Key Stats for Broadcom Stock
- 2025 Price Change for Broadcom stock: 50%
- $AVGO Share Price as of Dec. 31: $352
- 52-Week High: $415
- $AVGO Stock Price Target: $457
Now Live: Discover how much upside your favorite stocks could have using TIKR’s new Valuation Model (It’s free)>>>
What Happened?
Broadcom (AVGO) stock surged 50% in 2025, outpacing most Magnificent Seven stocks, including Nvidia, Apple, and Amazon. The rally was driven by explosive growth in AI semiconductors and strong execution across the business.
Last month, Broadcom delivered blowout fourth-quarter results with revenue up 28% year-over-year to $18 billion. The company’s AI semiconductor revenue jumped 74% to $6.5 billion, and management expects AI sales to double in the current quarter to $8.2 billion.
The company now has a $73 billion AI backlog to be delivered over the next 18 months, including $21 billion in orders from Anthropic. This backlog represents nearly half of Broadcom’s total order book and gives the company strong revenue visibility heading into 2026.
Beyond the numbers, Broadcom has become the go-to partner for tech giants building custom AI chips. The company works with Google on TPUs,
Meta on custom accelerators, and recently announced a partnership with OpenAI. These custom chips, called XPUs, offer better performance for specific AI workloads compared to general-purpose GPUs.
See analysts’ growth forecasts and price targets for AVGO stock (It’s free!) >>>
What the Market Is Telling Us About AVGO Stock
Despite the massive run-up, AVGO stock dropped 11% after earnings as investors worried about near-term margin pressure from system sales and took profits following the initial 75% gain. The sell-off reflects broader AI sector volatility rather than fundamental concerns about Broadcom’s business.
Several analysts actually raised their price targets after the report, with Bernstein noting they “aren’t sure what else one could desire” from the company’s AI performance. The stock now trades at about 30 times fiscal 2027 earnings estimates, which is a premium valuation but reflects Broadcom’s dominant position in AI infrastructure.
The key takeaway: Broadcom has successfully transformed from a diversified semiconductor company into an AI powerhouse while maintaining strength across its other businesses. The company’s AI revenue has grown from $12.2 billion in fiscal 2024 to an expected $30+ billion in fiscal 2026.
For long-term investors, the recent pullback may offer a better entry point into a company that’s carved out an invaluable role in AI data centers.
Estimate a company’s fair value instantly (Free with TIKR) >>>
How Much Upside Does AVGO Stock Have From Here?
With TIKR’s new Valuation Model tool, you can estimate a stock’s potential share price in under a minute.
All it takes is three simple inputs:
- Revenue Growth
- Operating Margins
- Exit P/E Multiple
If you’re not sure what to enter, TIKR automatically fills in each input using analysts’ consensus estimates, giving you a quick, reliable starting point.
From there, TIKR calculates the potential share price and total returns under Bull, Base, and Bear scenarios so you can quickly see whether a stock looks undervalued or overvalued.
See a stock’s true value in under 60 seconds (Free with TIKR) >>>
Looking for New Opportunities?
- See what stocks billionaire investors are buying so you can follow the smart money.
- Analyze stocks in as little as 5 minutes with TIKR’s all-in-one, easy-to-use platform.
- The more rocks you overturn… the more opportunities you’ll uncover. Search 100K+ global stocks, global top investor holdings, and more with TIKR.
Disclaimer:
Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any stocks mentioned. Thank you for reading, and happy investing!
