Should You Forget Intel and Buy This Millionaire-Maker Stock Instead?

Core Viewpoint - Broadcom is positioned as a more promising investment compared to Intel, which has struggled in recent years due to market share losses and operational challenges [6][14]. Group 1: Intel's Challenges - Intel has faced significant market share losses to AMD in the x86 CPU market and has struggled with persistent shortages and strategic shifts under multiple CEOs [2]. - Analysts project Intel's revenue will have a compound annual growth rate (CAGR) of only 2% from 2024 to 2027, with expectations of unprofitability in 2025 but a return to profitability in 2026 [4]. - The company is attempting to balance the rollout of new 18A chips with cost-cutting measures, including layoffs and divestments [5]. Group 2: Broadcom's Growth - Broadcom has shown substantial growth, with a $10,000 investment in its IPO now worth approximately $1.63 million [7]. - The company has diversified its operations through acquisitions, generating 42% of its revenue from infrastructure software and 58% from semiconductor solutions in fiscal 2024 [11]. - Broadcom's sales of AI-focused chips surged 220% to $12.2 billion in fiscal 2024, accounting for 24% of its total revenue [12]. Group 3: Financial Projections - Analysts expect Broadcom's revenue and earnings per share to have a CAGR of 18% and 80%, respectively, from fiscal 2024 to fiscal 2027, driven by AI chip sales and the integration of VMware's cloud ecosystem [13]. - Broadcom's stock trades at 38 times its forward adjusted earnings and offers a forward yield of 1%, contrasting with Intel, which suspended its dividend [13].