Susquehanna Raises Broadcom (AVGO) Price Target, Keeps Buy Rating

On May 29, Susquehanna raised the price target on Broadcom Inc. (NASDAQ:AVGO) from $250 to $280, keeping its Buy rating on the stock.

Christopher Rolland from Susquehanna increased the price target on AVGO after reviewing the company’s custom silicon AI chips prospects, fueled by the growing AI infrastructure market. Rolland sees the continuation of AI networking momentum and solid core semiconductor business to be key for Broadcom.

Susquehanna Raises PT on Broadcom (AVGO) Stock, Keeps Buy Rating 

A technician working at a magnified microscope, developing a new integrated circuit.

The analyst expects Broadcom to deliver earnings in line with or slightly better than expectations, driven by ongoing AI momentum and further optimization of its VMware portfolio. Wall Street expects the company to post Q2 2025 earnings to grow by 43% year-over-year to $1.57 per share, while revenue is estimated to rise about 16% to $14.65 billion. The company is scheduled to report its quarterly results on June 5, 2025.

The demand environment remains strong, especially fueled by hyperscalers such as Meta increasing their AI investments. Rolland mentioned that this bodes well for Broadcom’s networking and custom silicon segments. Moreover, Broadcom’s competitive positioning in DSPs and PCIe retimers, along with its robust ASIC momentum, supports a positive outlook. The analyst believes that the transition of VMware customers to subscriptions will provide a sustained boost, supported by Broadcom’s integration strategy.

Broadcom Inc. (NASDAQ:AVGO) is a global technology firm that designs and manufactures various semiconductors, enterprise software, and security solutions. The company has two segments including semiconductor solutions and infrastructure software.

While we acknowledge the potential of AVGO to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than AVGO and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure. None.