---
title: "Broadcom (AVGO) Q2 earnings exceeded expectations, strategic layout in the AI wave"
type: "Topics"
locale: "en"
url: "https://longbridge.com/en/topics/21799403.md"
description: "1. Latest Quarterly Earnings Report On June 13 (Beijing Time), Broadcom (AVGO) released its Q2 earnings report. $Broadcom(AVGO.US) Broadcom's results showed that in Q2 2024, profits, revenue, and earnings per share all exceeded expectations, with revenue increasing by over 37% year-over-year. Full-year sales are projected to reach $51 billion. Additionally, the company announced a 10:1 stock split plan, set to take effect on July 15, further boosting market confidence. Broadcom's stock surged over 14% in after-hours trading..."
datetime: "2024-06-13T03:52:32.000Z"
locales:
  - [en](https://longbridge.com/en/topics/21799403.md)
  - [zh-CN](https://longbridge.com/zh-CN/topics/21799403.md)
  - [zh-HK](https://longbridge.com/zh-HK/topics/21799403.md)
author: "[土鸡瓦狗的ETF🐒](https://longbridge.com/en/profiles/11794570.md)"
---

# Broadcom (AVGO) Q2 earnings exceeded expectations, strategic layout in the AI wave

![image](https://pub.pbkrs.com/uploads/2024/544f637cad058c465e246490abfdafd9?x-oss-process=style/lg)

#### **1\. Latest Quarterly Earnings Report**

#### On June 13 (Beijing Time), Broadcom (AVGO) released its Q2 earnings report. $Broadcom(AVGO.US)

![image](https://pub.pbkrs.com/uploads/2024/d192824b21d2213fe1b2636a448302e2?x-oss-process=style/lg)

Broadcom's performance showed that in Q2 2024, **profits, revenue, and EPS all exceeded expectations****, with revenue up 37% YoY. Full-year sales are projected to reach $51 billion**. Additionally, the company **announced a 10:1 stock split**, effective July 15, further boosting market confidence. AVGO's stock surged over 14% in after-hours trading, reflecting investor approval of its performance and future growth.

Broadcom's **four key AI segments**—**data centers, AI accelerators & ASICs, networking components, and AI Ethernet—all saw significant growth**. AI Ethernet alone is expected to account for 35% of semiconductor revenue in 2024.

#### **2\. Broadcom's Long-Term Strategy & Goals**

**1\. AI-Driven Growth**

With advancing AI technology, demand for Broadcom's AI products has skyrocketed. Partnerships with hyperscalers like **Google** to develop custom **AI accelerators** and chips have fueled **data center** solutions. In 2023, **AI ASICs** and networking solutions contributed 15% of semiconductor revenue, projected to exceed 35% in 2024.

**2\. 5G Market Potential**

5G adoption presents new opportunities. By 2028, 5G smartphones will dominate 97% of the market, benefiting Broadcom as a **key 5G chip supplier**. The $200B 5G market in 2023 is expected to grow to $600B by 2028.

**3\. Strategic Acquisitions**

Acquisitions like CA Technologies, Symantec's enterprise security, and **VMware** have expanded Broadcom's tech portfolio and market leadership in AI/data centers.

**4\. 2024 Outlook**

Broadcom raised its AI chip **revenue forecast by 10%****, projecting $11B+ in AI product revenue for FY2024**, exceeding analyst expectations. As AI and 5G converge, Broadcom aims to maintain its tech leadership and shareholder value.

**3\. Stock Buybacks & Analyst Ratings**

## **1\. AVGO Returns $2.4B to Shareholders**

## In Q2, AVGO returned $2.443B to shareholders. **Dividends totaled $5.25 per share, with no buybacks—a surprise given its recent buyback history.**

![image](https://pub.pbkrs.com/uploads/2024/8ad1a794eaf13847fdf9b4037524defa?x-oss-process=style/lg)

## **2\. Is AVGO a Buy?**

Wall Street consensus rates AVGO a **Strong Buy** (18 Buy, 2 Hold, 0 Sell ratings). After a 78% annual gain, **the average price target is $1,590.42 (6.97% upside)**.

### Related Stocks

- [AVGO.US](https://longbridge.com/en/quote/AVGO.US.md)

## Comments (3)

- **天天进米 · 2024-06-16T02:40:23.000Z**: Soaked for a long time
- **kangning · 2024-06-14T00:34:11.000Z**: Don't get trapped
- **kangning · 2024-06-13T18:04:18.000Z**: Run for your life