Broadcom Soars 8% on AI Revenue Surge

Broadcom's stock surged 8% in pre-market trading on September 5, 2025, driven by strong performance in the AI sector.

Broadcom reported a record total revenue of $16 billion for fiscal Q3 2025, marking a 22% year-on-year increase. This growth was primarily driven by a 63% surge in AI semiconductor revenue, which reached $5.2 billion. The company's infrastructure software also saw a 17% year-on-year increase. CEO Hock Tan highlighted the company's expectation for AI semiconductor revenue to accelerate to $6.2 billion in the current quarter, reflecting the robust demand for AI technologies.

Broadcom's strong performance in AI has been a key driver of its stock price, with the company's earnings and revenue surpassing expectations. The company's Q3 earnings report showed a significant revenue increase, driven by strong performance in AI accelerators. This has led to a positive market reaction, with investors optimistic about the company's future prospects in the AI sector.