Broadcom(US:AVGO) 智通财经网·2026-02-11 08:39Core Viewpoint - UBS maintains a "Buy" rating and a target price of $475 for Broadcom (AVGO.US), highlighting a significant increase in demand for Tensor Processing Units (TPUs) as developers accelerate the shift towards custom ASICs, positioning TPUs as a transitional alternative to GPUs, which is a key driver of Broadcom's growth [1] Group 1: Market Demand and Product Development - The demand for TPUs is experiencing significant growth as large language model developers push for customized ASICs, with Broadcom expected to ship over 5 million TPUs by 2027, up from approximately 3.7 million in 2026 [2] - The v8ax (Sunfish) model is anticipated to become the main product by 2028, with over half of the TPUs shipped in 2027 being the v7 (Ironwood) model, both based on TSMC's 3nm process [2] - Broadcom's AI business revenue is projected to reach approximately $60 billion in fiscal year 2026, a year-on-year increase of about 200%, and further grow to around $106 billion in fiscal year 2027 [2][6] Group 2: Technical Advantages of TPUs - TPUs have significant technical advantages over GPUs, particularly due to the integration of hardware matrix multipliers (MXUs) and hardware-defined sparse computing engines, which reduce data read/write interactions in memory [3] - The cost efficiency of TPUs makes them attractive for both dense large language models and sparse mixture of experts models, as confirmed by industry experts [3] Group 3: Competitive Landscape and Financial Projections - The collaboration between Google and MediaTek on customer-owned tools (COT) is expected to have a limited negative impact on Broadcom, as the company will still supply critical IO chips with high margins [4] - Broadcom's financial forecasts have been revised upwards, with expected revenues for fiscal years 2026, 2027, and 2028 reaching $105.8 billion, $155.5 billion, and $200.2 billion, respectively, with year-on-year growth rates of 65.6%, 47.0%, and 28.7% [5] - The diluted EPS for the same periods is projected to be $11.05, $16.68, and $21.53, reflecting increases of 1.3%, 17.9%, and 12.6% from previous estimates [5][6]