Changes in US stocks | $73 billion AI order disappoints investors Broadcom (AVGO.US) fell more than 5% before the market

The Zhitong Finance App learned that on Friday, Broadcom (AVGO.US) fell more than 5% in the premarket to $383.70. According to the news, the chip maker previously announced a slightly worse backlog of artificial intelligence orders. For the fourth fiscal quarter ending November 2, Broadcom reported sales of $18 billion, up 28% year over year, and analysts expected $17.5 billion. Excluding some projects, earnings per share increased to $1.95, and analysts expected $1.87. Among them, semiconductor business revenue was US$11.07 billion, up 34.5% year on year; infrastructure business revenue increased 19% to US$6.94 billion.

CEO Hock Tan said the company currently has a backlog of orders for artificial intelligence products worth $73 billion, which will be delivered over the next six quarters—a figure that has disappointed some investors. But Tan later clarified that this was just a “minimum value.” He said, “We expect delivery volumes to increase significantly over the next six quarters as more orders arrive. Therefore, depending on the specific product, our delivery cycle can range from six months to one year.”

Looking ahead, the company said sales for the first fiscal quarter ending February 1 were approximately $19.1 billion, with analysts expecting an average of $18.5 billion. Artificial intelligence semiconductor revenue for the first fiscal quarter is expected to double year-on-year to reach US$8.2 billion. The company also raised its quarterly dividend by 10% to 65 cents per share.