Broadcom 'Well Positioned' As Analysts Predict Continued AI Revenue Growth

Broadcom Inc AVGO analysts highlighted the company's AI growth and recovery of non-AI segments after the company's quarterly financial results beat expectations on Thursday.

The Broadcom Analysts:

• Cantor Fitzgerald analyst CJ Muse maintained an Overweight rating on Broadcom with a $300 price target.
• JPMorgan analyst Harlan Sur reiterated an Overweight rating with a $250 price target.
• KeyBanc analyst John Vinh maintained an Overweight rating and raised the price target from $260 to $275.
• Benchmark analyst Cody Acree reiterated a Buy rating with a $255 price target.

Read Also: Broadcom Shares Jump 13% In After-Hours Trading On Strong AI Results — Gary Black Says, ‘This Should Help AI Stocks Tomorrow

Cantor Fitzgerald on AVGO: Broadcom reported a strong beat and raise, Muse said in a new investor note.

The analyst said Broadcom announced four new XPU customers, who he believes are ARM, OpenAI, Apple and a fourth that could be Oracle, Microsoft, Amazon, or xAI.

"That will only add to the company's AI revenue outlook and should dramatically increase the company's SAM of $60-$90B into FY27," Muse said.

The analyst said Broadcom's non-AI businesses are showing a recovery.

"Add it all up, and this was a solid report and well above investor expectations."

JPMorgan on AVGO: Broadcom expanded its design win with the two newly announced AI ASIC engagements, Sur said in a new investor note.

The analyst said the quarterly results were solid and revenue was "better than expected."

"This strength is driven by continued strong AI networking demand and the early ramp of Google's TPU v6 3nm ASIC training chip," Sur said. "We believe AI revenues will continue to grow throughout the year."

Sur said the company's design pipeline for AI ASIC is key for future growth. Seven customers are ahead of Sur's expectation for six total customers.

"We see Broadcom as a leader in wireless, data center networking, AI/deep learning ASICs, storage, and infrastructure silicon, hardware, software with broad-based exposure to positive trends in these end markets."

Sur said Broadcom has "unmatched scale" and capabilities in the industry.

KeyBanc on AVGO: Broadcom's results and guidance exceeded expectations, Vinh said in a new investor note.

The additional AI customers could add to the company's revenue, the analyst said.

"We're encouraged by these strong results," Vinh said.

Benchmark on AVGO: New AI engagements helps with long-term visibility on Broadcom's upside, Acree said in a new investor note.

"The company delivered 10% sequential and 77% annual growth in its AI revenue," Acree said.

The analyst said much of Broadcom's AI strength is from the networking business.

"With expected continued growth in its AI business, we believe Broadcom is extremely well positioned to capitalize on what we expect to be improving industry fundamentals over the immediate term."

AVGO Price Action: Broadcom stock is up 4.6% to $187.75 on Friday versus a 52-week trading range of $119.76 to $251.88. Broadcom stock is down 19% year-to-date in 2025 and up over 33% in the last year.

Read Next:

• Broadcom CEO Hock Tan Brushes Off Intel Acquisition Speculation: ‘M&A, No, I’m Too Busy…’

Photo: Shutterstock