Broadcom reports Wednesday. Wall Street expects 140% AI revenue growth. ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏
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| Monday Market Pulse | June 1, 2026 |
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| The S&P 500 Just Hit 7,563. Micron Crossed $1 Trillion. And Wednesday Is Broadcom's Turn. |
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| By The Numbers |
| • 8 straight weeks. The S&P 500 posted its eighth consecutive weekly gain, touching a fresh all-time high of 7,563 on Tuesday. |
| • +19% in one session. Micron Technology jumped May 26 after UBS raised its price target from $535 to $1,625. Highest Wall Street target on any chip stock. |
| • $1 trillion. Micron's market cap crossed that threshold for the first time in company history. AI memory demand is the driver. |
| • 47%. Broadcom's expected year-over-year revenue growth for Q2 FY2026. They report Wednesday, June 3. Revenue guided at $22 billion. |
| • 140%. Broadcom's guided AI revenue growth for Q2, at $10.7 billion. Up from $8.4 billion last quarter. Up 106% year-over-year last time. |
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| The Brief |
| Eight straight weeks of S&P 500 gains heading into June. The index touched 7,563 Tuesday, another all-time high, in a four-day week shortened by Memorial Day. The engine is AI spending. Last week that meant Micron. UBS analyst Timothy Arcuri raised his price target from $535 to $1,625, a 204% jump in a single upgrade, citing long-term memory contracts with hyperscalers that will transform Micron's earnings profile permanently. The market reacted fast. Micron jumped 19% in a single session. The company's market cap crossed $1 trillion for the first time. That is what it looks like when a company's output becomes essential infrastructure for the biggest build-out in tech history. This week the story shifts to Broadcom. They report Q2 FY2026 earnings Wednesday, June 3. Revenue guidance: $22 billion, up 47% year-over-year. AI revenue guidance: $10.7 billion, up 140% year-over-year. Broadcom makes the custom chips and networking silicon tying every major hyperscaler's AI data center together. Google, Meta, and Apple are all customers. The company has beaten analyst estimates in seven straight quarters. Wednesday is number eight. |
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| Stock of the Week |
| Broadcom (AVGO) |
| Broadcom reports Wednesday, June 3, and the numbers are already on the table. Revenue guided at $22 billion, up 47% year-over-year. AI revenue guided at $10.7 billion, up 140% from the same quarter last year. For context, Broadcom posted $8.4 billion in AI semiconductor revenue last quarter, up 106% year-over-year. That was already a record. This quarter's guide is higher. Broadcom's business is the networking silicon and custom AI chips that hyperscalers use to wire their data centers together. Every major cloud platform is a customer. The company has beaten analyst estimates in each of the past seven quarters. The question Wednesday is whether $10.7 billion in AI revenue is a beat or a miss. Wall Street will be watching the infrastructure software segment too, particularly renewal margins. Bears argue that the Anthropic order structure change, which removed rack-level revenue, signals some customer concentration risk. The company has already guided for AI revenue exceeding $100 billion annually by 2027. If they beat Wednesday, that target moves from aspirational to credible. |
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