Broadcom Stock Falls 4.45% as AI Slowdown Fears Deepen Chipmaker's Margin Compression Worries Monday

Broadcom shares fell 4.45% to $345.87 in Monday trading, extending a selloff tied to fresh worries that AI development may slow. The drop followed an earlier premarket slide of about 3.2% to $350.48 after an essay over the weekend from Anthropic CEO Dario Amodei urging AI companies to slow the pace of their most capable model advancements due to safety concerns. While Broadcom recently posted strong fiscal third-quarter results, with custom AI semiconductor revenue up 221% year-over-year to $16.7 billion, investors focused on margin compression. Analysts also noted Broadcom’s roughly 30x forward non-GAAP valuation.