Broadcom (AVGO) shares fell more than 14.4% in after-hours trading as its AI chip revenue forecast fell short of expectations.

Odaily reports that Broadcom (AVGO) shares dropped over 13% in after-hours trading after the company released its AI chip revenue forecast, which fell below market expectations. The company stated that for the third fiscal quarter ending in July, AI semiconductor revenue is expected to be $16 billion, while the average analyst estimate was $17.2 billion. Broadcom CEO Hock Tan further indicated that for the fiscal year ending in October, AI chip sales are projected at $56 billion, below the previous average estimate of $57.6 billion. This suggests the company's progress in capturing a larger share of the rapidly growing AI chip market is slower than anticipated.