformance compared to 187% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
Danny Vena, CPA has positions in Alphabet, Apple, Broadcom, Meta Platforms, Microsoft, and Nvidia. The Motley Fool has positions in and recommends Alphabet, Apple, Meta Platforms, Microsoft, and Nvidia and is short shares of Apple. The Motley Fool recommends Broadcom. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

1 Unstoppable Stock To Buy Right Now Before It Soars 91% to Join Nvidia, Apple, Alphabet, and Microsoft in the $3 Trillion Club

Key Points
Nvidia and Broadcom are set to cash in on huge AI spending.
Taiwan Semiconductor is fabricating chips for all of the major hardware providers.
Microsoft and Alphabet are seeing huge demand in their cloud business units.
Artificial intelligence (AI) stocks are somewhat on sale now compared to where they were trading during late 2025. That's because investors are growing a bit wary of all of the AI spending going on; but the reality is it's not going to slow down for many years.
This makes several stocks solid buys right now, and if you're looking for some investment ideas, I think these five AI stocks are among the best picks in the market.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
1. Nvidia
Any good AI investment list includes Nvidia (NASDAQ: NVDA). Nvidia has been the industry leader since the AI build-out began in 2023, and it has done nothing to relinquish its lead over the past few years. Nvidia has continuously launched more innovative products, and its clients have gladly paid the premium to deploy Nvidia's platform versus the competition.
This has led to growth previously thought impossible for a company of Nvidia's size. During Q4 2025, which ended Jan. 25, 2026, it grew at a 73% pace. Next quarter, management expects 77% growth. Despite these impressive growth figures, Nvidia's stock trades for a mere 22 times forward earnings, making it a screaming buy right now.
2. Broadcom
While Nvidia's dominance in the AI computing unit arena has gone fairly unmatched, Broadcom (NASDAQ: AVGO) is looking to challenge that. It's not trying to beat Nvidia at its own game; instead, it's designing chips in tandem with the end user to optimize the performance for one workload type. This creates a more efficient and cheaper offering than a GPU from Nvidia, but only when the workload is properly configured. There are many applications where a GPU is still the right tool for the job, although Broadcom's custom AI chips can do a lot.
Management expects monster growth from this division and expects it to generate $100 billion in revenue by the end of 2027. Over the past 12 months, this division has made up less than half of Broadcom's $68 billion total revenue, so this emerging business unit is going to take over the majority of Broadcom's business. That's a clear sign to buy the stock, as the market hasn't priced this rise into Broadcom's stock quite yet.
3. Taiwan Semiconductor Manufacturing
Taiwan Semiconductor Manufacturing (NYSE: TSM) is a winner regardless of whether an AI hyperscaler is using Broadcom's or Nvidia's chips. The reality is that Taiwan Semiconductor manufactures most of the logic chips in the world for high-end devices, making it a key winner in the AI realm. The bull case for Taiwan Semiconductor is incredibly simple: AI hyperscalers need to keep spending more money on data centers. With all of them greatly increasing their capital expenditures for 2026, this bodes well for Taiwan Semiconductor.
This neutral positioning makes it a great way to profit from the general rise of AI and other advanced technologies.
4. Microsoft
Microsoft (NASDAQ: MSFT) has had a rough go over the past few months. Its stock is down around 25% from its all-time high, and really hasn't done anything to deserve the sell-off. While one could argue that part of the sell-off was valuation-related, it's now priced at some of the cheapest levels it has traded at over the past decade.
Microsoft is a clear winner in the AI field, and this sell-off is a huge gift that investors shouldn't waste.
5. Alphabet
During Microsoft's fall, Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) has ascended. Alphabet has recovered from being an AI loser to being an AI winner in about one year's time, and its stock has rocketed higher as a result. While it's not as cheap as it once was, Alphabet deserves its current premium of about 26 times forward earnings.
Alphabet's business is going incredibly well, specifically its Google Cloud business, which grew its revenue 48% year over year. Demand for Alphabet's computing resources is incredible, and that growth proves it. While Alphabet may be spending big on AI computing resources, it's proving that this investment has been worth it so far. If we see sustained elevated growth rates in its cloud division throughout 2026, the stock will remain a no-brainer buy.
Should you buy stock in Nvidia right now?
Before you buy stock in Nvidia, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Nvidia wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $514,000!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,105,029!*
Now, it’s worth noting Stock Advisor’s total average return is 930% — a market-crushing outperformance compared to 187% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
Keithen Drury has positions in Alphabet, Broadcom, Microsoft, Nvidia, and Taiwan Semiconductor Manufacturing. The Motley Fool has positions in and recommends Alphabet, Microsoft, Nvidia, and Taiwan Semiconductor Manufacturing. The Motley Fool recommends Broadcom. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Here Are My Top 5 Artificial Intelligence (AI) Stocks to Buy Right Now

Key Points
Broadcom's latest results make it clear that it is becoming an influential player in the AI chip market.
The shift from GPUs to custom AI processors is poised to drive remarkable growth for Broadcom in the long run.
The large-scale deployment of Broadcom's ASICs will be a tailwind for the company and the stock.
Nvidia (NASDAQ: NVDA) has been the top player in the artificial intelligence (AI) chip market for the past three and a half years, which isn't surprising, as the massive parallel computing power of its graphics processing units (GPUs) has made them ideal for training and deploying AI models and applications.
Nvidia reportedly controls 81% of the data center chip market, according to IDC. The company's sustained dominance in AI chips can be attributed to the technological advantage of GPUs in performing vast numbers of calculations quickly. As a result, Nvidia's financial performance continues to be impressive even though it is now the world's largest company by market cap.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
However, there's another chip designer that's quickly catching up to Nvidia in AI chips: Broadcom (NASDAQ: AVGO). I predict Broadcom will become as important as Nvidia in this market by the end of the decade.
Broadcom's AI revenue is poised to grow at an incredible pace
Unlike Nvidia, Broadcom makes custom processors known as application-specific integrated circuits (ASICs). These ASICs are designed to perform specific tasks compared to the general-purpose nature of GPUs. The purpose-built nature of ASICs means that they are speedier and more power-efficient compared to general-purpose chips, while being smaller in size.
ASICs are gaining traction in AI data centers, and Broadcom is the leading player in ASICs, with Counterpoint Research expecting it to control 60% of this space by next year. The strong market share explains why the company's AI revenue grew at a terrific pace last quarter.
Broadcom released fiscal 2026 first-quarter results (for the three months ended Feb. 1) on March 4. The company's overall revenue increased by 29% to $19.3 billion. Its AI revenue increased by a whopping 106% year over year to $8.4 billion, accounting for 43% of the top line. That's a big increase over Broadcom's AI revenue share of 27% in the year-ago period.
The good news for investors is that Broadcom anticipates further acceleration in AI revenue this quarter, to $10.7 billion. Even better, Broadcom estimates that it has the potential to achieve more than $100 billion in AI chip revenue in 2027. In the words of CEO Hock Tan on the latest earnings call:
Today, in fact, we have line of sight to achieve AI revenue from chips, just chips, in excess of $100 billion in 2027. We have also secured the supply chain required to achieve this.
That points toward a 5x increase over Broadcom's AI revenue in fiscal 2025 (which ended in November 2025) in a short span of just two years. However, don't be surprised to see Broadcom's AI revenue becoming much bigger by the end of the decade. Bloomberg estimates that Broadcom could control 60% to 80% of the custom ASIC market, driven by its partnerships with the likes of Google, OpenAI, Anthropic, and Meta Platforms.
Bloomberg expects AI-focused ASICs to account for 19% of the $600 billion AI chip market in 2033. However, Broadcom's AI revenue forecast suggests that the shift from general-purpose GPUs to custom AI processors is happening at a faster pace. That isn't surprising given the cost and performance advantages of ASICs.
Why Broadcom is likely to become the next Nvidia
The remarkable acceleration in Broadcom's AI revenue growth will be driven by the large-scale deployments of its custom AI processors by major hyperscalers and pure-play AI companies. For instance, Anthropic is on track to deploy 1 gigawatt (GW) worth of its custom processors in 2026, followed by more than 3 GW next year.
OpenAI, meanwhile, is expected to buy 1 GW of Broadcom's custom chips next year. Broadcom believes that its next-generation custom AI processors "will scale to multiple gigawatts in 2027 and beyond" at Meta Platforms. For comparison, Anthropic struck a deal with Nvidia to buy 1 GW of compute capacity in November last year. Also, Nvidia has a 10 GW deal with OpenAI to deploy its chip systems, equivalent to the ChatGPT maker's deal with Broadcom that was announced in October last year.
These deals suggest that Broadcom's stature in AI chips is improving rapidly. Moreover, Broadcom's AI revenue is now increasing at a much faster pace than Nvidia's. We saw that Broadcom's AI revenue rose 106% year over year in the most recent quarter (which ended on Feb. 1) to $8.4 billion. For comparison, Nvidia's data center revenue in its most recent quarter (which ended on Jan. 25) increased by 75% from the prior-year period.
Of course, Nvidia reported a record $62.3 billion in data center revenue for the quarter, suggesting an annual revenue rate of almost $250 billion, but Broadcom's faster growth rate and outlook suggest that it is set to catch up rapidly. Specifically, Broadcom's $100 billion AI revenue estimate for next year suggests that it could clock a quarterly revenue rate of $25 billion.
Moreover, the custom AI processor market is poised to grow at an annual rate of 27% through 2033, according to Bloomberg. Broadcom is growing at a much faster pace, a trend that could continue due to its leading position in custom ASICs. If Broadcom can achieve 35% annual growth in AI revenue in 2028, 2029, and 2030, its annual revenue from this segment could hit $246 billion by the end of the decade (using the $100 billion 2027 revenue estimate as the base).
So, Broadcom can indeed achieve Nvidia-like AI revenue by 2030, putting this semiconductor stock on track to deliver more upside to investors, considering that its market cap of $1.5 trillion is almost a third of Nvidia's market cap.
Should you buy stock in Broadcom right now?
Before you buy stock in Broadcom, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Broadcom wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $514,000!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,105,029!*
Now, it’s worth noting Stock Advisor’s total average return is 930% — a market-crushing outperformance compared to 187% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of March 14, 2026.
Harsh Chauhan has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Meta Platforms and Nvidia. The Motley Fool recommends Broadcom. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Prediction: This Artificial Intelligence (AI) Chip Stock Will Become the Next Nvidia by 2030

Key Points
Nvidia is a titan in the semiconductor sphere, broadening the scope of its offerings.
Broadcom has gotten a big boost from AI, and that's not likely to stop anytime soon.
Both companies are well worth considering for long-term investors.
If I had $1,000 to invest right now -- or $100 or $100,000 -- two stocks that would be very high on my consideration list are Nvidia (NASDAQ: NVDA) and Broadcom (NASDAQ: AVGO).
Both are specialists in semiconductors, and semiconductors have been on a tear in recent years, in large part because of the rapid proliferation of artificial intelligence (AI) and the buildout of gobs of data centers to facilitate AI processing.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Check out the average annual returns of these stocks:
Time period
Nvidia
Broadcom
Past 1 year
72.75%
87.04%
Past 3 years
100.41%
78.40%
Past 5 years
71.48%
51.76%
Past 10 years
72.52%
37.79%
Past 15 years
49.41%
37.21%
Meet Nvidia
Nvidia has become a very popular stock for good reason. It has switched its main focus from gaming chips to chips used in data centers for AI. It's also broadening its offerings these days via software, networking, and related services -- such as its recent move into AI agents.
The company, a prodigious producer of cash, is also buying back shares at a rapid clip, deploying $41 billion in its last fiscal year and aiming to spend another $58 billion at least. This is another way to reward shareholders, as repurchased shares are essentially retired, leaving remaining shares with a bigger claim on earnings -- essentially a bigger piece of the pie.
Meet Broadcom
Broadcom is a semiconductor company and a software company -- and a leader in networking equipment. The boom in AI has been a great tailwind for the company, as AI requires chips and software.
Broadcom offers customizable AI accelerators for data centers, and its AI division has been growing more briskly than Nvidia's.
Both companies have quite promising futures, as the biggest tech companies are planning to spend hundreds of billions of dollars building out AI infrastructure -- in 2026 alone.
Should you invest in Nvidia and/or Broadcom?
Both stocks feature pretty eye-popping average annual gains -- which may have you suspecting that you missed the boat on these stocks and that they're overvalued by now. But not so fast -- consider that Nvidia's recent forward-looking price-to-earnings (P/E) ratio of 22.75 is well below its five-year average of 36.94, and its price-to-sales ratio of 20.74 is below the five-year average of 23.91. (Those are both steep price-to-sales ratios, though.)
Broadcom, meanwhile, looks more richly valued, with a forward P/E of 32.40 topping its five-year average of 19.97 and a price-to-sales ratio of 24.64, more than double its five-year average. Still, if you plan to hold on to the stock for many years, buying now could still work out well. Or, if you're not sure, perhaps buy in increments over time.
Do note, of course, that there are other compelling growth stocks out there, as well, should these companies not interest you enough.
Should you buy stock in Nvidia right now?
Before you buy stock in Nvidia, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Nvidia wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $514,000!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,105,029!*
Now, it’s worth noting Stock Advisor’s total average return is 930% — a market-crushing outperformance compared to 187% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of March 14, 2026.
Selena Maranjian has positions in Broadcom and Nvidia. The Motley Fool has positions in and recommends Nvidia. The Motley Fool recommends Broadcom. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

The Best Stocks to Invest $1,000 In Right Now -- and One of Them Is Nvidia

Key Points
Taiwan Semiconductor is the main chip manufacturer for Nvidia, Apple, AMD, and others.
It controls 72% of the global pure-foundry chip industry.
The company has been growing fast and is projecting further rapid growth through 2029.
Microsoft CEO Satya Nadella said last year that as much as 30% of Microsoft's code was being written by artificial intelligence (AI). I can only imagine that number is higher now.
Humans are still definitely needed to maintain quality, a fact proved by Microsoft appointing Charlie Bell, former head of the company's security business, to now focus exclusively on maintaining the quality of the company's products. He reports directly to Nadella.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Microsoft clearly doesn't plan on cutting the amount of its code written by AI. Nadella himself said it was steadily increasing, and CTO Kevin Scott predicted that by 2030, 95% of the company's code might be written by AI.
With that in mind, what is the best way to play AI becoming a permanent part of the IT industry? By my math, one of the best single-ticker ways to play it is Taiwan Semiconductor Manufacturing (NYSE: TSM).
Small island, big footprint
Taiwan is where a full 60% of all the world's semiconductor chips are produced.
But the country's footprint is even bigger than that implies because 90% of the world's advanced semiconductor chips, those 7 nanometers (nm) or smaller, are produced in Taiwan.
And those are the chips you need to run the high-end AI programs Microsoft and others are using to write their code.
Microsoft uses a lot of Nvidia hardware to run its AI. So does pretty much everyone else. IOT Analytics reports that Nvidia controls 92% of the data center GPU market. Its nearest competitor is Advanced Micro Devices at 4%.
But those Nvidia graphics processor units (GPUs) are manufactured by Taiwan Semiconductor. So are its competitor AMD's, along with Apple, Broadcom, Qualcomm and others, either in whole or in part.
In fact, Nvidia's top-of-the-line Blackwell chip is produced at a Taiwan Semiconductor factory in Arizona.
Creating an even bigger footprint
The semiconductor chip market, and by extension the AI data center hardware market, simply does not exist without Taiwan Semiconductor, which doesn't design any of the chips it produces.
Taiwan Semiconductor is a "pure foundry" company. All it does is produce chips on contract. But it's utterly dominant in the space, with 72% market share as of Q3 2025. Samsung is in second place with 7%.
You've heard of pick-and-shovel plays, I'm sure. But Taiwan Semiconductor is the pick-and-shovel play for the AI industry and the tech industry more broadly.
And the company is expanding its footprint beyond Taiwan to build up its global dominance. The semiconductor factory in Arizona I mentioned is being expanded by Taiwan Semiconductor to produce more chips in the U.S., and ultimately the company plans to have six factories and two advanced packaging facilities in the state.Taiwan Semiconductor also has plans drawn up to expand its manufacturing footprint in Japan and Germany.
And all that expansion is not coming at the cost of the company's bottom line, which remains incredibly healthy.
Trillion-dollar baby
Right now, Taiwan Semiconductor is one of only two non-American companies with a market cap of $1 trillion or more. Its latest results reflect its size and influence well.
2025 saw the company's revenue top $122.4 billion, an increase of 35.9% over 2024. Its diluted earnings per share (EPS) grew 46.4%. Taiwan Semiconductor also maintains stellar profitability with a 45% net profit margin.
The company is also projecting 30% revenue growth for 2026 and a revenue compound annual growth rate (CAGR) of 25% through 2029.
Finally, Taiwan Semiconductor is trading at a price-to-earnings-to growth (PEG) ratio of 1.2 right now, which means it's very close to fair value relative to future earnings projections.
Put all that together, and you have a solid long-term buy-and-hold prospect from the one-ticker pick-and-shovel play of the entire global tech industry.
And if Microsoft wants to generate 95% of its code with AI by 2030, it's going to need a lot more hardware, which Taiwan Semiconductor will gladly produce, and in all likelihood continue its growth streak moving forward.
Should you buy stock in Taiwan Semiconductor Manufacturing right now?
Before you buy stock in Taiwan Semiconductor Manufacturing, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Taiwan Semiconductor Manufacturing wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $514,000!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,105,029!*
Now, it’s worth noting Stock Advisor’s total average return is 930% — a market-crushing outperformance compared to 187% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
James Hires has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Advanced Micro Devices, Apple, Microsoft, Nvidia, Qualcomm, and Taiwan Semiconductor Manufacturing and is short shares of Apple. The Motley Fool recommends Broadcom. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Satya Nadella Says "All Software Is Being Rewritten." Here's 1 of the Best Artificial Intelligence (AI) Stocks to Own for 2026.

Key Points
Microsoft stock is trading down big despite solid growth for the company.
Nvidia and Broadcom see huge computing demand.
Taiwan Semiconductor Manufacturing is benefiting from increased spending across the board.
Artificial intelligence (AI) investing continues to be a great way to capitalize on a proven growth trend. There are several great stocks investors should be considering in March, but I'm going to focus my discussion on four of them.
All four of these stocks are direct beneficiaries of AI spending, and each looks like a great buy now.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
1. Microsoft
Microsoft (NASDAQ: MSFT) is spending big to shore up its AI-related offerings, building up massive data centers associated with its Azure cloud computing platform to power AI workloads. So, how is it benefiting from the AI buildout right now? Microsoft isn't developing its own generative AI model; instead, it's choosing to host any developer that's willing to have their products used on Microsoft's platform. One of its biggest partners is OpenAI. This is creating massive growth for Azure, and its revenue rose 39% year over year in Q2 of fiscal year 2026 (ending Dec. 31).
Azure is expected to deliver incredible growth rates throughout the duration of the AI buildout, and this revenue is sustainable over the long-term as its clients are relatively locked into using its infrastructure to run AI workloads. Despite this solid long-term outlook and strong recent successes, Microsoft's stock is trading down about 25% off its all-time high, presenting long-term investors with a great buying opportunity right now.
2. Nvidia
Nvidia (NASDAQ: NVDA) is also having a rough go in the market at the moment. Its stock is down around 11% from its all-time high, yet its valuation is extremely depressed.
At 21.6 times forward earnings, Nvidia is now cheaper than the broader market, as measured by the S&P 500, which trades for about 21.7 times forward earnings. With all of the growth Nvidia is expected to experience over the next five years due to the AI spending spree, Nvidia looks like a genius stock to buy right now.
3. Broadcom
While Nvidia may be the most recognizable AI computing company, Broadcom (NASDAQ: AVGO) is starting to make waves. Nvidia makes broad-purpose graphics processing units (GPUs) that can handle a variety of workloads, while Broadcom is developing custom AI chips with specific end users in mind. These custom AI chips can outperform GPUs at a lower price point in some applications, but lack the flexibility to be able to replace them permanently. As a result, there is room for more than one winner in the AI computing realm.
Over the next few years, Broadcom expects huge growth. During Q1 of FY 2026 (ending Feb. 1), Broadcom's AI semiconductor division grew at a 106% pace to $8.4 billion. By the end of 2027, it expects its AI chip revenue to reach more than $100 billion. That's huge growth in just two years, making Broadcom an excellent stock to add during March.
4. Taiwan Semiconductor Manufacturing
Taiwan Semiconductor Manufacturing (NYSE: TSM) doesn't really care whose computing unit the AI hyperscalers are buying, as it's making the logic chips that go into nearly every single one of them. TSMC is the world's largest chip foundry and has positioned itself as a true neutral player in this field, making it a valuable partner to have.
TSMC expects strong growth for multiple years, as the projected compound annual growth rate (CAGR) for AI-related chips is nearly 60% from the period between 2024 and 2029. That's huge growth powered by the AI buildout, and as long as there is continued spending on AI, TSMC will remain an excellent stock to buy and hold.
All four of these companies are smart buys now, but investors will need to hold them for several years in order to reap the long-term benefits of all of this AI spending. We're still in the early innings of this buildout, and investors shouldn't get too impatient with random drawdowns in the market.
Should you buy stock in Microsoft right now?
Before you buy stock in Microsoft, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Microsoft wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $514,000!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,105,029!*
Now, it’s worth noting Stock Advisor’s total average return is 930% — a market-crushing outperformance compared to 187% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
Keithen Drury has positions in Broadcom, Microsoft, Nvidia, and Taiwan Semiconductor Manufacturing. The Motley Fool has positions in and recommends Microsoft, Nvidia, and Taiwan Semiconductor Manufacturing. The Motley Fool recommends Broadcom. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

4 Artificial Intelligence (AI) Stocks at the Top of My Buy List for March

Key Points
Broadcom believes its AI chip business will generate $100 billion in revenue by the end of 2027.
That would be a huge milestone, but Broadcom's stock hasn't priced in this massive potential yet.
Broadcom (NASDAQ: AVGO) is probably the least well-known trillion-dollar company. It burst onto the scene just recently, but I think it could be headed much higher. It's currently the eighth-largest company in the world by market capitalization, but after what its CEO said about its growth trajectory, it could end up in the top five before we know it.
So, what did Broadcom's CEO say about demand? Let's take a look.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Broadcom's AI chip business is exploding
Broadcom does a lot of different things as a company. It has a virtual desktop business through its acquisition of VMware, mainframe hardware and software, cybersecurity, and many other business units. But those aren't the focus of investors. Instead, everyone is focusing on its AI semiconductor business, and for good reason.
The company has two primary AI semiconductor products: custom AI chips and connectivity switches. While connectivity switches are critical for data center operation, the big winner investors are focusing on is the chip business. This segment is going head-to-head with Nvidia, which is no easy task. But it's winning.
Instead of offering a GPU that excels in many computing applications, Broadcom is designing application-specific integrated circuits (ASICs). These chips are specifically designed to handle one workload. ASICs are nothing new, but their usage in AI is. Broadcom has partnered directly with AI hyperscalers to design a chip that fits their needs, which cuts down on costs for the end user because it isn't paying for capabilities that it won't use with a GPU.
GPUs aren't going away forever because their flexibility is necessary in many applications. Still, Broadcom's custom AI chips could start to take market share from Nvidia as they prove their value. During theearnings callfor the first quarter of Broadcom's 2026 fiscal year (ended Feb. 1), CEO Hock Tan stated: "Today, in fact, we have line of sight to achieve AI revenue from chips, just chips, in excess of $100 billion in 2027. We have also secured the supply chain required to achieve this."
That's huge, because it excludes the connectivity switch business and all other business units. Furthermore, during the past 12 months, Broadcom as a whole generated $68 billion. So, by the end of next year, Broadcom's AI chip business will be far larger than the entire company is now.
As an investor, I could hardly believe that projection. But with the way AI spending is trending, this projection is reasonable. I think this makes Broadcom's stock a screaming buy right now as the market has not priced in this massive rise into Broadcom's stock price yet.
Should you buy stock in Broadcom right now?
Before you buy stock in Broadcom, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Broadcom wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $514,000!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,105,029!*
Now, it’s worth noting Stock Advisor’s total average return is 930% — a market-crushing outperformance compared to 187% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
Keithen Drury has positions in Broadcom and Nvidia. The Motley Fool has positions in and recommends Nvidia. The Motley Fool recommends Broadcom. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

You'll Never Believe What Broadcom's CEO Just Said About AI Demand

Key Points
Broadcom is expecting to generate a whopping $100 billion in AI chip sales in fiscal 2027.
Meanwhile, it is expected to maintain its current semiconductor business's gross margins.
While Broadcom (NASDAQ: AVGO) reported strong fiscal Q1 results this week, there were two things that really stuck out from the company's earnings conference transcript that should get investors excited. Both are huge positives and why the stock should be considered a top buy today. Let's take a closer look at these two revelations.
The custom AI chip opportunity
It's no secret that Broadcom has a big artificial intelligence (AI) infrastructure opportunity in front of it, but the company helped crystallize that potential on itsearnings callwhen it said it expected to generate over $100 billion in custom AI chip revenue by 2027. Notably, this was just for AI ASIC (application-specific integrated circuit) revenue and does not include AI data center networking revenue. The company said it has a clear line of sight with AI chip volumes expected to ramp from customers Alphabet, Anthropic, Meta Platforms, and OpenAI.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
That $100 billion is just a massive number. Broadcom reported total revenue of just under $64 billion in fiscal 2025, with about $20 billion coming from AI revenue. Citigroup, meanwhile, has estimated that about $14 billion of Broadcom's AI revenue comes from ASICs. That means its AI chip revenue is set to explode by around sevenfold over the next two years.
Its AI networking revenue, meanwhile, is also growing quickly, climbing 60% last quarter, with projections that it will grow more quickly in fiscal Q2. It expects AI networking revenue to be between one-third to 40% of its AI revenue in any given quarter, so that would see the company generate an additional $30 billion to $40 billion in AI revenue from networking in fiscal 2027. That's just massive growth all around from Broadcom.
Strong gross margin outlook
The biggest knock on Broadcom's outlook has been that its ASIC business comes at lower gross margins. Meanwhile, rack sales of Alphabet tensor processing units (TPUs) were expected to be at even lower margins. However, on its call, Broadcom management came out and said that was not the case.
The company was asked specifically on the call by an analyst if rack sales would reduce its gross margin by 500 basis points since they should be in the 45% to 50% range, to which CEO Hock Tan asked if the analyst was having an AI hallucination. Tan said that Broadcom's semiconductor gross margins will not be impacted by increased sales and that sales will be consistent with the rest of its semiconductor business. That's huge news, as sell-side analysts have largely been looking for Broadcom's gross margins to come under increasing pressure, which doesn't appear to be the case.
Time to buy Broadcom
Broadcom is one of the most explosive AI stories out there right now. With its growth outlook clarified and the biggest knock on the company rebuffed with regard to its gross margins, the stock is a strong buy.
Should you buy stock in Broadcom right now?
Before you buy stock in Broadcom, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Broadcom wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $508,607!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,122,746!*
Now, it’s worth noting Stock Advisor’s total average return is 933% — a market-crushing outperformance compared to 188% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of March 13, 2026.
Citigroup is an advertising partner of Motley Fool Money. Geoffrey Seiler has positions in Alphabet, Broadcom, and Meta Platforms. The Motley Fool has positions in and recommends Alphabet and Meta Platforms. The Motley Fool recommends Broadcom. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

The 2 Most Important Revelations to Come From Broadcom's Earnings Call and Why the Stock Is a Strong Buy

Key Points
Nvidia remains the king of AI infrastructure and is the cheaper stock.
Broadcom has a big opportunity with AI ASICs and networking.
Stocks tied to artificial intelligence (AI) infrastructure remain one of the hottest areas of the market, even after three years of outsized gains. With the five largest hyperscalers alone set to spend a combined $700 billion-plus this year on AI data centers, this already huge (yet still growing) market shows little sign of slowing.
Two of the companies best positioned to benefit from this surge are Nvidia (NASDAQ: NVDA) and Broadcom (NASDAQ: AVGO). However, the question is which stock looks like the better buy.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Nvidia
When it comes to AI infrastructure, Nvidia is the company to beat. Its graphics processing units (GPUs) remain the muscle behind the AI build-out. The company has taken a dominant lead in the space in large part thanks to the ecosystem it has built around its chips. This starts with its CUDA software platform.
Nvidia created CUDA nearly two decades ago as a way for developers to program its GPUs for uses outside their original purpose, which was to speed up graphics rendering in video games. While other markets took time to develop, the company smartly gave away the free platform to universities and research labs that were doing early work on AI. This led to developers being trained on its software platform and most foundational code being written on CUDA and optimized for Nvidia's GPUs. That's a major reason why the company has such a wide moat, especially when it comes to AI model training.
On top of that, Nvidia has also crafted an edge with its networking portfolio. The most important component of this is its proprietary NVLink interconnect system, which essentially helps Nvidia's chip clusters act as one big unit. Nvidia's networking portfolio also now allows the company to deliver end-to-end AI server solutions.
From a valuation standpoint, the stock trades at a forward price-to-earnings (P/E) ratio of below 22 times based on current-year analyst estimates. That's cheap for a stock that just reported 73% revenue growth and continues to have strong prospects ahead.
Broadcom
Broadcom is benefiting from the AI build-out in two main ways. First, it is one of the world's leading data center networking companies, where its components -- such as Ethernet switches, digital signal processors (DSPs), and network interface cards (NICs) -- all help data center operators manage data flow and distribute AI workloads across servers. Its Tomahawk solution is considered the gold standard for Ethernet solutions and is a leading competitor of Nvidia's proprietary InfiniBand solution. As AI chip clusters keep increasing in size and complexity, networking becomes even more important and is set to grow at a faster pace than compute.
At the same time, Broadcom is also a leader in ASIC (application-specific integrated circuit) technology. ASICs are hardwired custom chips that are designed for specific purposes. As such, they tend to perform these tasks very well, while also being more energy efficient. As the market starts to shift toward inference, this becomes even more important, as it helps save costs. Meanwhile, Nvidia's moat in inference isn't nearly as wide as the one it has in training.
With its ASIC business, Broadcom gives customers the building blocks to help them create their own custom AI chips and turn their designs into physical chips that can be manufactured at scale. It helped Alphabet create its highly regarded Tensor Processing Units (TPUs), which Alphabet uses for all its internal workloads, and is now just branching out to sell them outside its cloud computing offering. Broadcom has already taken a large TPU order from Anthropic.
Meanwhile, other customers, including OpenAI, are working on developing their own custom AI ASICs with Broadcom. It recently projected that it would generate $100 billion in AI ASIC revenue alone in fiscal 2027. That's a huge prediction, as it just generated a little less than $64 billion in total revenue this past fiscal year, with about $20 billion in AI revenue (including networking).
The verdict
Nvidia is currently the cheaper stock, as Broadcom trades at about 30.5 times this year's analyst earnings-per-share (EPS) estimates. However, I think right now Broadcom has the bigger growth opportunity. With tech investors loving growth above all else, I think Broadcom is poised to outperform Nvidia over the next few years. However, both are great stocks to own.
Should you buy stock in Nvidia right now?
Before you buy stock in Nvidia, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Nvidia wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $508,607!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,122,746!*
Now, it’s worth noting Stock Advisor’s total average return is 933% — a market-crushing outperformance compared to 188% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of March 13, 2026.
Geoffrey Seiler has positions in Alphabet and Broadcom. The Motley Fool has positions in and recommends Alphabet and Nvidia. The Motley Fool recommends Broadcom. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Indicator	TTM Median
P/E	65.79 32.97
Price/Sales	24.09 2.74
P/B	18.52 2.91
P/FCF	57.26 25.15

Indicator	TTM Median
ROE	31.47 15.26
ROA	13.87 6.61
ROI	17.08 10.28
Net Worth	1.54K 1.11
Quick Ratio	1.58 1.59
Current Ratio	1.71 1.88

Indicator	TTM Median
Net Profit Margin	36.20 9.90
Operating Margin	39.89 11.51
Gross Margin	67.77 49.81
Return on tangible equity	0.00 28.81

Indicator	TTM Median
EPS	1.76 0.26
EPS Forecast	1.67 0.23
Revenue	18.02B 74.00M
Gross Profit	12.25B —
EBITDA	9.74B —

Broadcom Inc.

TTM metrics for the latest quarter under IFRS and their historical dynamics

Valuation

Debts

Efficiency

Other ratios

Revenue