Broadcom’s Surging AI Revenue

And, RH survives "worst housing market."

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Today is Friday, December 13, 2024.

The Early Bird Index today is 83.90

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Broadcom’s Surging AI Revenue 

It wasn’t perfect, but Broadcom’s (Nasdaq: AVGO) financial earnings release on Thursday boosted the stock by 14.08% in after-hours trading.

Financials: Broadcom reported earnings of $1.42 per share in the past quarter, which was better than expected. Revenue reached $14.054 billion, which was expected.

Powering the Story: Revenue for Broadcom’s semiconductor business reached a record $30.1 billion in 2024, which the company attributed to its growing AI business. AI revenue skyrocketed by 220%.

Stock Price: Broadcom has performed better than most semiconductor stocks in 2024. It was up 66%.

Early Bird’s Nest Egg Gains: Broadcom's AI revenue is soaring at a remarkable rate because the company is making custom AI chips for three top cloud companies.

  • The company's growth in AI revenue includes sales of ethernet networking parts.

  • Strong demand from hyperscalers, which is a type of cloud provider, is also driving AI revenue.

Final Thoughts: Broadcom is ending 2024 strong. Can this continue in 2025?

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Notables

Notable Earnings Today: N/A.

Notable IPOs Today: Aldel Financial II Inc. Class A Ordinary Shares (Nasdaq: ALDF), NETCLASS TECHNOLOGY INC Class A Ordinary Shares (Nasdaq: NTCL), Anteris Technologies Global Corp. Common Stock (Nasdaq: AVR).

Notable Equity Crowdfunding Campaigns Ending Today: Groovy Chicken and Waffles (Honeycomb), Bocadillo Market (Honeycomb), World Illustrated (Wefunder), Azolla (Wefunder), CliqRex (Netcapital), AllSides (Wefunder), Video Notebook (Wefunder), Pastazerts (Honeycomb).

Notable Economic Events Today: Import Price Index (8:30 a.m. ET), Export Price Index (8:30 a.m. ET).

RH Survives "Worst Housing Market"

Despite posting disappointing financial earnings results, the home furnishings company RH (NYSE: RH) jumped 17.64% in after-hours trading on Thursday.

Financials: RH reported earnings of $2.48 per share in the past quarter, which was lower than expected. Revenue reached $811.73 million, which was expected.

Powering the Story: Demand in the quarter grew by 13% despite operating in what the company called “the worst housing market in 30 years.”

Also: RH said increased tariffs in 2025 won’t impact the business because it moved sourcing away from China.

Final Thoughts: If the housing market improves, the company could continue to grow.

The cryptocurrency Chainlink jumped about 18% on Thursday to reach its highest price since 2021.

Details: World Liberty Financial, the new crypto venture tied to President Trump, accumulated a lot of Chainlink tokens this week. This drove the price up.

Final Thoughts: Chainlink’s price has doubled in the last 30 days.

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