By Ghazal Ahmed
Publication Date: 2026-02-17 11:57:00
Broadcom Limited (NASDAQ:AVGO) is one of the AI Stocks to Watch. One global technology firm with a robust structural AI opportunity ahead is Broadcom. On February 12, DA Davidson analyst Gil Luria initiated coverage on Broadcom Limited (NASDAQ:AVGO) with a Neutral rating and a price target of $335.
While analysts acknowledge AVGO’s structural AI opportunity, they believe long-term customer behavior could cap upside. The firm, in particular, expressed concerns about the long-term sustainability of Broadcom’s position in the AI application-specific integrated circuit (ASIC) market. This is despite these components gaining growing importance in the market.
While AI ASICs have been becoming increasingly important for labs and hyperscalers that pursue workload-specific accelerators, analysts believe significant headwinds exist for suppliers like Broadcom.
The relevance of the AI ASIC has grown increasingly more important as labs/hyperscalers pursue more…