Broadcom (AVGO) Ships 3.5D Face-To-Face Compute SoC

Broadcom Inc. (NASDAQ:AVGO) is one of the 15 best stocks to invest in according to billionaires.

On February 26, Broadcom Inc. (NASDAQ:AVGO) announced that it has begun shipping the industry’s first 2nm custom compute SoC built on its 3.5D XDSiP platform. By combining 2.5D and 3D-IC integration, this modular platform is foundational to next-generation XPUs. It enables independent scaling of compute, memory, and I/O, providing superior power efficiency and signal density for gigawatt-scale AI clusters.

On January 30, Broadcom Inc. (NASDAQ:AVGO) was upgraded to Outperform from Peer Perform by Wolfe Research analyst Chris Caso. The analyst set a price target of $400.

Caso highlighted that Broadcom Inc. (NASDAQ:AVGO) is expected to ship 7 million tensor processing units by 2028, with additional projects providing further growth potential. Wolfe’s bullish scenario anticipates a doubling of AI revenue in 2027, translating to $18 earnings per share. Additionally, the firm noted that the company’s leadership in AI hardware and TPUs can no longer be overlooked.

Broadcom Inc. (NASDAQ:AVGO) is a technology company and a global supplier of semiconductor devices and infrastructure software services. The company delivers networking connectivity, wireless device connectivity, and servers and storage solutions. It also offers an extensive suite of private cloud offerings, including VMware Cloud Foundation, Edge, a telco cloud platform, private AI, and more.

While we acknowledge the potential of AVGO as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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