This chipmaker "remains a core AI winner and a close #2 behind NVDA": MS

Morgan Stanley reaffirmed an Overweight view on Broadcom, arguing the market is overstating the risk that MediaTek will meaningfully displace Broadcom in Google’s TPU supply chain. The bank expects Broadcom to keep about 80% TPU share over time and said bearish assumptions around a 50% share are premature. It also pointed to Broadcom’s secured HBM supply, packaging advantages, and execution risks facing MediaTek. Morgan Stanley said Broadcom remains one of its preferred AI compute names and a core AI winner, forecasting about $120 billion in AI revenue in fiscal 2027, including roughly $80 billion from TPU-related revenue. The piece is supportive for Broadcom shares and highlights continued bullish sentiment on AI semiconductor winners despite competitive concerns.