Broadcom Forecasts $21.7 Billion in AI Revenue for Fourth Quarter
Key Facts
Broadcom shares closed at $320.21 in the November 9, 2026 session, according to EL7 data, while the company had forecast on September 2 AI semiconductor revenue of $21.7 billion in the fourth quarter of its fiscal 2026. Broadcom expected that revenue to represent year-over-year growth of 236% and total revenue for the same quarter to rise to about $34.8 billion, an annual increase of 93%. The guidance came as part of its third-quarter results announcement, and available data do not establish that it caused the stock's movement in the November session. The stock's daily percentage change in that session could not be verified from a reliable public source. The company is scheduled to report fourth-quarter and fiscal 2026 results on December 9.
The company's third-quarter results, announced in September, provide context for its outlook for the following period. AI semiconductor revenue was $16.7 billion, up 221% year over year and 54% from the previous quarter. Chief Executive Hock Tan said, "Demand for custom AI accelerators and networking remains strong." That demand is central to the fourth-quarter guidance, with the company expecting AI-related revenue to accelerate to $21.7 billion. That remains the company's forecast until it reports actual results on the scheduled date.
Broadcom's total revenue was $29.591 billion in the third quarter of fiscal 2026, up 86% year over year. Revenue comprised $20.839 billion from semiconductor solutions, up 127% year over year, and $8.752 billion from infrastructure software, an increase of 29%. The figures show different growth rates across the two businesses during the quarter, with semiconductor solutions growing faster. In the second quarter, AI semiconductor revenue was $10.8 billion, up 143% year over year. Tan had then forecast revenue of $16.0 billion for the business in the third quarter, with annual growth exceeding 200%, before the company reported $16.7 billion.
The company's market outlook also includes longer-term estimates issued in September 2026. Broadcom said it expects AI chip revenue of about $115 billion in the fiscal year ending in October 2027, compared with a previous forecast of more than $100 billion. It also expects that revenue to double to about $230 billion in fiscal 2028. These estimates are separate from its quarterly forecast for the fourth quarter of fiscal 2026 and from the revenue that will appear in actual results. The company is scheduled to report fourth-quarter and fiscal 2026 results on December 9, when it will present the new figures.