Broadcom Inc. (NASDAQ:AVGO) stock rose Wednesday as strong artificial intelligence infrastructure spending continued to support semiconductor stocks.
Fresh signs of robust AI demand from CoreWeave Inc. (NASDAQ:CRWV) and Super Micro Computer Inc. (NASDAQ:SMCI) provided a positive read-through for Broadcom and other AI chip suppliers.
Broadcom shares gained about 1% as technology stocks led a broader risk-on session. The Nasdaq Composite rose 0.73%, while the S&P 500 gained 0.17%.
Technical Analysis
Broadcom remains in a long-term uptrend. The stock trades 5.7% above its 20-day simple moving average of $396.35 and 13.6% above its 200-day SMA of $368.74.
The 20-day SMA remains above the 50-day SMA. Broadcom also continues to benefit from a “golden cross” formed in April, when its 50-day SMA moved above the 200-day SMA.
Momentum also remains positive. The moving average convergence divergence indicator is above its signal line, while the histogram is positive. That suggests buying momentum is improving.
Traders may watch $429.50 as near-term resistance. Support sits around $370, close to the stock’s 200-day moving average.
Broadcom’s 52-week high is $495, reached in June. Its 52-week low is $281.87, set in August 2025.
Broadcom’s AI Business In Focus
Broadcom is one of the world’s largest semiconductor companies. It also operates a major infrastructure software business.
Its semiconductor operations serve computing and networking markets, including custom AI accelerators. Broadcom is primarily a fabless chip designer, although it manufactures some products in-house.
Its software portfolio includes virtualization, infrastructure and security products for large enterprises, financial institutions and governments.
Broadcom has expanded through acquisitions over the years. Its portfolio includes assets from Avago Technologies, VMware, Brocade, CA Technologies and Symantec.
That mix gives investors exposure to both the AI semiconductor boom and infrastructure software.
Earnings And Analyst Outlook
Broadcom is scheduled to report earnings Sept. 2.
Analysts expect earnings of $3.16 per share, compared with $1.69 a year earlier. Revenue is expected to reach $29.44 billion, up from $15.95 billion.
The stock trades at a price-to-earnings ratio of about 69.2, reflecting a premium valuation.
Broadcom carries a Buy consensus rating with an average price forecast of $513.68. Recent analyst moves include:
Erste Group downgraded Broadcom to Hold on July 7. UBS maintained a Buy rating but lowered its price forecast to $485 on June 4. Bank of America Securities maintained a Buy rating and raised its price forecast to $530 on June 4.
Benzinga Edge Rankings
Broadcom’s Benzinga Edge Rankings show strength in momentum and quality.
- Momentum: 75.87
- Quality: 95.88
- Value: 5.76
- Growth: 29.84
The rankings point to strong price momentum and business quality. However, the weaker value score highlights Broadcom’s premium valuation.
Top ETF Exposure
Broadcom has significant weightings in several technology and semiconductor exchange-traded funds.
- iShares Expanded Tech Sector ETF (NYSE:IGM): 7.71%
- Invesco PHLX Semiconductor ETF (NASDAQ:SOXQ): 7.88%
- Pacer Data and Digital Revolution ETF (NYSE:TRFK): 7.75%
Broadcom’s large weighting means significant inflows or outflows from these ETFs can add to buying or selling pressure on the stock.
AVGO Price Action
AVGO Stock Price Activity: Broadcom shares were up 1.07% at $420.54 at the time of publication on Wednesday, according to Benzinga Pro data.
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