JHVEPhoto/iStock Editorial via Getty Images The following segment was excerpted from the Virtus SGA Global Growth Fund Q4 2025 Commentary. During the quarter, we initiated a below-average weight position in leading semiconductor and infrastructure software company Broadcom ( AVGO ). Broadcom's ongoing transformation from a provider of custom ASICs to a full rack-scale solutions vendor, including s...
JHVEPhoto/iStock Editorial via Getty Images The following segment was excerpted from the Virtus SGA Global Growth Fund Q4 2025 Commentary. During the quarter, we initiated a below-average weight position in leading semiconductor and infrastructure software company Broadcom ( AVGO ). Broadcom's ongoing transformation from a provider of custom ASICs to a full rack-scale solutions vendor, including scale-up networking, marks a significant improvement in its strategic positioning compared to earlier in the year. This strategic evolution has been validated by recent product launches, such as the Scale-up Ethernet solution, and committed orders from major customers like Anthropic. Broadcom is also diversifying its customer base, expanding from three to five qualified customers with purchase commitments, and accelerating production volume timelines for future prospective clients. The shift in AI demand from training to inferencing is creating more visible and stable revenue streams, as inferencing workloads have grown rapidly, driven by innovations in long context windows and agentic workloads. Broadcom's business model is supported by strong pricing power, recurring revenues, and robust growth opportunities. The company maintains industry-leading margins, with semiconductor gross margin around 70% and software gross margin near 90%, leveraging high technology barriers and strong customer relationships. Recurring revenue is underpinned by long-term AI semiconductor engagements and high-retention infrastructure software subscriptions. As AI spending shifts toward inference, revenue visibility and stability improve, backed by real use cases and multi-year customer commitments. Broadcom's growth is driven by rising AI demand, as major labs and hyperscalers adopt custom ASICs for both training and inference. The company's ability to integrate a full systems solution from ASICs to networking provides an advantage over other vendors, and its strategy of building sustainable fran...
JHVEPhoto/iStock Editorial via Getty Images The following segment was excerpted from the Virtus SGA Global Growth Fund Q4 2025 Commentary. During the quarter, we initiated a below-average weight position in leading semiconductor and infrastructure software company Broadcom ( AVGO ). Broadcom's ongoing transformation from a provider of custom ASICs to a full rack-scale solutions vendor, including s...
JHVEPhoto/iStock Editorial via Getty Images The following segment was excerpted from the Virtus SGA Global Growth Fund Q4 2025 Commentary. During the quarter, we initiated a below-average weight position in leading semiconductor and infrastructure software company Broadcom ( AVGO ). Broadcom's ongoing transformation from a provider of custom ASICs to a full rack-scale solutions vendor, including scale-up networking, marks a significant improvement in its strategic positioning compared to earlier in the year. This strategic evolution has been validated by recent product launches, such as the Scale-up Ethernet solution, and committed orders from major customers like Anthropic. Broadcom is also diversifying its customer base, expanding from three to five qualified customers with purchase commitments, and accelerating production volume timelines for future prospective clients. The shift in AI demand from training to inferencing is creating more visible and stable revenue streams, as inferencing workloads have grown rapidly, driven by innovations in long context windows and agentic workloads. Broadcom's business model is supported by strong pricing power, recurring revenues, and robust growth opportunities. The company maintains industry-leading margins, with semiconductor gross margin around 70% and software gross margin near 90%, leveraging high technology barriers and strong customer relationships. Recurring revenue is underpinned by long-term AI semiconductor engagements and high-retention infrastructure software subscriptions. As AI spending shifts toward inference, revenue visibility and stability improve, backed by real use cases and multi-year customer commitments. Broadcom's growth is driven by rising AI demand, as major labs and hyperscalers adopt custom ASICs for both training and inference. The company's ability to integrate a full systems solution from ASICs to networking provides an advantage over other vendors, and its strategy of building sustainable fran...
JHVEPhoto Chipmaker STMicroelectronics ( STM ) in a filing said a selling security holder may offer and resell up to 24.8 million ordinary shares from time to time, with the stock linked to warrants that can be exercised into common equity. The last reported sale price of the ordinary shares was $31.95 per share on March 24, 2026. More on STMicroelectronics STMicroelectronics: DC And Robotics Oppo...
JHVEPhoto Chipmaker STMicroelectronics ( STM ) in a filing said a selling security holder may offer and resell up to 24.8 million ordinary shares from time to time, with the stock linked to warrants that can be exercised into common equity. The last reported sale price of the ordinary shares was $31.95 per share on March 24, 2026. More on STMicroelectronics STMicroelectronics: DC And Robotics Opportunities Re-Ignited Enthusiasm (Upgrade) STMicroelectronics N.V. (STM) Shareholder/Analyst Call - Slideshow STMicroelectronics N.V. (STM) Shareholder/Analyst Call - Slideshow SA analyst upgrades/downgrades: STM, PANW, WPM, TK STMicroelectronics starts deliveries of China-made STM32 microcontrollers
(Bloomberg) -- Shares of computer memory and storage products slumped on concerns over demand after Google researchers touted a new compression technique. But it may be a hiccup rather than an existential threat.SK Hynix Inc., a key maker of memory chips for artificial intelligence applications, fell as much as 6.4% on the Korea Exchange. Flash memory manufacturer Kioxia Holdings Corp. dropped 6.4...
(Bloomberg) -- Shares of computer memory and storage products slumped on concerns over demand after Google researchers touted a new compression technique. But it may be a hiccup rather than an existential threat.SK Hynix Inc., a key maker of memory chips for artificial intelligence applications, fell as much as 6.4% on the Korea Exchange. Flash memory manufacturer Kioxia Holdings Corp. dropped 6.4% in Tokyo. That followed losses by Micron Technology Inc. and Sandisk Corp. Wednesday in New York.T