$AVGO QuantLogix Newsdesk · June 4, 2026 at 2:31 PM UTC

AVGO Drops 15% on AI Guidance Miss; Goldman Lifts Target to $525

What happened

Broadcom (AVGO) shares fell approximately 15% following quarterly results that included weaker-than-anticipated AI-segment guidance. Goldman Sachs responded by raising its price target on the stock to $525 from a prior level, maintaining a Buy rating and citing roughly 30% upside potential from recent price levels. The bank characterized the guidance shortfall as a temporary setback rather than a structural shift in Broadcom's AI infrastructure position.

The QL Read

Goldman's decision to raise its target into a 15% post-print drawdown frames the AI-guidance shortfall as a near-term reset rather than a thesis break. The setup to watch is whether subsequent hyperscaler capex commentary and the next quarter's AI-segment disclosure reaccelerate the trajectory or confirm a softer run-rate.

Source: Benzinga — "Broadcom Stock Plunges 15% After Weak AI Guidance — Goldman Hikes Target To $525, Sees Nearly 30% Upside" — 2026-06-04T12:42:57Z

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