Broadcom Builds Custom Chips for Google, Meta, Anthropic, and OpenAI. At 25 Times Forward Earnings, It's the Cheapest Mega-Cap AI Stock Nobody Talks About.
The tech giant is one of the best long-term plays on the booming AI market.
Overview
Broadcom (NASDAQ: AVGO) is often overlooked in discussions about the AI market, which tend to focus on Nvidia's (NASDAQ: NVDA) data center GPUs. However, Broadcom is also one of the fastest-growing chipmakers in the AI market.
Unlike Nvidia, which produces general-purpose GPUs for training AI algorithms, Broadcom builds custom application-specific integrated circuits (ASICs) for accelerating AI tasks. At scale, these custom AI accelerators can be more cost-effective than Nvidia's data center GPUs.
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Originally published at www.fool.com.
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