TLDR
- Broadcom reports Q2 FY26 earnings on June 3 after the closing bell
- Wall Street expects revenue of $22.12 billion (up 47% YoY) and EPS of $2.40 (up 52% YoY)
- Options traders are pricing in a 10.65% move in either direction post-earnings
- Broadcom has beaten earnings estimates in each of the past nine quarters
- AVGO stock is up nearly 30% year-to-date; average analyst price target is $480.04
Broadcom is set to report its fiscal second-quarter results after the closing bell on Wednesday, June 3.
AVGO stock closed last week at a record high and is up roughly 29% since January 1.
Options traders are pricing in a move of around 10.65% in either direction following the report. That’s well above the stock’s average post-earnings move of 6.67% over the past four quarters.
A move of that size could push AVGO above $487 to a new all-time high, or pull it back toward $406.
What Analysts Are Expecting
Wall Street is forecasting revenue of $22.12 billion for Q2 FY26, up 47% year-over-year. Adjusted EPS is expected to come in at $2.40, up 52% from the same period last year.
Broadcom has beaten analyst estimates in each of its last nine quarters, giving investors reason to watch closely.
UBS recently raised its price target on AVGO to $490, up from $475. The firm said investors will be focused on updates around new custom AI chip deals.
Susquehanna analyst Christopher Rolland also lifted his target, moving it to $490 from $450, while keeping a Buy rating.
Rolland expects strong results driven by demand for AI chips and networking products. He did, however, trim his fiscal 2026 AI revenue estimate to around $55 billion from $62.5 billion, citing reduced expectations tied to an Anthropic-related chip program.
Analyst Ratings and Price Targets
Of 11 analysts tracked by Visible Alpha, 10 rate AVGO a Buy. One has a neutral rating. Their average price target sits at $467, implying around 5% upside from last Friday’s close.
TipRanks shows a similar picture, with 26 Buy ratings and four Holds over the last three months. The average price target there is $480.04, suggesting roughly 7.45% upside.
TipRanks’ AI Analyst carries an Outperform rating on AVGO with a $458 target. The rating is backed by strong profit margins and free cash flow generation, though the stock is flagged as somewhat overbought after its recent run.
Investors will be watching for any commentary on Broadcom’s AI chip pipeline, including updates on custom chip deals with Alphabet and Meta.
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