Broadcom (AVGO, Financials) shares are on track for a fourth consecutive record closing high ahead of the company’s quarterly earnings report Thursday evening. Over the past seven trading sessions, the stock climbed steadily, reaching an intraday peak of $265.43 on Wednesday before settling at approximately $261. By midmorning Thursday, shares traded near $263, reflecting a nearly 30 percent gain over the past month.

Investors have attributed the rally to renewed interest in technology names tied to artificial intelligence, following Nvidia’s (NVDA, Financials) strong results last week. Broadcom’s upcoming report will likely shape sentiment, as options pricing implies a potential 6.4 percent swing in share value Fridayenough to push the stock to around $277 at the high end or back to roughly $244 at the low end, levels seen just a week ago.

Market watchers will pay close attention to forward guidance and any commentary on demand for Broadcom’s data center products.

Earlier this week, Broadcom began shipping its Tomahawk 6 series of high-performance data center switches, which the company says offer double the bandwidth of competing Ethernet switches. That launch adds to optimism about Broadcom’s positioning in cloud infrastructure, where customers continue to upgrade hardware to support AI workloads.

As Broadcom heads into its earnings announcement, investors will watch for confirmation that strong demand for networking equipment and semiconductor components offsets lingering concerns about broader economic headwinds. Any indication that revenue or margins exceeded forecasts could extend the recent rally, while a cautious outlook might prompt a pullback toward last week’s trading levels.

This article first appeared on GuruFocus.