Anthropic Is Aiming for the Biggest IPO Ever -- Here's the Chip Stock to Buy Before It Lists
One chipmaker's shaping up as both the AI lab's supplier and its reported lender.
Anthropic, the company behind the Claude chatbot, has filed for an initial public offering (IPO) to raise up to $100 billion, potentially setting a new record for the largest IPO. This would surpass SpaceX's $86 billion IPO in June. Currently, most investors cannot purchase Anthropic stock. However, a public company with a close connection to Anthropic's AI lab spending may present an investment opportunity.
Reuters reported on October 1 that Anthropic's IPO filing reveals that Broadcom, with the stock ticker NASDAQ:AVGO, has agreed to provide a loan of up to $42 billion to the AI lab using convertible notes. This loan could potentially cover approximately one-third of Anthropic's $125.2 billion, five-year commitment to lease computing capacity on tensor processing units (TPUs). Broadcom is a key player in the design of these custom AI chips.
As of now, Broadcom's stock is trading at around $355, down about 28% from its 52-week high. Given this price point, some analysts believe Broadcom might be a worthy investment to consider before Anthropic officially lists on the stock market.
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