Broadcom (AVGO) has been one of the most rewarding AI stocks in recent months, but its latest earnings report left investors wanting more.
The semiconductor and software giant dished out another superb quarterly showing in Q2, extending its impressive streak of posting beats across both lines
Sales jumped sharply year-over-year, while profits continued to grow on the back of surging demand for AI infrastructure. Despite the strong quarterly results, investors were left disappointed, particularly those expecting the kind of upside many analysts had forecast. Additionally, its long-term AI outlook essentially reiterated previous forecasts, instead of introducing a new catalyst.
Nevertheless, according to TheFly, five-star Jefferies analyst Blayne Curtis argues that Broadcom’s growth story remains intact, raising his price target and urging investors to remain patient despite near-term challenges. Wall Street price targets for Broadcom stock – BNP Paribas raised Broadcom’s price target to $640 from $600. – JPMorgan raised Broadcom’s price target to $580 from $500. – KeyBanc raised Broadcom’s price target to $575 from $500. – Bernstein raised Broadcom’s price target to $550 from $525. – Mizuho raised Broadcom’s price target to $530 from $480. – Goldman Sachs raised Broadcom’s price target to $525 from $500. Broadcom’s AI chip role Broadcom’s AI chip business is centered around custom work for hyperscalers.