Broadcom (AVGO) Spotlighted as Tiger Global’s Top Pick, as Bank of America Lifts Its Price Target to $530

Broadcom Inc. has landed in the middle of a new debate about where Chase Coleman’s Tiger Global looks for its strongest public-market exposures, with Yahoo Finance asking whether AVGO is the firm’s “best stock” in its portfolio. The question surfaced as analysts moved the stock’s near-term outlook higher after Bank of America issued an upgrade in a June 4 note.

According to the Yahoo Finance write-up, Broadcom is listed among Tiger Global’s 10 best stocks, putting additional attention on AVGO at a time when Wall Street is reassessing how much incremental earnings power Broadcom can capture from AI infrastructure spending. Tiger Global is a New York investment firm founded by Coleman, emphasizing a long-term approach across public and private markets. The fund’s broader strategy is described on its own website, but the Yahoo piece does not provide detail on the size or timing of Tiger Global’s position in Broadcom.

The market focus intensified because Bank of America raised its price target on Broadcom to $530 from $450, while keeping a Buy rating. A price target is an analyst’s estimate of a stock’s value over a defined horizon, typically anchored to forecast earnings and valuation multiples. In the update, BofA said Broadcom’s second-quarter results and third-quarter outlook were modestly above expectations, and it flagged strong profitability metrics, including gross profit margins of about 77% and revenue growth of roughly 25% over the prior 12 months.

BofA’s central argument was that “absolute AI growth” remains on track, projecting about 180% year-over-year growth in fiscal 2026 and nearly 100% year-over-year growth in fiscal 2027. The note also pointed to management’s decision not to lift an existing fiscal 2027 AI revenue target of roughly $100 billion, which BofA interpreted as conservative given customer supply constraints rather than a demand break. The analyst cited additional momentum from “custom XPU” accounts, where XPU stands for a specialized processing unit used for AI workloads, including customers such as Anthropic, Meta, and OpenAI.

Beyond chips, BofA also highlighted software as another growth vector, saying third-quarter software growth exceeded 30% year over year. It raised its fiscal 2026 to 2028 sales and earnings-per-share estimates by 2% to 6%, and it tied the new $530 target to a valuation framework based on a 30-times calendar 2027 estimated price-to-earnings multiple (P/E multiple) that includes stock-based compensation, compared with 26 times previously. BofA further described expectations for earnings power of more than $30 by calendar year 2030 and indicated that those forecasts translate to an approximate 40% compound annual growth rate in earnings per share between 2025 and 2030.

Broadcom’s business mix helps explain why investors and analysts connect AI infrastructure to both its hardware and software offerings. Broadcom describes itself as a global technology leader that designs, develops, and supplies semiconductor and infrastructure software solutions. Much of its AI positioning depends on networking and custom silicon used to support large-scale compute, while its infrastructure software portfolio, including VMware offerings such as VMware Cloud Foundation, is marketed as a platform for enterprise cloud and production AI workloads.

Still, important details remain uncertain in the public discussion around Tiger Global’s “best stock” framing. Yahoo Finance’s specific methodology for selecting the top 10, and how Broadcom ranks within that list, were not accessible for verification in this review. Likewise, BofA’s note is an analyst viewpoint and depends on forward-looking assumptions, including the pace of AI account ramp-ups and whether supply constraints ease as expected.