15 Best Blue Chip Stocks to Buy According to Billionaires

8. Broadcom Inc. (NASDAQ:AVGO)

Number of Billionaire Investors: 26

Number of Hedge Fund Holders: 161

Broadcom Inc. (NASDAQ:AVGO) is a leading multinational technology company specializing in semiconductor and infrastructure software products. Broadcom Inc. (NASDAQ:AVGO) has estimated considerable growth in its AI-related revenue, projecting a serviceable addressable market of $60–90 billion by fiscal 2027, driven primarily through partnerships with major hyperscalers like Google, Meta Platforms, and ByteDance. It underwent a 77% year-over-year growth in its AI revenue in fiscal Q1 2025, reaching $4.1 billion. Management expects a considerable rise in its AI revenue in the current quarter as well, as its “hyperscale partners continue to invest in AI XPUs and connectivity solutions for AI data centers.”

One of the company’s most substantial growth opportunities comes from its application-specific integrated circuits (ASICs) used in AI data center infrastructure. Broadcom Inc. (NASDAQ:AVGO) estimates the serviceable addressable market (SAM) for its AI chips to rise to between $60 billion and $90 billion over three fiscal years.

In a report released on April 11, Christopher Danely from Citi maintained a Buy rating on Broadcom Inc. (NASDAQ:AVGO) and set a price target of $210.00. Aristotle Atlantic Core Equity Strategy stated the following regarding Broadcom Inc. (NASDAQ:AVGO) in its Q4 2024 investor letter:

“Broadcom Inc. (NASDAQ:AVGO) contributed to performance in the fourth quarter as its third-quarter results demonstrated continuing strength for its AI networking and custom accelerator semiconductor business. The company also gave long-term guidance for the service addressable market (SAM) opportunity for its AI-related business, indicating a market opportunity of $60 billion to $90 billion, including contributions from its current three customers. This long-term outlook for AI semiconductor content exceeded investor expectations. Broadcom’s quarterly results also showed the company is ahead on its VMware integration timeline to achieve $8.5 billion in EBITDA, which will support long-term gross and operating margin expansion for the company.”