"Cathie Wood's ARK Investment Management acquired 87,148 shares of Broadcom totaling $27 million this week, according to Finviz. The timing matters. ARK doesn't chase momentum in established semiconductor names without a specific thesis, and the thesis here is custom AI accelerators. Jefferies reiterated its Buy rating with a $500 price target, pointing to Broadcom's competitive advantage in custom on-package business for AI chips. The kicker: Jefferies expects Broadcom to continue capturing a large share of Google's unit volume in calendar year 2027."
"Google just committed $185 billion in AI infrastructure spending in 2026, and Broadcom supplies the custom TPU chips powering that buildout. There has been some speculatino across the semiconductor chain that MediaTek would continue gaining significant amounts of TPUs. MediaTek's stock is up 26% this year while Broadcom's is down 6%. However, most recent Wall Street checks indicate volumes for MediaTek will be light in 2026 with Broadcom producing up to 4 million TPU units."
Broadcom closed Friday at $325.17, down 2.3% for the week and down 6.1% year-to-date while the SOXX ETF rose 1.8% for the week. ARK Invest purchased 87,148 Broadcom shares worth $27 million, reflecting a thesis on custom AI accelerators. Jefferies reiterated a Buy rating with a $500 price target, citing Broadcom's edge in custom on-package AI chips and expected share of Google's 2027 TPU unit volume. Google committed $185 billion to AI infrastructure in 2026, with Broadcom supplying custom TPU chips. Recent checks indicate Broadcom may produce up to 4 million TPU units in 2026.
Read at 24/7 Wall St.
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