The Hidden Risks In Broadcom Stock’s Bull Run

The Hidden Risks In Broadcom Stock’s Bull Run

By Trefis Team
Publication Date: 2026-01-29 15:09:00

Broadcom (AVGO) has encountered difficulties in the past. Its stock has decreased more than 30% within a period of less than two months on two separate occasions in recent years, erasing billions in market value and nullifying substantial gains in a single correction. If history serves as any indicator, AVGO stock is not shielded from abrupt, severe declines.

In particular, we identify these risks:

  1. VMware Customer Loss and Legal Action Due to Compulsory Subscriptions/Price Increases
  2. Geopolitical Retaliation Risks in China

Risk 1: VMware Customer Loss and Legal Action Due to Compulsory…