What did Broadcom report for Q3 2026?

Broadcom posted solid Q3 results that topped estimates, but Q4 revenue guidance of $34.8B came in below the $35.03B consensus, with margins guided to 66% vs. the 66.5% estimate. Shares fell on the guidance miss despite the otherwise strong quarter.

What was the AI revenue guidance news?

Broadcom raised its FY27 AI revenue guidance to $115B from a prior $100B, and said it expects that figure to roughly double again in FY28 to $230B — equating to 10GW and 20GW of AI infrastructure capacity, respectively. Management noted Anthropic and OpenAI would be its largest customers in FY28, both exceeding Google in scale.

Why did AVGO stock fall despite the AI guidance raise?

The market focused on the near-term Q4 revenue guide of $34.8B, which missed the $35.03B estimate, and margin guidance of 66% versus 66.5% expected. Even with a bullish multi-year AI capacity outlook, investors reacted to the immediate quarter shortfall — a classic 'buy the guide, not the beat' dynamic in semis.

What does this mean for the broader AI/semiconductor trade?

The doubling of AI revenue guidance to $230B in FY28 is a bullish structural signal for the AI infrastructure buildout, reinforcing demand visibility for custom silicon and networking. However, the Q4 miss is a reminder that even AI-exposed semis face quarter-to-quarter guidance risk. Read-through is positive for AI capex beneficiaries (networking, power, cooling) but a near-term headline overhang for AVGO shares.

Broadcom Q3 2026 Earnings Recap

AMC September 2, 2026, reaction Thursday September 3 | by Ray

The Numbers

Metric	Estimate	Reported	Result
Q4 Revenue Guide	$35.03B	$34.8B	❌ Miss
Q4 Margin Guide	66.5%	66%	❌ Miss
FY27 AI Revenue Guidance	$100B (prior)	$115B	✅ Raised
FY28 AI Revenue Guidance	—	$230B (implied 2x)	✅ New

Guidance Update

The headline: Broadcom’s AI revenue guide for FY27 was raised to $115B from a prior $100B, and management now expects that to roughly double again to $230B in FY28 — a jump from 10GW to 20GW of AI infrastructure capacity. Anthropic and OpenAI were flagged as the company’s largest customers in FY28, both projected to exceed Google’s scale.

Despite that structurally bullish multi-year framing, the Q4 revenue guide of $34.8B missed the $35.03B consensus, and margin guidance of 66% came in slightly below the 66.5% estimate.

What Happened

✅ Positives:

Q3 results topped estimates
FY27 AI revenue guide raised 15% ($100B → $115B)
FY28 AI revenue guide implies a full doubling to $230B
Anthropic/OpenAI confirmed as largest FY28 customers, ahead of Google

⚠️ Concerns:

Q4 revenue guidance of $34.8B missed consensus
Margin guide of 66% vs. 66.5% expected
Stock reaction focused on near-term miss over long-term raise

Market Reaction

AVGO shares fell on the print as investors weighted the immediate Q4 guidance miss over the long-horizon AI revenue raise — a familiar pattern this earnings season where “the guide matters more than the beat.” GOOGL shares also traded lower Thursday on its own Q4 revenue guide of $34.8B vs. $35.03B est. (unrelated overlap in figures, separate company).

Bottom Line

Broadcom’s long-term AI infrastructure thesis just got materially bigger — a $230B FY28 AI revenue target with Anthropic and OpenAI as anchor customers is a structurally bullish signal for the entire AI capex chain (custom silicon, networking, power). But the near-term Q4 guidance miss is the headline risk investors are trading today; expect AVGO to consolidate around this guide until the next print resolves the tension between “next year’s TAM” and “next quarter’s number.”