Broadcom to Ship Over 5M TPUs by 2027, AI Revenue to Hit $150B by 2028
UBS projects Broadcom will ship over 5 million TPU units in 2027—up from 3.7 million in 2026—with Ironwood models over half and Sunfish leading in 2028. AI revenue is forecast to jump from $60 billion in fiscal 2026 to $106 billion in 2027 and $150 billion in 2028, underpinning EPS of $12.70–$22.50.
1. UBS Reiterates Buy Rating
UBS reaffirmed a Buy rating on Broadcom with a $475 price target, highlighting accelerating TPU demand, a sharp AI revenue ramp and strong custom ASIC visibility through 2028.
2. TPU Shipment Projections
UBS expects Broadcom to ship over 5 million TPU units in 2027, up from 3.7 million in 2026, with v7 Ironwood models comprising more than half of 2027 shipments and v8ax Sunfish becoming the majority in 2028. Both products will use TSMC’s N3 process.
3. AI Revenue Growth Forecast
Broadcom’s AI revenue is forecast to rise from $60 billion in fiscal 2026 (200% year-over-year growth) to $106 billion in fiscal 2027 (80% growth) and $150 billion in fiscal 2028 (42% growth).
4. Customer and EPS Outlook
Google is expected to account for about $30 billion of custom compute revenue this year and $56 billion in calendar 2027, with Anthropic and Meta filling remaining TPU demand. UBS projects EPS of $12.70 for 2026, $18.00 for 2027 and $22.50 for 2028.