Broadcom Inc (NASDAQ:AVGO) stock rose on Thursday as strong Wall Street support and a firmer broader market lifted investor sentiment.
• Broadcom stock is among today’s top performers. Why is AVGO stock up today?
Broadcom Gains As Market Tone Improves
Broadcom shares gained almost 4% as the Nasdaq rose 1.84% and the S&P 500 gained 0.63%. iShares PHLX SOX Semiconductor Sector Index Fund (NASDAQ:SOXX) gained almost 6%.
Investors also reacted to the company's debt tender offer update.
On Wednesday, Broadcom increased the purchase cap for its cash tender offers to $3 billion from $2.5 billion. The company accepted about $2.9 billion of the roughly $5.5 billion in notes tendered, reducing part of its outstanding debt.
It also allowed Broadcom to buy all validly tendered 2037 and 2038 notes covered by the expanded cap.
Broadcom's initial settlement is set for June 18, with guaranteed-delivery settlement scheduled for June 23.
JPMorgan Sees AI Growth Outlook Intact
Also on Wednesday, JPMorgan analyst Harlan Sur said Broadcom's AI growth outlook remains intact and pushed back on speculation that Alphabet Inc (NASDAQ:GOOGL)(NASDAQ:GOOG) Google's next-generation TPU v9 program has been delayed or canceled.
Sur said JPMorgan's research shows the program remains on track for volume production in calendar 2028, with Broadcom holding a more than 18-month lead over Google's internal chip team.
JPMorgan also said Broadcom's five-year Google agreement secures its role across four TPU generations and supports rising annual TPU revenue through 2031.
The firm expects Broadcom's AI revenue to rise two to 2.5 times in 2027 and double again in 2028.
Technical Analysis
From a trend perspective, Broadcom is still in a constructive long-term setup: it's trading 10.7% above its 100-day SMA and 13.2% above its 200-day SMA, and the golden cross that formed in April continues to favor the bulls on pullbacks.
The catch is that the stock is still working through a shorter-term digestion phase, sitting 1.7% below its 20-day SMA and 0.8% below its 50-day SMA.
- Momentum is best explained by RSI, which is at 46.68 — neutral and consistent with a stock that's consolidating rather than trending hard in either direction. RSI measures how "stretched" a move is, and this reading suggests Broadcom has room to build momentum again if buyers can reclaim key overhead levels.
Top ETF Exposure
- First Trust NASDAQ Cybersecurity ETF (NASDAQ:CIBR): 9.49% Weight
- iShares Expanded Tech Sector ETF (NYSE:IGM): 9.12% Weight
- First Trust NASDAQ Technology Dividend Index Fund (NASDAQ:TDIV): 9.51% Weight
Significance: Because Broadcom carries such a heavy weight in these funds, any significant inflows or outflows will likely trigger automatic buying or selling of the stock.
AVGO Price Action
AVGO Stock Price Activity: Broadcom shares were up 4.20% at $409.37 at the time of publication on Thursday, according to Benzinga Pro data.
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