Home / Business and Economy / Broadcom Surges as Nvidia Hits $4 Trillion Valuation Milestone
Broadcom Surges as Nvidia Hits $4 Trillion Valuation Milestone
11 Jul
Summary
- Broadcom stock up 2.2% amid broader market gains
- Nvidia becomes first company to reach $4 trillion valuation
- Analyst raises Broadcom price target to $330 per share
On Wednesday, Broadcom (AVGO) stock is seeing a 2.2% gain, riding the wave of broader market optimism and a major milestone for a key player in the artificial intelligence (AI) space. Nvidia (NVDA) has just become the first company in history to reach a $4 trillion market capitalization, a testament to the surging demand for its graphics processing units (GPUs) that power the training of AI models.
Broadcom's position in networking hardware and software has also allowed it to benefit from the AI data center boom, with the two companies often viewed as performance indicators for each other. Analysts at KeyBanc have further bolstered the case for Broadcom, reiterating an overweight rating and raising the stock's one-year price target to $330 per share.
The broader market is also contributing to Broadcom's gains, with the S&P 500 and Nasdaq Composite indexes up 0.2% and 0.6%, respectively, as investors shrug off some trade-related concerns. As the AI infrastructure ramp-up continues, Broadcom is poised to be a major beneficiary, making the stock an attractive option for investors looking to capitalize on the growing AI market.
