Broadcom Price Target Boosted to $250 at Evercore ISI

Broadcom Inc. (AVGO) has seen a significant boost in its price target, with Evercore ISI raising it to $250 from $201. This revision reflects the firm's bullish outlook on the company's artificial intelligence (AI) growth potential. Broadcom's AI revenue surged to $12.2 billion in fiscal 2024, more than tripling from the previous year. The firm anticipates AI sales to reach $30 billion by the end of 2027, driven by its AI XPUs and Ethernet networking portfolio.

Evercore ISI's price target increase acknowledges Broadcom's strong AI pipeline and growing demand for its AI-focused products. The firm expects the company's non-AI semiconductor business to recover, further bolstering its overall performance. This price target revision is higher than the current average analyst price target of $225.43, as per Yahoo Finance data. Piper Sandler recently raised its price target to $250, aligning with Evercore ISI's new target. However, other analysts like Citi and Baird have more conservative targets of $220 and $210, respectively.



Broadcom's CEO, Hock Tan, expects significant AI opportunities over the next three years, with accelerators and networking sales in fiscal 2027 ranging between $60 billion and $90 billion. This positive outlook, coupled with strong earnings and guidance, has contributed to Evercore ISI's increased price target.



In conclusion, Broadcom's strong AI pipeline and growing demand for its AI-focused products have led Evercore ISI to raise its price target to $250. The firm's bullish outlook on the company's prospects is supported by robust earnings, positive guidance, and the potential for continued growth in the high-demand AI sector. Investors should monitor Broadcom's progress and consider the varying price targets from different analysts when evaluating the company's future performance.