Updated: December 2, 2025
Broadcom Inc. (NASDAQ: AVGO) is back in the spotlight as of December 2, 2025, with fresh Wall Street upgrades, new AI wins, and another big enterprise cloud deal landing on the tape. At the same time, the stock is digesting a sharp pullback from recent highs, putting questions of valuation, growth durability, and volatility front and center.
Below is a detailed, news-driven overview of Broadcom stock today, including the latest price action, catalysts, analyst forecasts and key risks, based on information available as of December 2, 2025. This article is for information only and is not financial advice.
Broadcom Stock Today: Price Action and Market Context
After a big AI-fueled run in 2025, Broadcom has hit a bout of turbulence in the last 24–48 hours:
- Previous close (Dec 1, 2025): Broadcom fell about 4.2% to $386.08, a move that one market commentary described as the kind of drop you see when “expectations were stretched and patience is thin,” with investors reacting to renewed supply and competitive worries. [1]
- Trading range and valuation: A MarketBeat institutional ownership update published December 2 notes that shares opened around $385.83, with a 12-month range of roughly $138 to $403, a market cap near $1.82 trillion, and a P/E ratio close to 98x. [2]
- Intraday levels: Other real-time trackers show AVGO trading in the high-$380s to low-$400s range today, within a whisker of its recent all-time highs. [3]
In other words, despite the short-term dip, Broadcom is still trading near record territory after a stellar multi-year rally fueled by AI infrastructure demand.
Fresh Corporate Catalyst: Broadcom Extends VMware Cloud Collaboration With ING
On December 2, 2025, Broadcom announced a new enterprise win tied to its VMware business:
- ING chooses VMware Cloud Foundation 9.0: Broadcom and Dutch banking giant ING said they are extending their strategic collaboration as ING adopts VMware Cloud Foundation 9.0 as its strategic platform for private cloud, modernizing core infrastructure and supporting regulated workloads. [4]
Why it matters for AVGO stock:
- The deal underscores Broadcom’s push to monetize the VMware acquisition through large, long-term cloud platform contracts.
- Financial institutions like ING are highly regulated and sticky customers; successful deployments help validate VMware Cloud Foundation as a go-to private cloud stack for mission-critical workloads.
- For investors worried about “integration noise” around VMware, this sort of deal is a tangible proof point that big customers are committing, even as markets stay laser-focused on AI chips. [5]
AI Supercycle: Custom Chips, Networking, and Deep Partnerships
The core of the Broadcom investment story remains its position in AI infrastructure, particularly in:
1. Custom AI Accelerators and XPUs
- A recent Seeking Alpha deep dive highlighted that Broadcom’s Q3 revenue hit $15.95 billion, beating expectations of $15.82 billion, with 22% year-over-year growth and 6.3% sequential growth. Broadcom converted about 44% of revenue into free cash flow, putting it among the strongest cash generators in semis. [6]
- Broadcom is a leading provider of custom AI accelerators (XPUs) designed for hyperscalers, often used for inference tasks and seen as cheaper and increasingly powerful alternatives to general-purpose GPUs. [7]
2. AI Networking: 170% Growth in Q2 2025
Nasdaq’s recent analysis on Broadcom’s AI business highlighted:
- Ethernet-based AI networking (Tomahawk and Jericho switches/routers) as the single biggest driver of AI-related growth, especially among hyperscalers building massive AI clusters.
- Networking revenue was up 170% year-over-year and accounted for roughly 40% of AI revenue in Q2 2025, underscoring how important Broadcom’s networking stack is in AI data centers. [8]
3. Big-Name AI Customers: Google, OpenAI and More
Recent reports show Broadcom tightly integrated with leading AI platforms:
- Google TPUs / Gemini 3: A December 2 valuation piece notes that Google’s Gemini 3 AI model was trained entirely on TPUs designed with Broadcom, and these hardware partnerships are a major driver of bullish sentiment on the stock. [9]
- OpenAI custom AI chip: Reuters recently reported that OpenAI tapped Broadcom to build its first custom AI processor, a deal tied to a $10 billion custom AI chip order that has made Broadcom one of the biggest winners of the generative AI boom, with its stock up nearly six-fold since late 2022. [10]
Collectively, these AI wins underpin the latest wave of analyst upgrades and have extended Broadcom’s narrative from a traditional diversified chip/infrastructure company into a pure-play AI infrastructure bellwether in the eyes of many investors. [11]
New Price Targets and Analyst Sentiment as of December 2, 2025
Bank of America Lifts Target to $460 on AI Upside
Today’s headline upgrade:
- Bank of America (Vivek Arya) raised its price target on Broadcom to $460 from $400, reiterating a Buy rating.
- The BofA team highlighted:
- Surging demand for custom AI chips.
- The fact that Google’s Gemini 3 was trained fully on Google TPUs co-designed with Broadcom.
- A $10 billion AI rack order from OpenAI plus expanding collaborations with Google and Meta.
- New revenue estimates for Broadcom: $63B (2025), $88B (2026), $120B (2027), reflecting increased conviction in AI infrastructure growth. [12]
A complementary report from Investing.com echoes the same target hike and notes:
- AVGO trading near $403 and close to its 52-week high, with a roughly 151% gain over the past year, and BofA’s view that Broadcom’s role in Google’s TPU ecosystem could drive higher average selling prices and unit volumes into 2026. [13]
Other Analyst Forecasts: ASIC Revenue and Consensus Target
Broadcom is seeing broader bullish revisions:
- TipRanks reports that a top-rated analyst now expects ASIC (custom chip) revenue of about $27.2B in fiscal 2026 and nearly $59.5B in 2027, arguing that Broadcom’s AI chip revenue could grow faster than Nvidia’s and AMD’s in calendar 2026, even while still respecting Nvidia’s leadership in the space. [14]
- Market-based estimate trackers show:
- An average analyst rating of “Buy”, with around 50+ ratings.
- A consensus price target near $417 per share, implying modest upside from current levels after the recent run-up. [15]
Valuation Check: Undervalued or Too Expensive?
The December 2 Simply Wall St valuation piece frames Broadcom’s valuation debate:
- Fair value estimate: About $403.66 per share, slightly above the latest close, implying that the stock is a few percent undervalued based on their main narrative. [16]
- Earnings multiple: AVGO trades at roughly 97x earnings, well above the US semiconductor industry average of ~36x and a peer average near 56x, suggesting investors are paying a steep premium for future AI growth. [17]
In short, analysts broadly like Broadcom, but even bullish voices acknowledge that the market is already baking in a powerful AI growth story.
2026–2027 Outlook: Hyperscaler CapEx and AI SAM
Several recent analyses focus on Broadcom’s medium-term runway:
- A MarketBeat deep dive on November 24 highlighted research from CreditSights projecting that total capital expenditure by the top five hyperscalers (Microsoft, Alphabet, Amazon, Meta, Oracle) could jump 36% to about $602B in 2026, driven by “unprecedented AI infrastructure investments.” [18]
- CreditSights estimates that around 75% of that capex (≈$450B) could go to AI, up from an estimated $274B in AI-specific capex in 2025, implying roughly 64% growth in AI-only spending year over year. [19]
For Broadcom, this matters because:
- Its custom accelerators and networking chips are directly tied to AI capex, meaning AI-specific spend is a better proxy for its growth potential than overall capex. [20]
- Management has previously pegged its AI serviceable addressable market (SAM) at $60–90B and may update this estimate in 2026; prior SAM updates have been powerful stock catalysts. [21]
Other forecasts, including those highlighted by Yahoo Finance and MarketBeat, also point to strong AI-driven revenue growth in 2026, with some analysts pushing price targets into the $430–$480 range on expectations of accelerating AI revenue and updated TAM/SAM disclosures. [22]
Upcoming Catalyst: Broadcom’s December 11, 2025 Earnings
The next major event for AVGO holders is Broadcom’s earnings report on December 11, 2025:
- TradingView’s company page lists December 11, 2025 as the next earnings date, with expectations for next-quarter revenue around $17.46B, up from $15.95B in the most recent quarter. [23]
- Commentators from The Motley Fool and Yahoo Finance have flagged December 11 as a “big day” for Broadcom, with the market looking for:
Given the recent price surge and new $460 price target, expectations heading into this print are high, and guidance language could move the stock sharply in either direction.
Technical and Short-Term Trading View
For shorter-term traders, there are a few notable data points:
- A technical-analysis focused article today argues Broadcom “looks bullish” based on strong fundamentals, seasonal patterns, and a constructive chart setup, positioning AVGO as a compelling buy for tech-oriented investors—though, as always, this is one strategist’s view, not a guarantee. [26]
- StockInvest’s daily quantitative forecast notes that:
- The stock fell about 4.3% on December 1, from $403.37 to $386.08.
- Over the last 10 trading days, AVGO has risen in 6 sessions, up roughly 12–13% over the last two weeks.
- Volume increased on the most recent down day, signaling some short-term selling pressure but still within an overall uptrend. [27]
The takeaway: Broadcom remains a high-beta AI leader. Even as the long-term trend is up, the stock can reprice quickly on news around AI demand, supply constraints, or VMware integration.
Key Risks Investors Are Watching
Even the most bullish analyses this week highlight several risk factors:
- Valuation Risk
With P/E multiples well above sector averages, any disappointment in AI growth, hyperscaler spending, or margin trajectory could trigger a sharper pullback. [28] - Customer and Product Concentration
A significant slice of Broadcom’s AI story is tied to a handful of hyperscalers like Google, OpenAI and potentially Meta. If these partners shift designs, negotiate harder on pricing, or bring more of their silicon in-house, Broadcom’s growth curve could flatten. [29] - Competition in AI Chips and Networking
Nvidia, AMD, and other custom silicon vendors are vying for the same AI budgets. Any perceived erosion of Broadcom’s positioning in custom accelerators or Ethernet networking could weigh on the multiple. [30] - VMware Integration and Enterprise Software Execution
The ING deal shows positive traction, but the market is still cautious about integration complexity, pricing changes, and potential customer churn across VMware’s legacy base. [31] - Macro and AI CapEx Cycles
AI spending looks robust heading into 2026, but capex cycles can shift quickly in downturns. If hyperscalers delay build-outs or re-prioritize budgets, Broadcom’s growth targets may need to be recalibrated. [32]
What to Watch Next for Broadcom (AVGO)
For readers tracking Broadcom stock after December 2, 2025, these are the key signposts:
- December 11 earnings and guidance – especially AI revenue growth, updated capex commentary from hyperscalers, and any refresh to Broadcom’s AI TAM/SAM. [33]
- Further VMware Cloud Foundation deals – contracts similar to the ING announcement would strengthen the case that Broadcom can turn VMware into a durable, higher-margin software platform. [34]
- New AI chip design wins or TPU/XPU updates – particularly around Google, OpenAI and potential new large customers in 2026. [35]
- Analyst revisions – keep an eye on consensus revenue and EPS estimates for 2026–2027 and whether price targets continue to drift closer to or above the $460–$480 range. [36]
Final Word
As of December 2, 2025, Broadcom stock sits at the intersection of:
- A massive AI infrastructure build-out,
- A complex but potentially lucrative VMware integration, and
- A valuation that already prices in a lot of good news.
Analysts are leaning bullish, but they are also explicit that execution on AI orders, customer concentration risk, and macro capex cycles will determine whether AVGO’s current price – and new $460+ price targets – prove conservative or optimistic.
Again, this article is not a recommendation to buy or sell AVGO. If you are considering an investment decision, it’s important to review your own risk tolerance, time horizon, and, ideally, consult a qualified financial adviser.
References
1. nai500.com, 2. www.marketbeat.com, 3. robinhood.com, 4. investors.broadcom.com, 5. nai500.com, 6. seekingalpha.com, 7. seekingalpha.com, 8. www.nasdaq.com, 9. simplywall.st, 10. www.reuters.com, 11. www.perplexity.ai, 12. somoshermanos.mx, 13. www.investing.com, 14. www.tipranks.com, 15. www.marketwatch.com, 16. simplywall.st, 17. simplywall.st, 18. www.marketbeat.com, 19. www.marketbeat.com, 20. www.marketbeat.com, 21. www.marketbeat.com, 22. finance.yahoo.com, 23. www.tradingview.com, 24. finance.yahoo.com, 25. www.marketbeat.com, 26. seekingalpha.com, 27. stockinvest.us, 28. simplywall.st, 29. www.investing.com, 30. www.nasdaq.com, 31. investors.broadcom.com, 32. www.marketbeat.com, 33. www.tradingview.com, 34. investors.broadcom.com, 35. www.investing.com, 36. www.investing.com
