Broadcom share price: What’s driving the sharp rally? All you need to know

Shares of Broadcom Inc.'s are currently trading at $341.18, up 2.46 per cent, with chip stocks rallying as investors rotated toward hardware plays benefiting from AI data-center demand. The company finished Friday’s session up 7.1 per cent at $332.92.

Capital spending grabbed traders’ attention on Friday after Amazon said its capex will jump over 50 per cent this year, echoing Alphabet’s recent signals and boosting expectations of stronger demand for chips and networking equipment.

Nvidia surged 7.8 per cent on Friday. AMD wasn’t far behind, picking up 8.3 per cent. The PHLX semiconductor index ended up 5.7 per cent, Reuters reported.

Broadcom is still sitting roughly 20 per cent under its 52-week peak, according to MarketWatch data. That gap makes the stock more vulnerable to sharp swings as investors respond to new developments around AI spending plans or interest rate expectations.