Broadcom(US:AVGO) 美股研究社·2025-05-21 11:59Core Viewpoint - The company is expected to benefit from the robust capital expenditures of hyperscale data center operators, leading to a reaffirmation of a "Strong Buy" rating with a fair value of $247 per share [1][8]. Group 1: Company Performance and Projections - Analysts express confidence in the short-term growth of Broadcom's semiconductor solutions, driven by custom silicon technology that supports GPU products for hyperscale data centers [2]. - Broadcom's revenue is projected to grow approximately 19% year-over-year for Q2 2025, with adjusted EBITDA margins expected to be around 66% [2]. - AI revenue is anticipated to reach $4.4 billion, constituting about 30% of total revenue for the upcoming quarter [2]. - Revenue growth is forecasted at 25% from FY2025 to FY2027, primarily due to AI business growth exceeding 40% [3]. Group 2: Market Trends and Competitor Insights - Google, Microsoft, Amazon, and Meta have all reaffirmed their capital expenditure plans, indicating a healthy data center market and the ongoing expansion driven by AI and cloud computing [4]. - Meta unexpectedly raised its full-year capital expenditure forecast to between $64 billion and $72 billion, reflecting strong market conditions [4]. Group 3: Financial Metrics and Valuation - The company is expected to see a 20 basis point increase in annual profit margins, supported by cost synergies and effective integration of software acquisitions [5]. - Forecasts indicate significant growth in operating profits and net profits over the next several years, with net profits projected to reach $12.9 billion in 2025 and $112.4 billion by 2032 [6]. - The weighted average cost of capital (WACC) is calculated at 9.81%, with a terminal growth rate set at 5%, leading to a fair value estimate of $247 per share after adjusting for free cash flow [7].