Nvidia vs. Broadcom: AI Infrastructure Leaders
Nvidia (NASDAQ: NVDA) and Broadcom (NASDAQ: AVGO) are major suppliers in the artificial intelligence (AI) infrastructure market. Wall Street analysts currently rate Nvidia as the better investment, with a median target price of $250 per share, which implies a 43% upside from its current price of $175. In contrast, Broadcom has a median target price of $450, indicating a 25% upside from its current price of $360.
Nvidia holds over 90% market share in data center GPUs and has also expanded recently to sell its H200 GPUs in China. Wall Street projects Nvidia’s earnings will increase by 37% annually over the next three years. Broadcom, while a leader in networking chips and custom AI accelerators for major clients like Google and Meta, is expected to see earnings grow by 30% annually over the same period, but with a higher valuation of 92 times earnings compared to Nvidia’s 43 times.
