Is Broadcom (AVGO) One of the Best NASDAQ Stocks to Buy and Hold for 3 Years?

Broadcom Inc. (NASDAQ:AVGO) is one of the best NASDAQ stocks to buy and hold for 3 years. Broadcom Inc. (NASDAQ:AVGO) received a rating update from Benchmark on June 4. The firm lifted the price target on the stock to $545 from $485 and maintained a Buy rating on the shares, stating that shares sold off by about 13% after-hours despite record Q2 results, a 4c EPS beat, and Q3 revenue guidance $1.15B above consensus. The firm blames this on the market “measuring the report against an elevated AI semiconductor bar rather than published estimates”.

Broadcom (AVGO) - Among Billionaire Ken Fisher’s Top 11 Dividend Stock Picks

According to Benchmark, a further contributor to the stock’s weakness was management’s public acknowledgment that Google, which is Broadcom Inc.’s (NASDAQ:AVGO) largest TPU customer, is expected to diversify its TPU supplier base as its own AI compute consumption expands. However, despite that, the firm also believes that this supplier-diversification to MediaTek issue has become “widely expected and understood by industry followers”.

Broadcom Inc. (NASDAQ:AVGO) is a leading multinational technology company specializing in semiconductor and infrastructure software products. Its semiconductor and semiconductor-based solutions serve markets across networking connectivity, broadband, servers and storage systems, wireless device connectivity, and industrial. The company’s infrastructure software solutions serve markets including cybersecurity, private cloud, mainframe software, enterprise software, and Fibre Channel storage area network management.

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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