11 Most Promising Future Stocks According to Hedge Funds

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7. Broadcom Inc. (NASDAQ:AVGO)

Number of Hedge Fund Holders: 161

Broadcom Inc. (NASDAQ:AVGO) is a leading multinational technology company that specializes in semiconductor and infrastructure software products that serve broadband, networking, data centers, storage, and industrial markets. It also has a software portfolio that comprises cybersecurity, enterprise automation, and mainframe operations. The company ranks seventh on our list of the most promising future stocks to invest in now due to its focus on innovation, as its products are used by leading cloud providers, OEMs, and telecom firms across the globe.

One of the company’s most substantial growth opportunities comes from its application-specific integrated circuits (ASICs) used in AI data center infrastructure. Broadcom Inc. (NASDAQ:AVGO) estimates the serviceable addressable market (SAM) for its AI chips to rise to between $60 billion and $90 billion over three fiscal years. The company has also estimated substantial growth in its AI-related revenue, projecting a serviceable addressable market of $60–90 billion by fiscal 2027. Broadcom Inc. (NASDAQ:AVGO) underwent a 77% year-over-year growth in its AI revenue in fiscal Q1 2025, reaching $4.1 billion.

On April 30, Seaport Research analyst Jay Goldberg initiated coverage of Broadcom Inc. (NASDAQ:AVGO) with a Buy rating and set a $230 price target. The analyst argued that the company is one of the leading beneficiaries of the present AI spending boom. However, its prospects are misunderstood by the Street and thus not priced into the stock. Barclays analyst Thomas O’Malley also maintained a Buy rating on the company on March 22 and set a price target of $215.00.

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