Although we are less than two months into the year, the stock market has certainly underperformed. There is no shortage of companies struggling as geopolitical tensions loom large. However, Broadcom (AVGO) is approaching a unique milestone as it may be set to join the $1 trillion club while still boasting a 47% upside for its stock price this year.
Currently, the company has a market value of $952 billion and is sitting just outside the top 10. Interestingly, the semiconductor stock is worth more than major companies like Eli Lilli (LLY), JPMorgan Chase (JPM), Visa (V), and even Walmart (WMT). Yet, with stacked competition, could AVGO make good on its potential this year?
Also Read: Broadcom (AVGO) Stock Bucks Trend, Jumps 6%: Here’s Why
It has been a pretty good year for Broadcom. The stock is up more than 55% in that time and has increased more than 643% over the last five years amid the rising dominance of AI. Now, as uncertainty has been ever-present on Wall Street, the stock looks bound for a massive landmark achievement.
The company’s stock has fallen 1.9% Tuesday, with shares trading at $203. However, Broadcom (AVGO) may well be on its way to joining the $1 trillion club, as its stock still features 47% upside. If it did reach the mark, it would but just the ninth company to achieve it, according to CompaniesMarketCap.
Also Read: Broadcom (AVGO) Eyes Intel Acquisition: Why Bernstein Says It Could be Big
Additionally, Broadcom is enjoying a rather bullish perspective from Wall Street. Presently, it is expected to outperform the market over the next 12 months. The question is, just how high is AVGO expected to increase in a year that has been defined by its volatility?
According to 44 analysts surveyed by CNN, 84% have a buy rating on teh stock. Alternatively, just 16% have called to hold with no one issuing a sell rating. Moreover, it features a median price target of $250, representing a 22% increase from its current position.
The risk is relatively low as well, with Broadcom projected to reach $210 on its low-end forecast, which would still be up 3% from its position now. Additionally, its high-end protection stands at $300, which would represent a 47% upside from where it stands now.
