While it hasn’t seen growth as rapid as some other semiconductor giants – Nvidia (NASDAQ: NVDA) being the first to come to mind – Broadcom (NASDAQ: AVGO) has, nonetheless, seen massive success in 2024.
To be specific, AVGO shares have surged 67.37% since January 2 – the first session of the year – and stand at $181.51 at press time on October 21.
Broadcom stock’s performance in the opening hour of Monday demonstrates the persistent upward momentum as it witnessed a 1.01% rise.
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The semiconductor giant has been helped along in its climb by its involvement in ongoing artificial intelligence (AI) intelligence and by a string of other notable business developments.
The company is, for example, reportedly working to settle its long-standing dispute with AT&T over Broadcom’s alleged threats to withhold licensed software in the wake of its purchase of VMware.
Furthermore, the VMWare saga is unfolding positively in multiple ways, per the information available on October 21.
For example, Broadcom offered an upward revision for 2025 in the wake of a $5 billion bond deal – designed to alleviate some of the lingering effects of the November 2023 acquisition – made with JPMorgan (NYSE: JPM), TD Bank, and Truist Securities.
Wall Street experts set new AVGO stock price targets
Evidently, analysts have taken note of the many developments and the broader stock market strength, as seen in their recent readjustments of AVGO stock’s 12-month price targets.
On October 8, both Cantor Fitzgerald and Truist increased their price targets while maintaining the ‘buy’ ratings for Broadcom. Though the former offered a hefty revision from $200 to $225, the latter changed the forecast by a relatively trivial $1 – from $204 to $205.
Just two days later, DBS’ Fang Boon Foo proved to be of the exact same opinion as his peers at Truist. He maintained the ‘buy’ rating for AVGO stock while bumping the price target up to $204 to $205.
Regarding the recommendation, Mizuho Securities offered the same recommendation for Broadcom shares as the others while increasing its 12-month forecast from $190 to $220.
Finally, not straying far from the pack, Bank of America (NYSE: BAC) positively assessed both the VMWare-related developments and involvement with AI when maintaining the AVGO stock ‘buy’ rating and upgrading the price target to $215.
Wall Street consensus 12-month forecast and recommendation for Broadcom stock
The recently assigned 12-month price targets are reflective of a broad Wall Street consensus about Broadcom stock.
Indeed, data retrieved on October 21 from TipRanks reveals AVGO is considered a ‘strong buy’ with 23 ‘buy’ recommendations, 3 ‘neutral’ analysts, and no experts regarding selling as the right call. Overall, Broadcom shares are expected to climb another 11.65% in the coming 52 weeks to $199.80.
The aggregate data reveals that October ratings were somewhat measured compared to the Street high of $240 – provided in early September by Rosenblatt Securities – but well above the lowest 12-month target of $170, offered by UBS a month and a half ago.
Interestingly, the $170 target, despite constituting a downside from the press time price of $181.51, was accompanied by a ‘buy’ rating.
