BMO Capital Markets initiated coverage of Broadcom with an Outperform rating and a $455 price target ahead of earnings, citing the company’s position in custom ASICs and networking for AI. Analyst Harsh Kumar said Broadcom is a leading AI supplier in custom chips and networking and the world’s second-largest AI chip company behind Nvidia.
The report also said Broadcom is in talks to raise more than $60 billion in debt financing to support AI chip funding for customers including Anthropic. Blackstone and Apollo may participate, and the final financing amount could reach $100 billion.
BMO Starts Broadcom Coverage With Outperform Rating on AI Chip Strength
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