Sunday, January 12, 2025

Broadcom Surges 21%, Reaches $1 Trillion Market Cap!

Share

A sign is in front of a Broadcom office in San Jose, California, on December 12, 2024.

Justin Sullivan | Getty Images

Broadcom’s shares went up more than 21% on Friday morning. This helped the company’s value reach more than $1 trillion for the first time. If this change stays, Friday will be the best trading day ever for Broadcom.

This happened after Broadcom shared its fourth-quarter results. The company earned more money than Wall Street expected, and it showed strong growth in artificial intelligence (AI) revenue.

Broadcom made $14.05 billion in revenue for the fourth quarter. This is a 51% increase from last year, but it was a little less than analysts expected. The revenue from AI chips grew 220% to $12.2 billion.

Broadcom’s net income was $4.32 billion, or 90 cents per share, up from $3.52 billion, or 83 cents per share, last year.

Analysts are excited about Broadcom’s future in AI and have raised their stock price targets.

— CNBC’s Michael Bloom and Kif Leswing contributed to this report.

Don’t miss these insights from CNBC PRO


Vocabulary List:

  1. Shares /ʃɛrz/ (noun): Units of ownership interest in a corporation or financial asset.
  2. Revenue /ˈrɛvənu/ (noun): The income generated from normal business operations.
  3. Growth /ɡroʊθ/ (noun): The process of increasing in physical size value or importance.
  4. Income /ˈɪnkʌm/ (noun): Money received especially on a regular basis for work or through investments.
  5. Analysts /ˈænəˌlɪsts/ (noun): Individuals who examine and interpret data to make informed conclusions or predictions.
  6. Targets /ˈtɑːrɡɪts/ (noun): Goals or objectives that an organization aims to achieve.

Read more

Local News