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Broadcom in Numbers: Strong Q4 Results and an Even Stronger Outlook

December 15, 2025

With its latest quarterly results for fiscal year 2025, Broadcom once again demonstrated why it rightfully ranks among the most important technology companies today. All key metrics closely watched by investors recorded growth, and more importantly, the company’s management set an equally strong outlook for the beginning of the new year. How did the stock price react to this combination of fundamental factors? Broadcom in Numbers: Strong Q4 Results and an Even Stronger Outlook

Outperformance Across Key Metrics

In the fourth quarter, Broadcom achieved adjusted earnings per share of USD 1.95, comfortably surpassing analysts’ expectations surveyed by the London Stock Exchange Group. This figure was calculated on revenues that increased by 28% year over year to USD 18.02 billion, once again well above the analyst consensus. As a result, the company confirmed that its growth is not merely a reflection of the success of a single product line, but rather of a broader portfolio expansion toward data centers and artificial intelligence. An integral part of the quarterly figures is, of course, net income, which in this case increased year over year by 97% to USD 8.51 billion, highlighting a significant improvement in operating efficiency and a strong ability to monetize the growing demand for AI solutions.

Business Segmentation

During the earnings release, investors were naturally interested in which business segment contributed the most to the final profit. In Broadcom’s case, it was clearly the Semiconductor Solutions segment, which generated revenues of USD 11.07 billion, representing a 22% increase compared to the previous year. AI-related revenues within this segment alone rose by 74%, confirming that Broadcom’s semiconductor business is successfully shifting from traditional applications toward AI infrastructure.

AVGO

Broadcom share price performance over the last five years*

Notable results were also delivered by the Infrastructure Software segment, including VMware, which reported revenues of USD 6.94 billion and year-over-year growth of 26%. This segment is exceptionally important for the company, as it provides stable, high-margin income that effectively complements the more cyclical semiconductor business.

Outlook for Q1

The outlook for the first quarter of fiscal year 2026 is equally positive. During this period, the company expects to generate revenues of USD 19.1 billion, representing a 28% increase compared to the same period last year. [1] Management also confirmed that the primary driver of this growth will be AI solutions, with AI revenues alone expected to reach USD 8.2 billion in the first quarter.

Long-Term Visibility

Continuing with the company’s fundamental parameters, one of the most important signals for investors is the 18-month order backlog totaling USD 73 billion. This volume includes custom AI chips, network switches, and other key components for data centers. Such a high backlog provides Broadcom with exceptional visibility into future revenues and simultaneously reduces the risk of a sudden slowdown in demand, representing a significant competitive advantage.

Shares and Investor Returns

Market reaction to the results was mixed. Broadcom shares initially rose following the earnings release, but later declined by more than 4%.* This movement should be viewed in a broader context – the company’s value is still approximately 50% higher in 2025, which suggests that this short-term decline may be seen as an opportunity to purchase a fundamentally attractive company at a discounted price. In addition, the company continues to return capital to shareholders – management increased the dividend to USD 0.65 per share, confirming confidence in long-term cash flow as well as the ability to combine growth with regular income.

* Data relating to the past are not a guarantee of future returns.

[1] Forward-looking statements represent assumptions and current expectations that may not be accurate or may be based on the current economic environment, which may change. These statements do not guarantee future performance. Forward-looking statements inherently involve risks and uncertainties, as they relate to future events and circumstances that cannot be predicted, and actual developments and results may differ materially from those expressed or implied in any forward-looking statements.

Disclaimer! This marketing material is not and must not be understood as investment advice. Data relating to the past do not guarantee future returns. Investing in foreign currencies may affect returns due to fluctuations. All securities transactions may lead to both profits and losses. Forward-looking statements represent assumptions and current expectations that may not be accurate or may be based on the current economic environment, which may change. These statements do not guarantee future performance. InvestingFox is a trading brand of CAPITAL MARKETS, o.c.p., a.s., regulated by the National Bank of Slovakia.

Sources:

https://www.cnbc.com/2025/12/11/broadcom-avgo-q4-earnings-2025.html
https://investors.broadcom.com/news-releases/news-release-details/broadcom-inc-announces-fourth-quarter-and-fiscal-year-2025

Palo Alto Networks under pressure: AI acquisitions raise costs and squeeze profitability

February 23, 2026

Palo Alto Networks is among the biggest players in cybersecurity and, in recent years, has been built around a simple goal: to be a platform that covers as many security needs at once as possible. In practice, this means rapid expansion of the portfolio, a strong emphasis on automation, and increasingly also security for AI applications and AI agents. However, this strategy comes at a clear cost. Acquisitions accelerate growth and expand the addressable market, but they also bring integration costs, higher spending on development and sales, and short-term pressure on margins. That is exactly what has become the main theme around PANW shares in recent weeks.

Gen Z Darling in Trouble: As Pinterest’s Popularity Hits Records, Investors Count Losses

February 16, 2026

In the investment world, it is generally true that even a historical maximum in platform popularity may not be enough if unfavorable macroeconomics come into play. Pinterest is currently at exactly this paradoxical point. Although its ecosystem has never been more extensive, Q4 financial results and an uncertain outlook for early 2026 triggered a wave of sell-offs.

Amazon in the Era of AI Investments: Record Revenues Versus a USD 200 Billion Bet on the Future

February 9, 2026

In the investment world, it is often said that markets look forward, not backward. Amazon’s economic results for the fourth quarter of 2025 are a perfect example of this principle. Although the technology giant delivered historically record revenues and confirmed the expansion of its key divisions, the share price reacted with a relatively sharp decline.* The reason, however, lies not in the past, but in an ambitious investment plan for 2026.

Czechoslovak Group (CSG) Successfully Lists on the Stock Market: What Are the Next Prospects?

January 26, 2026

Czechoslovak Group (CSG), a Czech defense group with over 30 years of tradition, has successfully made its way onto the Amsterdam Stock Exchange, marking the start of its journey to become a leader in the global defense industry. Following its Initial Public Offering (IPO), CSG’s shares increased by 31.4%, raising the company’s market capitalization to approximately CZK 770 billion.* CSG has thus immediately surpassed ČEZ, a clear indicator of its growing strength and investment appeal.

David Matulay

Analyst

David Matulay is an analyst at InvestingFox. He joined the company in 2023 as Head of Trading and Portfolio Manager. Prior to that, he gained three years of experience as a financial analyst at Advena Hedge Fund.
David graduated in Industrial Informatics from the Secondary Industrial School of Electrical Engineering in Bratislava and in Finance, Banking and Investing from the University of Economics in Bratislava. He is currently studying international and diplomatic studies at the University of International and Public Relations in Prague.

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