Cathie Wood Invests Over $50M in Broadcom Stock (AVGO) as Wall Street Turns Upbeat

Broadcom (AVGO) shares have been gaining momentum recently, with stock up 49% in 2005, and Cathie Wood has been steadily adding to her position. On Wednesday, January 14, her ARK Invest funds purchased 143,089 shares of Broadcom valued at about $50.74 million. The buying suggests Wood is growing more confident that demand for Broadcom's custom AI chips and networking products is picking up. Overall, Wall Street is bullish on AVGO stock and sees solid upside potential in 2026.Claim 70% Off TipRanks PremiumUnlock hedge fund-level data and powerful investing tools for smarter, sharper decisions Stay ahead of the market with the latest news and analysis and maximize your portfolio's potential Top Analysts Are Upbeat About Broadcom Stock Today, top Wells Fargo analyst Aaron Rakers upgraded the stock's rating to Overweight from Equal Weight and lifted its price target to $430, up from $410. The new price target implies about 26.5% upside from current levels. The firm said concerns about Broadcom's margins appear overdone. It also expects added support from rising demand for Alphabet Inc. (GOOGL) TPUs (Tensor Processing Unit or custom accelerators), more custom AI chip orders, and steady strength in both data center networking markets. Likewise, last week, Bernstein analyst Stacy Rasgon maintained an Outperform rating on Broadcom with a $475 price target. He said fears about new rivals and customer-built chips are overstated after a long meeting with management. Rasgon pointed to Broadcom's scale and strong supply chain in custom AI chips. He also noted that while Nvidia (NVDA) sets the pace in AI innovation, Broadcom is uniquely positioned to help customers keep up with that roadmap. Also, Goldman Sachs analyst James Schneider added Broadcom to the firm's U.S. Conviction List. He said Broadcom's strong position in enterprise networking chips should help it gain share in custom processors used by major U.S. cloud firms. Goldman kept a Buy rating on the stock with a $450 price target, implying 35% upside from current levels. Is AVGO Stock a Buy, Sell, or Hold? With 28 Buys and one Hold, Broadcom stock scores a Strong Buy consensus rating. The average AVGO stock price target of $459.89 indicates 35.31% upside potential.