Broadcom Ranks 11th in Trading Volume as AI Surge Drives $4.4B Revenue and Analysts Hike Price Target Despite Valuation Concerns

On August 25, 2025, Broadcom (AVGO) traded with a 0.08% gain, its $4.47 billion trading volume ranking 11th in the market. The stock’s performance is closely tied to its AI-driven growth trajectory, with key investors and analysts highlighting its pivotal role in the AI hardware ecosystem. Broadcom’s AI semiconductor revenue surged 46% year-over-year in Q2 2025, reaching $4.4 billion, driven by demand from hyperscalers for custom accelerators and networking solutions. The company is set to report Q3 results on September 4, with management guiding for $5.1 billion in AI revenue—a 60% annual increase—reflecting strong adoption of its Tomahawk Ultra switches and custom silicon in large-scale AI clusters.

Analysts at UBS raised AVGO’s price target to $345 from $290, citing robust demand for Google’s TPUv6p chips, which rely on Broadcom’s technology. The firm anticipates a 60% year-over-year AI revenue jump for 2025, fueled by hyperscaler expansion and Ethernet architecture deployments. Additionally, Broadcom’s Tomahawk 6 switch enables hyperscalers to build 100,000+ accelerator clusters with reduced latency and power consumption, positioning the company at the forefront of AI infrastructure. However, valuation concerns persist, with a P/S ratio of 24.3 and a P/E ratio of 108.4, significantly higher than peers and historical averages, raising questions about near-term affordability for investors.

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