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News in English (USA) / 07.06.2025 / 08:00

Broadcom Reports Strong Earnings Driven by AI Demand, But Stock Faces Selling Pressure

Broadcom Inc. recently announced its second-quarter financial results, showcasing impressive earnings and revenue growth fueled by booming demand for AI chips. Despite beating Wall Street estimates and achieving significant year-over-year increases in both semiconductor solutions and infrastructure software, the company’s stock experienced a decline, with shares dropping as revenue forecasts fell short of expectations. Analysts are mixed on the results, with some urging investors to consider the stock after the post-earnings dip, while others remain cautious. CEO discussions highlighted strong VMware renewals and customer interest in private cloud solutions, but the overall market reaction indicated that investors are demanding more clarity on future growth beyond current AI trends.
CNBC, CRN Magazine, MarketWatch, Broadcom, Bloomberg, "Barrons", WSJ, "Investors Business Daily", theregister.com, Reuters