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Broadcom Jumps on Multi-Year AI Chip Deals With Google and Anthropic

New long-term orders from Google, Anthropic signal stronger demand visibility.

Overview

  • Broadcom shares rose 4.69% to close at $371.46 on heavy trading after it announced multi-year AI chip supply agreements with Google and Anthropic.
  • The contracts position Broadcom as a key supplier of custom AI accelerators and networking silicon for two major cloud platforms.
  • During the rally, three insiders sold about $14.8 million in stock, including S. Ram Velaga at $10.64 million, Charlie Kawwas at $3.45 million, and director Justine Lien at $712,354.
  • Wall Street is broadly positive, with a consensus Moderate Buy, an average 12‑month price target near $435, and several firms guiding toward $485 to $500.
  • Some research shops urged caution with downgrades or neutral calls that flagged a rich valuation and uncertain margins, despite a recent Q1 beat and rising institutional ownership.