Broadcom’s AI semiconductor revenue outlook revised upward by 30%-40% as analysts raise earnings forecasts for fiscal 2027 and 2028.
Wells Fargo increased Broadcom’s price target to $545 from $430, citing a 22% and 19% rise in fiscal 2027 and 2028 revenue estimates, respectively. The firm also boosted EPS forecasts by 28% and 23% above consensus, driven by stronger-than-expected AI semiconductor demand.
Citi followed with a target increase to $500 from $475, maintaining a Buy rating ahead of earnings. Analysts highlighted improving earnings visibility and April quarter results likely exceeding expectations due to robust AI infrastructure growth.
Broadcom is in talks with private credit firms, including Apollo Global Management and Blackstone, for a potential $35B financing package to support AI-focused semiconductor expansion, which could rank among the largest private credit deals to date.