Broadcom (AVGO) Price Target Raised as Google TPU Demand Surges

Broadcom Inc. (NASDAQ:AVGO) is one of the AI Stocks in Focus This Week. On December 1, BofA analyst Vivek Arya raised the firm’s price target on the stock to $460 from $400 and kept a “Buy” rating on the shares. The firm is optimistic on the stock driven by the company’s expanding presence in Google’s TPU (Tensor Processing Unit) ecosystem.

Discussing the successful launch of Gemini 3 trained 100% on the TPU as well as the potential external rental of TPUs through Google Cloud, analysts view rising TPU leverage as a positive for key design partner Broadcom.

Analysts led by Vivek Arya noted that Broadcom’s current average selling prices (ASPs) of about $5,000–6,000 and roughly 2 million expected units in 2025 could climb significantly as the next generation ramps.

These figures may increase to around $12,000–15,000 per unit and more than 3 million units in 2026, with upside to 3.6-3.8 million “if demand continues to expand.”

The firm has modestly trimmed gross margin expectations based on a higher compute and ASIC mix but overall earnings are largely unchanged.

Broadcom is a technology company uniquely positioned in the AI revolution owing to its custom chip offerings and networking assets.

While we acknowledge the risk and potential of AVGO as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than AVGO and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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