Why Broadcom (AVGO) Stock Is Diving Today
Portfolio Pulse from Henry Khederian
Broadcom Inc's (NASDAQ:AVGO) shares fell by 2.5% after the US government announced plans to halt advanced AI chip shipments to China. The new regulations aim to prevent China from using American AI technology for military applications and impose limits on the export of chips to China, Iran, and Russia. This could lead to a decline in Broadcom's revenue as it generates a substantial portion of its revenue from chip sales to Chinese customers.
October 17, 2023 | 3:13 pm
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Broadcom's stock price fell due to the US government's decision to halt AI chip shipments to China. This could negatively impact Broadcom's revenue and profitability.
Broadcom generates a significant portion of its revenue from chip sales to Chinese customers. The new regulations imposed by the US government could lead to a decline in Broadcom's revenue and profitability, which in turn could negatively impact its stock price.
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