Custom Application-Specific Integrated Circuits (ASICs) provider Broadcom (NASDAQ:AVGO) trended on Tuesday as the Big Tech giants (including Microsoft Corp (NASDAQ: MSFT), Alphabet Inc. (NASDAQ:GOOG) (NASDAQ:GOOGL), Meta Platforms inc (NASDAQ:META) continue to invest in their artificial intelligence ambitions.
Macquarie analyst Arthur Lai initiated coverage on Broadcom with an Outperform rating and a price forecast of $420. The analyst cited its custom-designed microchips or ASIC market, which is surpassing the Graphics Processing Unit (GPU) market, helmed by Nvidia Corp (NASDAQ:NVDA), as it gains traction amongst hyperscalers and vertical AI markets.
