BofA Global Research analyst Vivek Arya has raised his price target on Broadcom (AVGO) stock to $2,150, making him the most bullish on Wall Street. Arya cited Broadcom’s transition from a value stock to a growth stock, driven by factors like artificial intelligence. He praised the company’s growth drivers, management team, and solid track record of capital appreciation and dividend growth. Arya also highlighted Broadcom’s low relative share among institutions and its strong free cash flow performance. Additionally, he believes Broadcom’s revenue growth profile is attractive, projecting a compound annual growth rate of 13% between fiscal 2024 and 2026. Arya sees AI silicon and VMware’s business playing a significant role in the company’s future sales. While Arya remains optimistic about Broadcom’s potential earnings power, its shares have recently experienced a four-day decline. Despite this, Arya sees potential for Broadcom’s earnings to exceed $80 per share in the future. This analysis was conducted by MarketWatch, an independent publication operated by Dow Jones & Co., and published separately from Dow Jones Newswires and The Wall Street Journal.
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