Why Broadcom Stock Is Rising Today

By Scott Levine – Jan 9, 2026 at 2:50PM ESTKey PointsBroadcom stock is bouncing back today after falling lower on Thursday.A Mizuho analyst raised the price target on Broadcom stock.Shares of Broadcom are trading at a premium to their historical valuations.We’re bullish on these 10 stocks ›NASDAQ: AVGOBroadcomMarket Cap$1.6TToday's Changeangle-down(4.34%) $14.43Current Price$346.91Price as of January 9, 2026 at 3:13 PM ETThis semiconductor stalwart is a top pick according to one analyst.After ending yesterday's market session about 3% lower from where they were at the close of trading on Wednesday, Broadcom (AVGO +4.34%) stock is heading higher today, poised to end the week on a positive note. As of 2:28 p.m. ET, shares of the semiconductor specialist are up 4.1%. Image source: Getty Images. One analyst believes that Broadcom stock has plenty of room to run in 2026 Maintain an outperform rating, Vijay Rakesh, an analyst at Mizuho, lifted the price target on Broadcom stock to $480 from $450. ExpandNASDAQ: AVGOBroadcomToday's Change(4.34%) $14.43Current Price$346.91Key Data PointsMarket Cap$1.6TDay's Range$333.62 - $347.3652wk Range$138.10 - $414.61Volume802KAvg Vol29MGross Margin64.71%Dividend Yield0.73% According to theFly.com, Rakesh based his more optimistic outlook on Broadcom stock after the firm revisited its price targets on semiconductor stocks, believing that many of them have "attractive valuations." Providing an even more ringing endorsement of Broadcom stock, Mizuho named Broadcom as one of its top semiconductor picks for 2026. Is it too late now to pick up shares of Broadcom? While Rakesh sees significant upside to Broadcom stock, investors should hardly take this data point in isolation. Those considering a position in the semiconductor stock should also recognize that shares are trading at a premium to their historical valuation. Currently, Broadcom stock is changing hands at a price-to-earnings ratio of 69.7, a lofty valuation considering its five-year average trailing P/E of 40.2. For those committed to a Broadcom investment, the stock's rich valuation may be less of a concern. Still, those interested in a semiconductor stock that offers a value opportunity will want to look elsewhere.Read NextJan 9, 2026 •By Rick MunarrizCathie Wood Goes Shopping: 3 Stocks She Just BoughtJan 8, 2026 •By Beth McKennaWhy Broadcom Stock Fell 14.1% in DecemberJan 7, 2026 •By Geoffrey Seiler3 Red-Hot Growth Stocks to Buy in 2026Jan 6, 2026 •By Danny Vena, CPAWhy Broadcom Stock Spiked 49% Higher in 2025, and Why There's Likely More to Come in 2026Jan 6, 2026 •By Geoffrey SeilerTop Stocks to Double Up on Right NowJan 5, 2026 •By Keithen DruryIs Broadcom 1 of the Best AI Stocks for 2026?About the AuthorScott Levine is a contributing Motley Fool stock market analyst covering energy, industrials, technology, and materials. He is also a high school English teacher and a small business owner. He holds a bachelor’s degree in English and creative writing from Binghamton University, a master’s degree in secondary education from Adelphi University, and an advanced certificate in school building leadership from CUNY Queens College. A crossword puzzle enthusiast, he has solved more than 3,100 New York Times puzzles with a 97% solve rate.TMFProudMonkeyX@TMFProudMonkeyStocks MentionedBroadcomNASDAQ: AVGO$346.91 (+0.04%) $+14.43Mizuho Financial GroupNYSE: MFG$7.95 (+0.01%) $+0.10*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.Advertisement