Nvidia Soars on AI Boom, But Broadcom Offers More Room to Run with Explosive Growth at Lower Valuation
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Nvidia stock has surged 70% in 2024 due to explosive AI-driven growth, but its valuation looks expensive at 74X earnings
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Broadcom is growing AI revenue rapidly, with $2.3B last quarter (4X year-ago) and a forecast of $10B+ for fiscal 2024
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Broadcom is benefiting as cloud companies buy its custom AI chips; it has 35% share of high-end ASIC market
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Broadcom stock trades at just 29X forward earnings despite explosive AI growth
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If Broadcom hits $65/share in 3 years and goes to 30X P/E, stock could jump 48% from current levels