NVIDIA Locks $145B Supply Deals, Broadcom Tops Peer Revenue Visibility
AVGO•NVIDIA has locked in $145 billion of supply commitments to secure AI accelerator production through 2027, highlighting demand that could heighten competition for component suppliers like Broadcom. Goldman Sachs gave Intel a Neutral rating with a $150 12-month target and said Broadcom has stronger revenue visibility at comparable or lower multiples.
1. NVIDIA’s $145B Supply Commitments
NVIDIA confirmed $145 billion in purchase commitments for raw materials and manufacturing capacity through 2027, ensuring production of next-generation AI accelerators. This proactive strategy secures chip output but may tighten component availability, potentially benefiting suppliers with broad portfolios like Broadcom through increased order visibility.
2. Goldman Sachs Rates Intel Neutral, Highlights Broadcom
Goldman Sachs initiated Intel coverage with a Neutral rating and a $150 12-month price target, citing Intel’s server CPU tailwinds but noting peers with greater revenue visibility. Broadcom emerged as a preferred peer, trading at similar or lower multiples yet offering clearer medium-term revenue outlook thanks to its diversified semiconductor businesses.
