Broadcom still has room to run, this investor says

Black Swan Dexteritas president and portfolio manager Kim Bolton said Broadcom (Broadcom Stock Quote, Chart, News, Analysts, Financials NASDAQ:AVGO) remains an attractive way to play the AI stack, arguing the stock still has upside despite its recent rebound.

In an appearance on BNN Bloomberg Market Call on April 15, Bolton said Broadcom stands out because of its breadth across semiconductor devices and software, as well as its exposure to key AI infrastructure components, including GPUs, ASICs and neural processing technologies. He added that the company combines that positioning with strong margins, a dividend and meaningful share buybacks.

“We’ve got a 12-month price target of $470.00, so there’s still room,” Bolton said, adding that he does not see that target as unreasonable from current levels.

He said investors can buy the stock here, but also leave room to add on weakness.

Among analysts covering the stock, 56 rate it “Buy,” three rate it “Hold” and none rate it “Sell,” with a consensus price target of US$471.81.

Broadcom shares closed April 16 at US$398.47.

 

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Rod Weatherbie

Rod Weatherbie is a journalist based in Prince Edward Island. Since 2004, he has written extensively about the Canadian property and casualty insurance landscape. He was also a founder and contributing editor for a Toronto-based arts website and a PEI-based food magazine. His fiction and poetry have been featured in The Fiddlehead, The Antigonish Review, and Juniper.

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