19 Trending AI Stocks on Latest Analyst Ratings and News

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8. Broadcom Inc. (NASDAQ:AVGO)

Number of Hedge Fund Holders: 130

Broadcom Inc. (NASDAQ:AVGO) supplies semiconductor infrastructure software solutions. The firm has become famous in the AI space over the past few years as it leads the industry in developing application-specific integrated chip (ASIC), a specialized 5 nanometer chip that is designed to run AI tasks. Chinese internet-tech firm ByteDance recently announced that it would be partnering with Broadcom for the production of these chips, with the designs of the latter helping the former with manufacturing outside the US. Tech giants like Amazon, Alphabet, and Meta, all customers of Broadcom, are set to increase their spending on these chips for the development of their AI data centers in the coming months.

The AI buzz around Broadcom Inc. (NASDAQ:AVGO) has reached Wall Street as well. TD Cowen recently raised the price target on the shares to $210 from $175 and kept a Buy rating, noting that the stock offered broad revenue exposure to hyperscale, artificial intelligence, telecom, and enterprise, with investors willing to pay a premium for a unique quality semis/software franchise with industry-leading margin.

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