Broadcom's stock price target was raised by Raymond James on Monday as the chipmaker reported strong AI-related revenue growth and provided bullish guidance for the coming fiscal years.
Raymond James increased its price target on Broadcom to $475 from $450, maintaining an Outperform rating. The firm cited Broadcom's third-quarter fiscal 2026 results, which showed a 32% year-over-year revenue increase and gross profit margins of 76%. The company reported $21.7 billion in AI revenue for the October quarter, up 30% quarter-over-quarter.
Broadcom also provided fiscal 2026 guidance, projecting $34.8 billion in revenue with a 66% operating margin. Raymond James further highlighted forecasts of $115 billion in AI revenue for fiscal 2027 and a doubling of AI sales to $230 billion in fiscal 2028.
Other analysts adjusted their targets following the earnings release. Baird set a $630 price target, Barclays maintained a $500 target, Mizuho raised its target to $530, and Bernstein lifted its target to $575. TD Cowen, however, reduced its target to $475 while keeping a Buy rating.
Broadcom's shares, which closed at $369.68 on Monday, slipped roughly 0.5% in after-hours trading as investors weighed the AI revenue projections against the stock's valuation.
