Overview
- Wells Fargo raised Broadcom to Overweight from Equal-weight, lifted its price target to $430, and boosted 2026 and 2027 revenue estimates to $100.3 billion and $143.8 billion on stronger AI demand.
- The bank now models AI semiconductor revenue of $52.6 billion in 2026 and $93.4 billion in 2027, citing expanding hyperscale programs in custom compute and networking.
- Street sentiment remains broadly positive with a Strong Buy consensus and a mean price target near $455, as Mizuho moved to $480 and Oppenheimer and Barclays reiterated bullish views.
- RBC initiated at Sector Perform with a $370 target, flagging valuation and margin questions as well as uncertainty around Anthropic sustainability and OpenAI contribution timing.
- Recent Q4 results showed revenue up 28% to $18.02 billion and AI semiconductor sales up 74%, with guidance pointing to $8.2 billion in AI semiconductor revenue for Q1 FY26 and a contracted AI backlog above $73 billion, even as shares pulled back on China software headlines, a debt offering, and insider selling including a 30,000‑share sale by the chief legal officer.