By Simply Wall St
Publication Date: 2026-11-01 17:30:00
Broadcom (AVGO) is back in the spotlight after investors focused on its large financing guarantees tied to Anthropic’s AI rack leases, raising fresh questions about credit risk and financial flexibility.
Over the past year Broadcom’s share price has swung hard with the AI trade, with the stock down about 16.9% on a 90 day share price return and 8.2% over 30 days. The 3 year total shareholder return of roughly 2.8x still reflects very strong longer term compounding.
Scan how markets are repricing AI risk by lining up Broadcom’s story against our curated list of 54 AI infrastructure stocks.
Broadcom now trades on roughly 18.7x forward earnings after a sharp reset, with AI upside and Anthropic financing risk pulling in opposite directions. Do current valuation multiples still give buyers more upside or downside risk?
Most Popular Narrative: 50% Undervalued
Broadcom’s most followed valuation story pegs fair value at about $651 per share, almost double the last close of $326.08….
