Broadcom (AVGO) shares are on a tear, climbing in early trading on Wednesday. The move follows a massive 21% rally over the past two weeks, bringing the semiconductor giant close to its all-time high of $414.61.
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The rally is being driven by fresh momentum in AI, with Broadcom securing major long-term deals with two of its biggest customers — Alphabet (GOOGL) and Meta Platforms (META).
Google and Meta Partnerships Power the Rally
Broadcom has strengthened its position in custom AI chips by expanding partnerships with major tech players. Just yesterday, Broadcom and Meta announced a new AI deal that runs through 2029.
Under the agreement, Broadcom will design and supply custom AI chips using its cutting-edge 2nm process. These include training and inference processors that Meta will deploy across its data centers to support growing AI workloads. Meta plans to roll out the chips at scale, starting with an initial deployment of one gigawatt and expanding further over time.
In addition to the above, Broadcom is also deepening its long-term relationship with Alphabet. Its recent agreement with Google extends through 2031 and covers the development of future Tensor Processing Units (TPUs), along with the supply of key networking components.
Together, these deals highlight Broadcom’s growing role in powering AI infrastructure.
What Is the Stock Forecast for Broadcom?
As the stock approaches record territory, some top insiders are choosing to lock in gains. Recently, top executive S. Ram Velaga sold 8,000 shares for about $2.96 million, and Gayla Delly sold 1,000 shares for $358.310.
Despite the insider selling, Wall Street remains highly optimistic about Broadcom’s long-term outlook. AVGO stock enjoys a Strong Buy consensus rating from analysts based on 27 Buys and four Holds assigned over the past three months. In addition, the average AVGO price target of $464.32 suggests about 22% upside.
The Bottom Line: Can AVGO Break $415?
Insider selling near record levels can signal a short-term pause, but Broadcom’s core story remains strong. The scale of its deals, especially the one-gigawatt deployment with Meta and the long-term extension with Alphabet, points to solid demand ahead.
With analysts still seeing about 22% upside, these AI-driven deals could give the stock the push it needs to break past its all-time high and move toward the $460 range.