Broadcom (AVGO) Stock Rated Buy by Goldman Sachs on AI and M&A Strength

Broadcom Inc. (NASDAQ:AVGO) ranks among the best stocks to buy for the next 6 months. On July 10, Goldman Sachs began coverage of Broadcom Inc. (NASDAQ:AVGO) with a Buy rating and a $315 price target. The investment bank pointed to Broadcom’s long-term merger and acquisition strategy, which has allowed it to establish a strong franchise position across many infrastructure software areas.

According to Goldman Sachs, Broadcom Inc. (NASDAQ:AVGO) will continue to dominate the enterprise networking silicon market and use this advantage to gain the lion’s share of custom silicon processors for major hyperscalers in the United States.

According to the firm, by 2026, artificial intelligence will account for more than 40% of Broadcom’s operations, while the company’s core infrastructure software division continues to produce consistent, increasing profitability.

Broadcom Inc. (NASDAQ:AVGO) is a multinational semiconductor company specializing in the design, development, and distribution of a wide range of products.

While we acknowledge the potential of AVGO as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

Read More: 10 Best Magic Formula Stocks for 2025 and 10 Best Retirement Stocks to Buy According to Hedge Funds

Disclosure: None.