Broadcom shares have fallen about 30% from their all-time high set in early June and are roughly flat year to date. The author argues that more companies are choosing Broadcom's custom AI chips over general-purpose GPUs, which could drive strong growth. Management expects AI semiconductor revenue of $115 billion in 2027 and $230 billion in 2028, versus over $16 billion in the latest quarter, and says its supply chain is secured for this expansion. The stock trades at 28 times this year's earnings estimates and 17 times next year's, which the author says means little of the expected growth is priced in. The author expects the stock could double or triple over the next few years if current plans hold.
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