AVGO Stock Recent News

Wall Street analysts are projecting that American semiconductor company Broadcom (NASDAQ: AVGO) will trade just below $300 over the next 12 months, as the firm continues to capitalize on growing demand in the artificial intelligence (AI) sector.

Key Points in This Article: For Broadcom (AVGO) to achieve a $2 trillion market cap by 2026, it requires a 55% stock price surge, driven by $20 billion to $30 billion in AI revenue and earnings of $8 to $10 per share.

Broadcom Inc. (AVGO) has been one of the stocks most watched by Zacks.com users lately. So, it is worth exploring what lies ahead for the stock.

Broadcom's chip unit unveiled on Tuesday a new networking processor that aims to speed artificial intelligence data crunching, which requires stringing together hundreds of chips that work together.

Ultra-low Latency, 64B Line-rate Switching, Lossless Fabric and In-Network Collectives Define a New Level of Performance for Ethernet in HPC and AI Scale-up Ultra-low Latency, 64B Line-rate Switching, Lossless Fabric and In-Network Collectives Define a New Level of Performance for Ethernet in HPC and AI Scale-up

Regardless of the recent stock market volatility, the explosive demand for semiconductors and microchips that has grabbed news headlines and led the market higher over the past few years remains.

Dividend stocks can make great long-term investments. They've outperformed nonpayers by more than 2-to-1 over the past 50 years, with a 9.2% average annual return compared with 4.3%, according to data from Hartford Funds and Ned Davis Research.

So far in 2025, Netflix (NFLX 1.28%), Oracle (ORCL -0.56%), and Broadcom (AVGO 0.45%) have skyrocketed 39.7%, 38.4%, and 18.4%, respectively, compared to a 6.4% gain in the S&P 500 (^GSPC 0.14%).

The tech sector has historically been a hotbed for monster growth stocks, and that continues to be the case as artificial intelligence (AI) takes over the global economy. It's no surprise that some of the best-performing stocks in recent years have been leading chip companies.

Broadcom remains a Buy as AI spending by hyperscalers drives robust growth and structural demand for its semiconductor and software solutions. AVGO's diversification, especially through the VMware acquisition, boosts profitability and resilience against potential downturns in AI spending. Strong shareholder returns are supported by healthy cash flows, ongoing dividends, share repurchases, and prudent capital management focused on debt reduction and future acquisitions.