Jefferies Reiterates Buy on Broadcom with $550 Target on AI Chip Prospects

Key Facts

1Jefferies reiterated a Buy rating on Broadcom (NASDAQ: AVGO) with a $550 price target, citing improved 2028 visibility, TPU roadmap, and broadening ASIC customer base.

2Jefferies projects 2028 EPS between $30 and $40, suggesting a P/E ratio of approximately 10x.

Following a ~25% decline from its highs, Broadcom shares present a buying opportunity according to Jefferies. The bank reiterated its Buy rating and $550 price target, citing improved 2028 visibility, TPU roadmap, and broadening ASIC customer base, per a report from Investing.com.

The stock closed at $372.45 on June 29 (market data), implying a nearly 48% upside to the target. Jefferies projects 2028 EPS of $30-$40, translating to a P/E of around 10x, attractive compared to semiconductor peers.

Near term, AVGO faces resistance at $376.21 and support at $360.46. Investors await further updates on the TPU roadmap and customer wins as key catalysts.