Broadcom Inc. (NASDAQ:AVGO) stock remained in focus Friday as investors continued to favor companies tied to the artificial intelligence infrastructure buildout, while a firmer broader market backdrop helped support semiconductor stocks near record levels.

The stock continued to benefit from AI-driven momentum, with investors buying pullbacks despite the stock’s roughly 76% gain over the past year.

Analysts Remain Bullish On AI Opportunity

Broadcom also continues drawing support from bullish AI infrastructure commentary on Wall Street. 

Catalyst Funds CIO David Miller told CNBC that Broadcom remains one of the strongest AI infrastructure plays despite its premium valuation, citing multiple growth drivers across custom AI chips, networking infrastructure and enterprise software.

Miller said the company benefits from supplying hyperscalers with custom AI semiconductors while also generating strong growth from networking products and cloud software businesses, positioning it to capitalize on expanding AI infrastructure demand.

Meanwhile, Aletheia Capital reiterated its Buy rating on Broadcom and raised its price forecast to $525 from $500.

The firm said investors should focus less on the company’s upcoming fiscal second-quarter results and more on management’s commentary regarding Alphabet Inc. (NASDAQ:GOOGL) Google’s tensor processing unit, or TPU, roadmap.

According to Aletheia, Google appears to have adjusted its inference TPU strategy, with TPUv8i expected to remain in use through 2027 and 2028. The firm added that rising inference demand and increasing networking content per deployment continue to support Broadcom’s revenue and earnings growth outlook through fiscal 2027.

Technical Analysis

Broadcom is in a clear longer-term uptrend: the stock is trading 2.7% above its 20-day SMA ($421.44) and 23.1% above its 200-day SMA ($351.63), which keeps the bigger-picture trend pointed up. The 20-day SMA is also above the 50-day SMA, and the golden cross that formed in April (50-day moving above the 200-day) reinforces that the intermediate trend remains constructive.

Momentum is where the chart gets more nuanced: MACD is below its signal line and the histogram is negative, which suggests upside pressure is cooling versus the prior upswing. In plain terms, MACD compares shorter- and longer-term trend momentum, and being below the signal line often means buyers may need a fresh push to keep the rally accelerating.

From a levels standpoint, the stock is pressing into an area just below its 52-week high ($442.36), so traders tend to watch for either a clean breakout or a rejection that triggers profit-taking. A pullback that holds above the 20-day/50-day trend zone would typically be read as consolidation within an uptrend rather than a full trend break.

  • Key Resistance: $437.50 — a nearby ceiling near the recent high zone where rebounds can stall
  • Key Support: $405.00 — a nearby floor that sits below the 20-day SMA area and can act as a “line in the sand” on a deeper pullback

Earnings & Analyst Outlook

The countdown is on: Broadcom is set to report earnings on June 3, 2026 (confirmed).

  • EPS Estimate: $2.32 (Up from $1.58 YoY)
  • Revenue Estimate: $22.08 Billion (Up from $15.00 Billion YoY)
  • Valuation: P/E of 83.2x (Indicates premium valuation relative to peers)

Analyst Consensus & Recent Actions: The stock carries a Buy rating with an average price forecast of $483.90. Recent analyst moves include:

  • Susquehanna: Positive (Raises forecast to $490.00) (May 28)
  • UBS: Buy (Raises forecast to $490.00) (May 18)
  • TD Cowen: Buy (Raises forecast to $500.00) (May 15)

Price Action

AVGO Stock Price Activity: Broadcom shares were up 1.44% at $432.71 during premarket trading on Friday, according to Benzinga Pro data.

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