Analysts target $630 for AVGO as custom ASICs and VMware integration drive growth amid semiconductor outperformance.
Broadcom’s stock has lagged peers with a 19% year-to-date gain, trailing the iShares Semiconductor ETF’s 71% surge. Analysts see $630 per share as achievable, reflecting 52% upside, driven by demand for custom AI inference chips and agentic AI applications.
The company’s dominance in silicon design and VMware’s integration position it to justify its 37.17x forward P/E multiple over the next three to four years. While the S&P 500 has returned less than half of Broadcom’s gains, AI infrastructure spending and data center scaling could accelerate growth.
Shares have traded sideways since April, contrasting with broader semiconductor sector momentum. Investors may view Broadcom as a relative catch-up opportunity amid elevated valuations in the sector.