Broadcom (NASDAQ: AVGO) has been an outstanding investment over the past three years, as shares of the semiconductor giant have shot up an impressive 240% during this time and outpaced the 27% gains clocked by the PHLX Semiconductor Sector index over the same period.

Broadcom may have had a volatile year, but the stock was rising on investor enthusiasm Tuesday as it headed for its best year on record. The California-based tech company is known for making application-specific integrated circuits,

Broadcom (AVGO) is extending its December rally, up 46% since the start of the month as analysts chime in with bull notes

Nvidia is one of the most popular AI stocks right now because of its lead in the semiconductor space. The company's graphics processing units (GPUs) have been used in data centers for years, and once tech giants began competing for generative AI dominance, the chips were even more in demand.