If You'd Invested $1,000 in Broadcom Stock 5 Years Ago, Here's How Much You Would Have Today

The artificial intelligence (AI) arms race is in full swing. Big tech players like Meta Platforms and Alphabet are spending massive amounts of capital to outpace the competition. As Alphabet CEO Sundar Pichai said, "The risk of underinvesting is dramatically greater than the risk of overinvesting."Pichai must believe it to be a mighty big risk considering his company is on track for $50 billion in capital expenditures this year, the lion's share of which is earmarked for AI. This is great news for the companies which make that hardware. While much of the attention has been focused on Nvidia, other players are also reaping the benefits.Broadcom (NASDAQ: AVGO) certainly is. The company's revenue is up more than 40% year over year for the last two quarters. CEO Hock Tan said the company expects $12 billion in AI-related hardware sales for the full year, up significantly from past projections. Beyond hardware, the company's recent software acquisition has been a boon to its bottom line.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool