{"id":139814,"date":"2026-05-26T10:59:21","date_gmt":"2026-05-26T13:59:21","guid":{"rendered":"https:\/\/ubirataonline.com.br\/this-tech-stock-pays-a-growing-dividend-and-rides-every-ai-tailwind-whats-not-to-like\/"},"modified":"2026-05-26T10:59:53","modified_gmt":"2026-05-26T13:59:53","slug":"this-tech-stock-pays-a-growing-dividend-and-rides-every-ai-tailwind-whats-not-to-like","status":"publish","type":"post","link":"https:\/\/ubirataonline.com.br\/en\/this-tech-stock-pays-a-growing-dividend-and-rides-every-ai-tailwind-whats-not-to-like\/","title":{"rendered":"This Tech Stock Pays a Growing Dividend and Rides Every AI Tailwind. What’s Not to Like?"},"content":{"rendered":"

<\/p>\n

\n
\n

There are a lot of great AI stocks to choose from these days, but they don’t all offer the same long-term opportunities or tap into artificial intelligence (AI) trends as Broadcom<\/strong> (NASDAQ: AVGO)<\/span>. Nor do they pay a growing dividend, as the company also does.<\/p>\n

Broadcom is benefiting from two big AI trends, including a surge in data center demand and shift by big tech companies toward customized processors.<\/p>\n

Will AI create the world’s first trillionaire?<\/strong>\u00a0Our team just released a report on the one little-known company, called an “Indispensable Monopoly” providing the critical technology Nvidia and Intel both need.\u00a0Continue \u00bb<\/strong><\/span><\/a><\/em><\/p>\n

And it’s likely that Broadcom’s impressive run isn’t done yet. Here’s why.<\/p>\n

\n
\n
<\/div>\n<\/div>
Image source: Getty Images. <\/figcaption><\/figure>\n

How Broadcom is catching two big AI tailwinds <\/h2>\n

AI is a vast market, so let’s narrow it down to exactly how Broadcom<\/a> benefits from it. First, its custom AI processors are increasingly in demand by leading tech companies to optimize their AI systems.<\/p>\n

Broadcom’s processors can be designed specifically with a tech company’s large language models in mind, making them more efficient and boosting performance. This advantage helped its custom AI application-specific integrated circuits (ASICs) have a 140% increase in sales in the first quarter of 2026, thanks to expanding deals with Alphabet<\/strong>, Meta<\/strong>, Anthropic, and OpenAI.<\/p>\n

The chipmaker recently announced that it has expanded its partnership with Alphabet’s Google, which keeps Broadcom designing Google’s tensor processing units (TPUs) and supplying networking components through 2031.<\/p>\n

Broadcom’s AI-specific semiconductor revenue more than doubled in the first quarter to $8.4 billion, accounting for about 43% of its total revenue. And more good times are on the way with management estimating its AI chip revenue will reach $100 billion by 2027.<\/p>\n

And that’s not the only AI trend benefiting the business. The company’s networking systems — mainly through its popular Tomahawk switches for data centers — are also experiencing a surge in demand as hundreds of billions of dollars are invested in data center expansion.<\/p>\n

Broadcom’s AI networking revenue rose 60% in the most recent quarter to $2.8 billion — accounting for about one-third of all the company’s AI sales. And management believes this will continue to expand, with networking sales making up 40% of AI revenue in the second quarter.<\/p>\n

A growing dividend ain’t half bad, either <\/h2>\n

High-growth AI stocks<\/a> aren’t typically the companies you would expect to pay dividends, which is one of the ways Broadcom is unique.<\/p>\n<\/p><\/div>\n