DA Davidson Upgrades Broadcom (NASDAQ:AVGO) to “Buy”

Broadcom (NASDAQ:AVGO) was upgraded by equities researchers at DA Davidson from a “neutral” rating to a “buy” rating in a research note issued to investors on Tuesday, Briefing.com reports. The firm presently has a $400.00 price objective on the semiconductor manufacturer’s stock. DA Davidson‘s target price suggests a potential upside of 21.52% from the stock’s previous close.

AVGO has been the topic of several other research reports. UBS Group downgraded shares of Broadcom from a “buy” rating to a “hold” rating in a research note on Thursday, September 3rd. President Capital upped their target price on Broadcom from $520.00 to $546.00 and gave the company a “buy” rating in a research report on Thursday, September 3rd. Sanford C. Bernstein restated a “buy” rating on shares of Broadcom in a research report on Monday, September 21st. Truist Financial decreased their price objective on Broadcom from $550.00 to $520.00 and set a “buy” rating for the company in a report on Thursday, September 3rd. Finally, BNP Paribas Exane lifted their price target on Broadcom from $675.00 to $715.00 and gave the company an “outperform” rating in a research report on Friday, September 4th. One equities research analyst has rated the stock with a Strong Buy rating, thirty-nine have given a Buy rating and two have issued a Hold rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $530.52.

Broadcom Trading Up 2.3%

AVGO opened at $329.17 on Tuesday. The company has a debt-to-equity ratio of 0.57, a current ratio of 2.50 and a quick ratio of 2.29. Broadcom has a one year low of $289.96 and a one year high of $495.00. The firm has a market capitalization of $1.57 trillion, a price-to-earnings ratio of 42.04 and a beta of 1.46. The business has a 50 day simple moving average of $356.76 and a two-hundred day simple moving average of $367.07.

Broadcom (NASDAQ:AVGO) last announced its quarterly earnings data on Wednesday, September 2nd. The semiconductor manufacturer reported $3.32 earnings per share for the quarter, topping analysts’ consensus estimates of $3.22 by $0.10. Broadcom had a net margin of 42.94% and a return on equity of 48.33%. The business had revenue of $29.59 billion for the quarter, compared to analysts’ expectations of $29.24 billion. During the same quarter in the prior year, the company earned $1.69 earnings per share. The business’s revenue was up 85.5% compared to the same quarter last year. Analysts predict that Broadcom will post 10.37 EPS for the current year.

Institutional Investors Weigh In On Broadcom

Hedge funds and other institutional investors have recently modified their holdings of the company. SYM FINANCIAL Corp increased its stake in Broadcom by 1.4% in the 3rd quarter. SYM FINANCIAL Corp now owns 12,224 shares of the semiconductor manufacturer’s stock valued at $4,293,000 after buying an additional 173 shares during the period. Oakworth Capital Inc. increased its position in shares of Broadcom by 0.7% in the third quarter. Oakworth Capital Inc. now owns 17,991 shares of the semiconductor manufacturer’s stock worth $6,318,000 after acquiring an additional 130 shares in the last quarter. Independence Bank of Kentucky lifted its holdings in Broadcom by 11.6% in the 3rd quarter. Independence Bank of Kentucky now owns 23,693 shares of the semiconductor manufacturer’s stock worth $8,321,000 after buying an additional 2,467 shares in the last quarter. Ashton Thomas Securities LLC increased its holdings in Broadcom by 7.6% in the third quarter. Ashton Thomas Securities LLC now owns 22,191 shares of the semiconductor manufacturer’s stock valued at $7,793,000 after buying an additional 1,561 shares during the last quarter. Finally, MBE Wealth Management LLC lifted its stake in Broadcom by 19.0% in the third quarter. MBE Wealth Management LLC now owns 1,540 shares of the semiconductor manufacturer’s stock valued at $541,000 after buying an additional 246 shares during the last quarter. 76.43% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: A coalition of banks and Blackstone is reportedly arranging a $63 billion financing vehicle to purchase AI-computing infrastructure from Broadcom and lease it to Anthropic. The proposed transaction would provide a potentially significant source of demand and revenue visibility. Banks, Blackstone Form $63 Billion Financing Vehicle for Broadcom AI Tech
• Positive Sentiment: Anthropic’s IPO filing disclosed approximately $224.5 billion of non-cancelable compute commitments with Amazon and Alphabet. The scale of those commitments supports continued spending on custom AI accelerators and networking equipment supplied or co-designed by Broadcom. Anthropic’s IPO Filing Reveals a Massive Opportunity for AI Infrastructure Giants
• Positive Sentiment: Reports highlight unusually heavy call-option activity and argue that Broadcom’s custom AI chips are gaining popularity among major AI companies. Bullish commentary also points to strong projected growth in custom silicon and networking through 2030. Huge, unusual call option activity in Broadcom shows investors bullish on AVGO stock
• Neutral Sentiment: Broadcom’s stock is being described as potentially attractive after reaching a six-month low, although investors remain focused on whether future AI growth is already reflected in its premium valuation. Broadcom Is At a 6-Month Low – Is AVGO Stock Too Cheap?
• Negative Sentiment: Alphabet is reportedly diversifying its TPU suppliers to include MediaTek, raising concerns that Broadcom could lose some custom-chip business. Growing demand from Anthropic and OpenAI may offset that risk, but supplier diversification remains an important competitive threat. Broadcom’s AI Chip Business Is Booming, But Alphabet’s Strategy Highlights 2 Key Risks
• Negative Sentiment: Concerns that debt-market funding for AI data centers is tightening could slow infrastructure construction and customer spending. Separately, Erste Group Bank cut its earnings estimates for Broadcom, adding near-term pressure to expectations.

Broadcom Company Profile

Broadcom Inc (NASDAQ: AVGO) is a global technology company that designs, develops and supplies semiconductor and infrastructure software products. Its semiconductor solutions support data center, networking, broadband, wireless communications, storage, industrial and other electronic applications.

The company’s semiconductor portfolio includes networking and switching components, custom accelerators, connectivity and wireless devices, broadband equipment, optical products, storage controllers and related infrastructure technologies.