Broadcom Inc. sees strong AI revenue forecasts and institutional investment

Broadcom Inc. is seeing significant institutional interest and positive analyst outlooks driven by its artificial intelligence semiconductor trajectory. Despite a recent 5% stock price decline following a fourth-quarter revenue outlook that fell slightly below Wall Street consensus, Mizuho Securities has maintained a ‘Buy’ rating with a 12-month price target of $530.

Broadcom has secured major supply commitments for XPU deployment from several technology leaders, including OpenAI, Anthropic, Alphabet, and Meta Platforms. The company projects substantial AI-related revenue, forecasting approximately $115 billion for fiscal year 2027 and $230 billion for fiscal year 2028.

Institutional activity remains high, with various funds increasing their positions. Odyssean LLC raised its holdings by 72.9% during the second quarter, and TD Waterhouse Canada Inc. increased its stake by 3.2% during the same period. Other major investors, including Norges Bank and Deutsche Bank AG, have also established or increased significant stakes in the semiconductor manufacturer.