Overview
- UBS’s Timothy Arcuri lifted Broadcom’s price target to $475 and kept a Buy rating, telling clients the selloff looks like an overreaction following discussions with management.
- Broadcom shares fell roughly 11%–13% in the days after the Dec. 11 report as investors focused on margin pressure from AI hardware and reduced backlog visibility.
- The company posted fiscal Q4 revenue of $18.02 billion, up 28% year over year, with EPS of $1.95, both above expectations, and guided current-quarter revenue to about $19.1 billion.
- Management forecast about a 100‑basis‑point sequential gross‑margin decline in fiscal Q1 as the AI product mix increases.
- Broadcom reported a $73 billion AI backlog to be fulfilled over six quarters and withheld full‑year guidance, while aggregate analyst data showed a Strong Buy consensus with an average target near $462.