Broadcom earnings need to answer these questions for the stock to rally again

Investors are wondering if Broadcom will update its AI revenue guidance, and how durable growth in its AI business will be going forward, J.P. Morgan says.

The top 3

  1. AI Custom Accelerators Lead Semiconductor Growth: Broadcom's AI semiconductor revenue reached a record $10.8 billion in Q2 2026, marking a 143% year-over-year increase, driven by strong demand for custom AI accelerators (XPUs) from hyperscalers and frontier AI companies.
  2. Networking Products Crucial for AI Infrastructure: Networking products, including Ethernet switches and PCIe switches, accounted for almost 40% of Broadcom's AI semiconductor revenues in Q2 fiscal 2026, as high-bandwidth connectivity is essential for large AI clusters.
  3. Infrastructure Software Bolstered by VMware Acquisition: Broadcom's infrastructure software segment, significantly expanded by the acquisition of VMware, contributed 32% of total revenue in Q2 2026, and is expected to account for 42.31% of total revenue in fiscal year 2025.

Sources

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