Broadcom (AVGO) Rose on Strong Custom Silicon Demand and New Client Wins

Broadcom (AVGO) Rose on Strong Custom Silicon Demand and New Client Wins Ricardo Pillai Mon, July 27, 2026 at 3:25 PM GMT+2 3 min read Carillon Tower Advisers , an investment management company, released its second-quarter 2026 investor letter for the "Carillon Eagle Growth & Income Fund". A copy of the letter is available to download here . The second quarter of 2026 was driven by a sharp rally in AI-related stocks, although gains were concentrated in highly cyclical semiconductor, memory, and optical companies.

The S&P 500 gained 15. 2%, while the semiconductor index surged 87. 8%.

Unlike earlier AI rallies led by megacaps and strong earnings growth, some smaller technology stocks rose 200% to 300%, making the advance more fragile. Software and services stocks declined as investors questioned the impact of AI disruption. Oil prices also rose during the Iran conflict before retreating, briefly increasing inflation and interest-rate concerns.

Despite the volatility, economic data and corporate earnings remained strong. S&P 500 earnings are projected to rise 25% in 2026 and 15% in 2027, with the market trading near 20x earnings. The Fund continues to focus on financially strong companies with durable earnings growth that can perform across different economic conditions.

In addition, please check the Fund's top five holdings to know its best picks in 2026. In its second-quarter 2026 investor letter, Carillon Eagle Growth & Income Fund highlighted Broadcom Inc. (NASDAQ: AVGO ).

Broadcom Inc. (NASDAQ:AVGO) designs, develops, and supplies various semiconductor devices and infrastructure software solutions. On July 24, 2026, Broadcom Inc.

(NASDAQ:AVGO) closed at $381. 92 per share. One-month return of Broadcom Inc.

(NASDAQ:AVGO) was 2. 54% and its shares gained 29. 77% over the past 52 weeks.

Broadcom Inc. (NASDAQ:AVGO) has a market capitalization of $1. 82 trillion with a 52-week trading range between $281.

61 - $495. 00. Carillon Eagle Growth & Income Fund stated the following regarding Broadcom Inc.

(NASDAQ:AVGO) in its Q2 2026 investor letter: " Broadcom Inc. 's (NASDAQ:AVGO) momentum continued as the demand for custom silicon appeared steady. During the quarter, Broadcom benefited from an increase in earnings estimates due to winning more large clients for its products.

" Broadcom Inc. (NASDAQ:AVGO) ranks eight on our list of the 40 Most Popular Stocks Among Hedge Funds . As per our database, 173 hedge fund portfolios held Broadcom Inc.

(NASDAQ:AVGO) at the end of the first quarter which was 202 in the previous quarter. While we acknowledge the potential of Broadcom Inc. (NASDAQ:AVGO) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk.

If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock . Story Continues In  another article , we covered Broadcom Inc. (NASDAQ:AVGO) and shared a list of best stocks to buy now for high returns.

In addition, please check out our hedge fund investor letters Q2 2026  page for more investor letters from hedge funds and other leading investors. READ NEXT:  33 Stocks That Should Double in 3 Years  and  15 Stocks That Will Make You Rich in 10 Years . Disclosure: None.

This article is originally published at  Insider Monkey .