Broadcom’s Tomahawk Ultra: A Chip So Fast, Even the Stock Might Need to Catch Up

Discussion in 'Stocks' started by evans, Jul 16, 2025 at 2:22 AM.

  1. evans

    evans

    A New Challenger in the AI Arena

    Broadcom (NASDAQ: AVGO) just threw down the gauntlet in the high-performance computing world with its new Tomahawk Ultra network processor. Designed for tightly coupled, low-latency communication in AI clusters and HPC systems, this chip isn’t just fast—it’s engineered to outmaneuver NVIDIA’s NVLink by scaling chip connectivity up to four times. And instead of relying on proprietary protocols, Broadcom is doubling down on Ethernet, but with a turbocharged twist.

    Senior VP Ram Velaga made it clear: this isn’t just another silicon slab—it’s a strategic move to dominate the AI infrastructure layer. With mass production already underway, the Tomahawk Ultra could become the backbone of next-gen AI training and simulation workloads.

    Market Momentum and Investor Buzz

    Broadcom’s aggressive push into AI infrastructure is already turning heads on Wall Street. With a market cap hovering around $1.3 trillion USD, AVGO is now one of the top 10 most valuable tech companies globally. The Tomahawk Ultra announcement adds fuel to the fire, especially as demand for scalable, low-latency networking explodes.

    Investors are watching closely—not just for performance benchmarks, but for signs that Broadcom is ready to challenge NVIDIA’s dominance in AI hardware. And when a company starts shaking up the status quo, people start asking: what’s next for the stock?

    Avgo stock split history Analysis

    Here’s where things get interesting. The avgo stock split history is surprisingly short. Broadcom has only executed one stock split in its history—a 10-for-1 forward split on July 15, 2024. That move significantly lowered the share price, making it more accessible to retail investors and boosting liquidity.

    Why It Matters Now

    Share Accessibility: Before the split, AVGO traded above $2,700 per share. Post-split, it’s around $275, which feels a lot more “buyable” for everyday investors.

    Market Psychology: Lower nominal prices often attract more volume, especially from retail traders who prefer round numbers over intimidating price tags.

    Strategic Timing: The split came just as Broadcom’s AI ambitions were heating up—coincidence? Maybe. Smart timing? Definitely.

    Final Thoughts: Is AVGO Just Getting Started?

    With the Tomahawk Ultra now in mass production and Broadcom’s market cap soaring, the company is clearly playing for keeps in the AI infrastructure game. The 2024 stock split may have been a one-off, but if AVGO continues this trajectory, don’t be surprised if another split enters the conversation.

    After all, when your chips are fast enough to train synchronized AI models, your stock might need a little help keeping pace.
     
  2. maxinger

    maxinger

    old/outdated/slow news.
    The recent uptrend started 3 months ago.

    It follows similar pattern as the US index futures.
    Many stocks have tomahawked since 3 months ago.

    When a stock breaks the record high (eg Broadcom),
    thousands of professional writers will write about it.
     
    Last edited: Jul 16, 2025 at 3:43 AM