Broadcom shares rose 4.2% in morning trading to record territory, driven by a combination of analyst upgrades and the firm's central role in a sizable AI infrastructure financing arrangement. The move propelled the stock to an intraday high of $448.58, a new 52-week peak ahead of Broadcom's fiscal second-quarter earnings, which are scheduled for June 3.
Analyst activity set the tone for the session. Susquehanna's Christopher Rolland raised his price target on AVGO to $490 from $450 and kept a Positive rating, citing optimism for Broadcom's ASIC business and ongoing momentum in its networking portfolio. That note appeared immediately before the company reports results for the fiscal second quarter.
Another revision came from Aletheia Capital's Stefan Chang, who lifted his target to $525 from $500. Chang emphasized that "near-term numbers are less important than the company’s comments on TPU," and indicated a view that Google has altered its inferencing TPU roadmap to adopt TPUv8i (and potentially TPUv8i+) for 2027/28E. That perspective on TPU demand contributed to a more bullish outlook for Broadcom's longer-term AI chip opportunity.
Market attention intensified with details of a financing package tied to Anthropic's expansion of AI infrastructure. Apollo and Blackstone are soliciting additional investors for a $36 billion debt facility that supports Anthropic's build-out, and Broadcom is providing credit support on the largest tranche of that arrangement. Under the plan, FuriosaAI's Tensor Contraction Processor architecture would be combined with Broadcom's networking capabilities to produce a multi-die chiplet system tailored for inference workloads in data centers. The collaboration adds another notable AI customer relationship to Broadcom's growing roster.
Other broker commentary reinforced the positive sentiment. Evercore maintained an Outperform rating on Broadcom, pointing to strong demand for AI networking. UBS also raised its price target to $490 after a revised Anthropic order that the bank said should yield higher margins.
The broader equity market provided a constructive backdrop for tech names. The S&P 500 was up about 0.4% while the Dow Jones and the NASDAQ gained roughly 0.4% and 0.6%, respectively, with technology stocks leading the session. Within this environment, Broadcom's shares have benefited from sustained demand in data centers and wireless communications, and the company reported revenue growth of 25% over the last twelve months.
Peers in the custom silicon and AI networking space, including Marvell Technology and AMD, have also featured in the AI infrastructure dialogue. However, Broadcom's explicit credit role in the Anthropic financing and its new partnership to combine FuriosaAI's processor architecture with Broadcom networking help distinguish it as a direct participant in the sector's capital flows.
On the company's most recent quarterly call, CEO Hock Tan stated there is "line of sight to achieve AI revenue from chips, just chips, in excess of $100 billion in 2027," and that capacity has been secured through 2028. That guidance remains a focal point for bullish investors and analysts tracking Broadcom's share price into the upcoming earnings release.
In sum, a near-term cluster of analyst price-target increases, Broadcom's credit support for a record-scale AI chip financing package, and a new technical partnership around multi-die chiplet systems combined to push AVGO to its highest traded level on the day. The rally underscores investor conviction in Broadcom's positioning within AI infrastructure as the company approaches its fiscal Q2 report.