11:52 AM EST, 03/02/2026 (MT Newswires) -- Broadcom ( AVGO ) could beat Q1 estimates and lift its outlook amid strong demand for its products, RBC Capital Markets said in a note Sunday. The results are due March 4.

"We expect a beat/raise driven by strong TPU/Networking

demand," the report said. TPU refers to Tensor Processing Units.

The report said the results and guidance could come in about 1% to 2% above consensus, with networking demand strong and TPUs likely fully-booked near term.

Looking ahead, the note said the sustainability of Anthropic demand beyond H1 of 2027 looks less clear due to its agreement with other companies.

"We are also taking a conservative view on OpenAI contribution in 2027 given its multiple agreements," it added.

RBC kept its sector perform rating while cutting its price target to $340 from $370, as its valuation is at about 25% premium to Nvidia (NVDA) despite much lower AI exposure.

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