Broadcom’s AI Revenue Skyrockets: JPMorgan Says Buy Now Even at 68x Earnings (Twice Nvidia’s)

(SeaPRwire) –   By: Oliver Hawthorne

The core contradiction in Broadcom’s story right now is impossible to ignore. Its stock trades at 68 times earnings—twice Nvidia’s 32x multiple. Yet JPMorgan is urging investors to be aggressive buyers. Last month, the stock dipped 2% because Q3 guidance fell just short of some Wall Street’s sky-high expectations. But that dip might be a window to get in, according to top analysts.

Let’s break down the numbers that matter. Q2 fiscal 2026 AI semiconductor revenue hit $10.8 billion, up 143% year over year. Management’s Q3 guidance calls for $16 billion in AI revenue—more than 200% YoY growth. Consolidated Q2 revenue rose 48% to $22.2 billion, with free cash flow up 60% to $10.3 billion. Broadcom works with Google, Anthropic, and OpenAI on custom chips. Dutch Asset Corp recently took a new position worth $1.65 million, while insiders sold $21.3 million in shares over 90 days.

The commercial loop here is straightforward. Hyperscalers are desperate for alternatives to Nvidia’s GPUs. They want custom silicon that fits their specific AI workloads. Broadcom’s outsourced manufacturing model keeps capital costs low, so it can deliver these chips with high margins. The premium valuation isn’t just hype—it’s because Broadcom’s AI growth is still in its early stages, unlike Nvidia’s more mature trajectory. The end-game? Broadcom will carve out a permanent, profitable niche in the AI hardware stack, challenging Nvidia’s dominance in custom silicon.

Author bio: Oliver Hawthorne, Principal Correspondent at an international tech review, specializing in semiconductor market trends and enterprise hardware strategies.