Broadcom Sinks 15% After Holding 2027 AI Revenue Outlook Above $100 Billion
Updated
Updated · Sherwood News · Jun 4
Broadcom Sinks 15% After Holding 2027 AI Revenue Outlook Above $100 Billion
3 articles · Updated · Sherwood News · Jun 4
Summary
Broadcom fell more than 15% in early trading after management kept fiscal 2027 AI semiconductor revenue guidance at “in excess of $100 billion,” disappointing investors looking for a higher target.
That muted outlook overshadowed earnings and full-year guidance that came in only slightly above Wall Street expectations, even after Alphabet—one of Broadcom’s biggest customers— announced an equity raise of more than $80 billion.
AI names sold off with it: AMD, Arm, Qualcomm, Micron, Sandisk and Marvell all dropped, while CrowdStrike also came under pressure despite beating estimates and lifting guidance.
By 10 a.m. ET, Nasdaq futures were down 1.18% and S&P 500 futures slipped 0.05%, showing how a pullback in AI leaders can quickly weigh on the broader market after six straight record closes.