Broadcom (AVGO) Surges Nearly 5% on Major AI Chip Contracts as Insiders Dump $14.8M in Shares

Key Highlights Shares of Broadcom (AVGO) climbed 4.69% to reach $371.46 following announcements of long-term AI chip supply agreements with Google and Anthropic Company insiders offloaded approximately $14.8 million worth of shares during the rally, with President S. Ram Velaga selling $10.6M and President Charlie Kawwas selling $3.45M First-quarter results exceeded Wall Street projections with earnings per share of $2.05 versus the anticipated $2.03, while revenue of $19.31 billion marked a 29.5% annual increase Wall Street maintains a generally optimistic outlook with a consensus price target of $435.30 and “Moderate Buy” rating; Barclays maintains a $500 target Some analysts express caution as Seaport Global downgraded shares and Seaport Research assigned a “Neutral” stance due to valuation worries On April 10, 2026, Broadcom announced it had secured multi-year agreements to supply AI chips to both Google and Anthropic. The announcement propelled AVGO shares up $16.55, representing a 4.69% gain, closing at $371.46. Trading volume surged to nearly 30 million shares, exceeding the typical 26.4 million average. Broadcom Inc., AVGO These agreements establish Broadcom as a critical provider of specialized AI accelerators and networking silicon to two leading hyperscale cloud operators. Market analysts suggest this development reinforces the company’s standing as a fundamental player in AI infrastructure. Barclays maintains a $500 valuation target for the shares. Both Rosenblatt and KeyCorp similarly project $500, while Benchmark sets its sights at $485. Across 33 Wall Street analysts, the consensus recommendation stands at “Moderate Buy” with an average 12-month price objective of $435.30. However, not all analysts share this enthusiasm. Seaport Global reduced its rating on the stock, and Seaport Research assigned a “Neutral” recommendation. Their reservations primarily focus on current valuation levels and uncertainties regarding long-term margin preservation as c...