Although Broadcom Inc. (NASDAQ: AVGO) stock fell by 5% over the past 12 days through September 14, driven by the company’s failure to meet Wall Street’s revenue expectations for its fourth quarter (Q4) of fiscal 2026, Vijay Rakesh, an analyst at Mizuho Securities, has predicted a rally towards a new all-time high (ATH) over the next 12 months.
Rakesh reiterated a ‘Buy’ rating for Broadcom stock, according to a note sent to clients on September 12. He also maintained the firm’s 12-month price target at $530.
With AVGO stock trading at $350.69 during Monday’s pre-market session, Mizuho Securities expects a potential 51.13% increase. Despite Broadcom reporting a fiscal fourth-quarter revenue outlook of $34.8 billion, which was below Wall Street’s consensus estimate of roughly $35.03 billion, Rakesh anticipates a fresh rally towards a new ATH over the next 12 months, primarily fueled by the company’s accelerating Artificial Intelligence (AI) semiconductor trajectory.
Furthermore, Broadcom has secured multi-gigawatt XPU (X Processing Unit) deployment commitments from several tech giants including Anthropic, OpenAI, Alphabet (NASDAQ: GOOGL), and Meta Platforms, Inc. (NASDAQ: META). Specifically, the company’s management has secured the supply commitments to deliver $115 billion in AI revenue in fiscal year 2027 and $230 billion in fiscal year 2028.
Is Broadcom a good stock to buy?
At the time of writing, 30 Wall Street analysts surveyed by TipRanks over the past 3 months have set an average 12-month price target for Broadcom stock at $519.21.
The highest 12-month price target for AVGO from these surveyed experts is $630, while the lowest was $350. This ‘Strong Buy’ average rating from these analysts is based on an expected AI boom continuation.
AVGP price performance
Year-to-date (YTD) AVGO price has added approximately 4.59%. As such, Broadcom has a reported market capitalization of about $1.7 trillion at the time of publication.
Consequently, Wall Street analysts view AVGO’s 19% price correction from its all-time high of $495 as a buying opportunity.
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