UBS Lifts Price Target on Broadcom Inc. (AVGO) Despite Selloff

Broadcom Inc. (NASDAQ:AVGO) is among the 14 Best S&P 500 Stocks to Buy Now. On December 15, UBS analyst Timothy Arcuri raised the stock’s price target to $475 from $472 while maintaining a Buy rating.

The stock is down 13% over the past week amid a major selloff following its fourth-quarter 2025 earnings call on December 11, during which management noted that increased AI sales were pressuring margins. Moreover, investors were left disappointed that the company did not share its AI revenue forecast for the coming year.

According to TipRanks, the UBS analyst told investors in a research note that discussions with management suggest the plunge is an overreaction, and that comments on AI semiconductor revenue reflect anticipation of a strong showing in fiscal 2026.

Shares have slumped despite Broadcom Inc. (NASDAQ:AVGO) reporting strong results for the quarter and beating estimates for both revenue and profit. The chipmaker posted a revenue of $18.02 billion in Q4, up 28% year-over-year and above expectations of $17.49 billion. Diluted EPS stood at $1.95, comfortably surpassing estimates of $1.87 per share.

As of the close of business on December 17, Wall Street analysts have a Strong Buy rating on the stock with a one-year average share price target of $462.30, representing an upside of 36%.

Broadcom Inc. (NASDAQ:AVGO) is a leading developer, manufacturer, and supplier of semiconductor and infrastructure software products. The stock has returned 42% year-to-date.

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