JPMorgan says Broadcom’s dip is basically a sale

The dip gets a hug

Broadcom’s been doing that annoying stock thing where it dips just enough to make everyone nervous, and JPMorgan’s response is basically: relax, this is a shopping opportunity. The bank reiterated an Overweight rating and slapped a $580 price target on AVGO, arguing the recent selloff is more noise than signal.

Google and Broadcom are still on the same dance floor

The key piece here is the AI-chip relationship with Google. JPMorgan says the two companies are still on track with their next-gen TPU program, pushing back on chatter about delays or cancellations. In analyst-speak, that’s a big deal because it suggests Broadcom’s custom AI chip pipeline isn’t getting unplugged anytime soon.

• JPMorgan says the TPU v9 2nm program remains on track
• The bank expects Broadcom to keep ramping AI chip revenue
• The long-term agreement reportedly supports rising TPU revenue through 2031

Why investors care

This is the kind of setup Wall Street loves: visible revenue, a giant customer, and a long contract that makes the future look less like roulette and more like a subscription bill. If JPMorgan’s right, the market’s been fretting about the wrong thing and Broadcom’s AI story is still very much intact.

Big picture: when a megabank says a stock dip is just the market getting jittery, investors tend to listen—especially when the company in question is sitting on a multi-year AI chip runway.