Why Broadcom Stock Topped the Market on Friday

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By Eric Volkman – Dec 19, 2025 at 6:08PM ESTKey PointsWell-known tech stocks were buoyed by improved sentiment in the sector as the trading week came to a close.This one is prominent thanks to its specialized AI products.These 10 Stocks Could Mint the Next Wave of Millionaires ›NASDAQ: AVGOBroadcomMarket Cap$1.6TToday's Changeangle-down(3.12%) $10.30Current Price$340.18Price as of December 19, 2025 at 3:59 PM ETAn analyst bumped his price target higher on the company.Investor sentiment on tech stocks drove many of those titles higher on Friday. This included Broadcom (AVGO +3.12%), whose profile has risen thanks to its cutting-edge artificial intelligence (AI) chips. The company was swept up in the bullish trend, which was bolstered by an analyst's price target raise on its stock. A 2% move made a difference The raiser was Truist Securities's William Stein, who made an upward adjustment to his Broadcom target to $510 per share; previously, his price tag was $500. In making the change, he maintained his buy recommendation on the company. Image source: Getty Images. Stein acknowledged the concern many investors have expressed about the significant resource and capital needs of AI, according to reports. Yet he feels certain AI-associated stocks remain inexpensive relative to their powerful growth potential, and Broadcom is one of those bargains. The pundit wrote that, despite the challenges of building out the technology, AI investment will continue to mount in the proximate future. As a renowned AI chipmaker, Broadcom is sure to benefit from this. ExpandNASDAQ: AVGOBroadcomToday's Change(3.12%) $10.30Current Price$340.18Key Data PointsMarket Cap$1.6TDay's Range$332.57 - $341.3552wk Range$138.10 - $414.61Volume3MAvg Vol26MGross Margin64.71%Dividend Yield0.72% Unstoppable AI This sounds like a very plausible argument to me. From what I've observed, once a hot technology captures the public's imagination, there's little that can stop it from growing and spreading.Advertisement Even if AI companies don't experience the monster growth many people once anticipated, they should still do very well if their products and/or services are appealing. Broadcom indisputably ticks that box, so I'd say its stock looks like a buy.Read NextDec 19, 2025 •By Mark Roussin, CPAStock Market Update: Is the AI Bubble About to Pop?Dec 19, 2025 •By Parkev Tatevosian, CFAWhy Is Broadcom Stock Crashing, and Is It a Buying Opportunity?Dec 18, 2025 •By Parkev Tatevosian, CFAWhat's Going on With Broadcom Stock?Dec 18, 2025 •By Rick MunarrizThe Best Dividend Stocks to Buy and Hold ForeverDec 18, 2025 •By David Jagielski, CPABroadcom Has Beaten the Market for 6 Straight Years.
Can It Continue to Outperform in 2026?Dec 17, 2025 •By Howard SmithStock Market Today, Dec. 17: Broadcom Drops on China AI Chip Breakthrough and AI Buildout UncertaintyAbout the AuthorEric Volkman is a contributing Motley Fool finance and stock market analyst. Previously, Eric was an equities analyst at European investment bank Raiffeisen Capital and Investment. He’s also been a freelance finance writer since 1995. He studied at Susquehanna University.TMFVolkmanStocks MentionedBroadcomNASDAQ: AVGO$340.18 (+0.03%) $+10.30*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.Advertisement
