Broadcom's AI chip sales surged 74% YoY, driving strong Q4 results and a $73B AI backlog, despite stock dip and insider sale.

Broadcom reported strong Q4 results with $18.02 billion in revenue and $1.95 EPS, beating estimates, driven by a 74% year-over-year surge in AI chip revenue to $6.5 billion. The company unveiled a $73 billion AI backlog, expected to deliver over 18 months, bolstering long-term growth visibility. Software revenue reached $6.6 billion, with over 85% recurring, and VMware integration strengthened its high-margin, subscription-based model. Despite a 19% stock pullback post-earnings and concerns over CEO Hock E. Tan’s $42.4 million insider sale, analysts maintain "Buy" ratings, citing dominant AI infrastructure positioning, strong margins, and projected $96 billion in next-year revenue.