Broadcom (NASDAQ:AVGO) Stock Rating Lowered by Zacks Research

06 Mar 2026, 16:54 by Michael Walen · The Markets Daily

Broadcom (NASDAQ:AVGO – Get Free Report) was downgraded by equities research analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a report issued on Wednesday,Zacks.com reports.

A number of other equities analysts also recently commented on the stock. JPMorgan Chase & Co. lifted their price objective on shares of Broadcom from $475.00 to $500.00 and gave the stock an “overweight” rating in a report on Thursday. Piper Sandler reaffirmed an “overweight” rating and set a $430.00 price objective (up from $375.00) on shares of Broadcom in a research report on Friday, December 12th. TD Cowen reissued a “buy” rating on shares of Broadcom in a report on Friday, December 12th. DA Davidson raised Broadcom to a “hold” rating in a report on Friday, February 13th. Finally, Bank of America cut their price target on Broadcom from $500.00 to $450.00 and set a “buy” rating on the stock in a report on Thursday. One equities research analyst has rated the stock with a Strong Buy rating, thirty have given a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat.com, Broadcom presently has an average rating of “Moderate Buy” and a consensus target price of $435.30.

Check Out Our Latest Report on Broadcom

Broadcom Stock Up 1.0%

AVGO stock traded up $3.33 during mid-day trading on Wednesday, hitting $336.10. 9,618,095 shares of the company were exchanged, compared to its average volume of 25,624,996. The firm has a fifty day simple moving average of $334.17 and a 200 day simple moving average of $342.61. The company has a market capitalization of $1.59 trillion, a PE ratio of 65.64, a price-to-earnings-growth ratio of 1.02 and a beta of 1.22. Broadcom has a twelve month low of $138.10 and a twelve month high of $414.61. The company has a current ratio of 1.71, a quick ratio of 1.58 and a debt-to-equity ratio of 0.76.

Broadcom (NASDAQ:AVGO – Get Free Report) last issued its quarterly earnings results on Wednesday, March 4th. The semiconductor manufacturer reported $2.05 EPS for the quarter, topping the consensus estimate of $2.03 by $0.02. Broadcom had a net margin of 36.57% and a return on equity of 39.28%. The business had revenue of $19.31 billion for the quarter, compared to analysts’ expectations of $19.10 billion. During the same quarter last year, the company posted $1.60 earnings per share. The company’s quarterly revenue was up 29.5% compared to the same quarter last year. On average, research analysts forecast that Broadcom will post 5.38 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Broadcom news, CFO Kirsten M. Spears sold 30,000 shares of the firm’s stock in a transaction dated Wednesday, December 31st. The shares were sold at an average price of $347.82, for a total transaction of $10,434,600.00. Following the transaction, the chief financial officer owned 277,237 shares of the company’s stock, valued at approximately $96,428,573.34. This trade represents a 9.76% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Hock E. Tan sold 130,000 shares of the company’s stock in a transaction that occurred on Thursday, December 18th. The stock was sold at an average price of $326.02, for a total transaction of $42,382,600.00. Following the completion of the sale, the chief executive officer directly owned 595,638 shares of the company’s stock, valued at approximately $194,189,900.76. This represents a 17.92% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 779,101 shares of company stock valued at $283,804,325 over the last three months. 2.00% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Broadcom

A number of institutional investors have recently added to or reduced their stakes in the company. ROSS JOHNSON & Associates LLC grew its holdings in Broadcom by 1,320.0% during the fourth quarter. ROSS JOHNSON & Associates LLC now owns 71 shares of the semiconductor manufacturer’s stock worth $25,000 after acquiring an additional 66 shares during the period. SWAN Capital LLC grew its stake in shares of Broadcom by 261.9% in the 4th quarter. SWAN Capital LLC now owns 76 shares of the semiconductor manufacturer’s stock worth $26,000 after purchasing an additional 55 shares during the last quarter. Longfellow Investment Management Co. LLC bought a new stake in shares of Broadcom in the 2nd quarter worth approximately $27,000. Teachers Insurance & Annuity Association of America acquired a new stake in Broadcom during the second quarter valued at approximately $28,000. Finally, New England Capital Financial Advisors LLC bought a new stake in Broadcom during the second quarter worth approximately $31,000. 76.43% of the stock is currently owned by institutional investors and hedge funds.

Broadcom News Roundup

Here are the key news stories impacting Broadcom this week:

Positive Sentiment: Q1 results beat and AI momentum — Broadcom reported revenue of $19.31B and non‑GAAP EPS of $2.05, with AI semiconductor revenue up ~106%, and management issued very strong Q2 revenue guidance (~$22.0B) that exceeded Street expectations. Broadcom Inc. Announces First Quarter Fiscal Year 2026 Financial Results
Positive Sentiment: $10B buyback + dividend — Management authorized a $10 billion repurchase program and reaffirmed a quarterly dividend, which supports EPS accretion and signals capital allocation confidence after the strong quarter. Broadcom Inc. Announces First Quarter Fiscal Year 2026 Financial Results
Positive Sentiment: Longer‑term AI revenue target — CEO Hock Tan said AI chip sales could top $100B in 2027, reinforcing investor conviction that Broadcom is scaling in the custom-XPU market and competing beyond traditional networking chips. Broadcom rallies as it touts more than $100 billion in AI chip sales in 2027
Positive Sentiment: Analysts lift targets and upgrade coverage — Several firms raised price targets and ratings after the print, including upgrades/target raises from banks and boutiques, backing the stock’s upside on improved visibility into AI demand. Analysts upgrade Broadcom stock price target following earnings report
Positive Sentiment: High-profile bullish commentary — TV and market commentators (e.g., Jim Cramer) are calling AVGO undervalued after the results, which can help retail sentiment and flows. Cramer Calls Broadcom Undervalued Despite Recent Declines
Neutral Sentiment: Policy risk — Discussion of tighter U.S. export rules for AI chips could introduce regulatory uncertainty for global sales; impact depends on final rule scope and timing. New Export Rules Could Be Coming for AI Chipmakers’ Sales
Negative Sentiment: Analyst downgrade — Zacks cut AVGO from “strong‑buy” to “hold,” a reminder that not all shops are turning more bullish and some see less near‑term upside; analyst views can pressure short‑term flows. Zacks.com

About Broadcom

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Broadcom Inc (NASDAQ: AVGO) is a global technology company that designs, develops and supplies semiconductor and infrastructure software solutions for a broad range of markets. The company’s semiconductor business provides components and systems for wired and wireless communications, enterprise and cloud storage, networking and broadband access, serving original equipment manufacturers, cloud service providers, telecommunications carriers and industrial customers worldwide. Broadcom is headquartered in Irvine, California, and operates globally with research, development and sales organizations across North America, Europe and Asia.