10 Most Promising Tech Stocks According to Hedge Funds

5. Broadcom Inc. (NASDAQ:AVGO)

Number of Hedge Fund Holders: 130

Broadcom Inc. (NASDAQ:AVGO) ranks fifth on our list of the most promising technology stocks according to hedge funds. The semiconductor company designs, develops, and supplies semiconductor software infrastructure products. Some of its products include cable modems, networking processors, and storage adapters.

This year, Broadcom Inc. (NASDAQ:AVGO) launched two breakthrough technologies for artificial intelligence infrastructure, the industry’s first switch platform for scalable AI systems and Retimers, facilitating the management of large datasets for AI tasks. Previously in August, the company launched Rally Anywhere, an on-premise version of its enterprise agility platform, that will allow businesses to plan, prioritize, manage, and track activities at every level in the organization.

On September 6, Daniel Newman, Futurum Group CEO appeared in an interview on Yahoo Finance where he talked about AVGO’s position in the AI race. He shares that the company’s AI business is performing well and AVGO owns the technology to solve some complicated networking use cases. Newman shares that AVGO is priced well and has the conditions to rotate back over the next few quarters,

Overall, Broadcom Inc. (NASDAQ:AVGO) is leading the race for AI infrastructure and holds promise for the future. In the fourth quarter of 2024, Broadcom expects revenue from AI to grow by 10% sequentially reaching $3.5 billion, bringing the full-year total to $12 billion.