Market Comparison of Nvidia and Broadcom
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 3 days ago
0mins
Source: NASDAQ.COM
- Revenue Growth Comparison: Nvidia reported a revenue of $81.6 billion for Q1 FY2027, marking an 85% year-over-year increase, while Broadcom's revenue for Q1 FY2026 was $19.3 billion, up 29%, indicating Nvidia's clear advantage in overall revenue.
- AI Market Potential: Broadcom's AI revenue surged 106% to $8.4 billion in Q1 FY2026, showcasing its growth potential in the custom chip market, despite overall revenue trailing Nvidia's, which could drive future growth.
- Valuation Discrepancy: Nvidia trades at a forward P/E of 24, significantly lower than Broadcom's 39, and while Broadcom's stock has risen 40% in the last three months, its valuation may be stretched, warranting caution from investors.
- Investment Choice Analysis: Nvidia is viewed as a safer investment due to its higher revenue and lower valuation, while Broadcom attracts those seeking higher risk and growth potential in the custom chip market, making both stocks suitable for different investment strategies.
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Analyst Views on NVDA
Wall Street analysts forecast NVDA stock price to rise
41 Analyst Rating
39 Buy
1 Hold
1 Sell
Strong Buy
Current: 218.660
Low
200.00
Averages
264.97
High
352.00
Current: 218.660
Low
200.00
Averages
264.97
High
352.00
About NVDA
NVIDIA Corporation is an artificial intelligence (AI) infrastructure company. The Company is engaged in accelerated computing to help solve the challenging computational problems. Its segments include Compute & Networking and Graphics. The Compute & Networking segment includes its Data Center accelerated computing and networking platforms and AI solutions and software, and automotive platforms and autonomous and electric vehicle solutions, including software. The Graphics segment includes GeForce GPUs for gaming and personal computers (PCs), and Quadro/NVIDIA RTX GPUs for enterprise workstation graphics. Its technology stack includes the foundational NVIDIA CUDA development platform that runs on all NVIDIA GPUs, as well as hundreds of domain-specific software libraries, frameworks, algorithms, software development kits (SDKs), and application programming interfaces (APIs). Its platforms address four markets, which include Data Center, Gaming, Professional Visualization, and Automotive.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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