How has Broadcom stock performed recently?

The stock is up 15% year-to-date, but dropped 12% between June 18 and July 2 before rebounding 11%.

Why does D.E. Shaw consider Broadcom a good investment?

The fund sees Broadcom's strong fundamentals in semiconductors and benefits from AI demand.

Is Broadcom stock a buy right now?

It depends on the investment horizon; recent volatility and high valuation warrant caution, but the positive pick by a prominent investor supports a long-term view.

Should You Buy Broadcom (AVGO) After D.E. Shaw's Pick?

Billionaire D.E. Shaw's hedge fund included Broadcom (AVGO) in its list of top 10 stocks to buy in 2026. The stock has been volatile recently, losing 12% then gaining 11%, but remains up 15% year-to-date.

July 12, 2026

2 min read

Source: Insider Monkey

Key Numbers

ytd return

15%

decline june18 july2

12%

gain after july2

11%

Billionaire David Shaw's hedge fund, D.E. Shaw, has included Broadcom Inc. (NASDAQ:AVGO) in its list of the top 10 stocks to buy in 2026. This comes amid notable volatility in the stock over the past few days.

Recommendation Change

D.E. Shaw did not announce a change in its previous rating but included the stock in its top picks list, signaling a long-term positive outlook.

Analyst Rationale

D.E. Shaw believes Broadcom has strong fundamentals in the semiconductor sector, with diversified products including networking, storage, and connectivity solutions. Growing demand for AI infrastructure also supports its growth prospects.

Context

Despite a positive year-to-date performance (+15%), the stock dropped 12% between June 18 and July 2, only to rebound 11% afterward. This volatility reflects the stock's sensitivity to broader market conditions and tech sector sentiment.

Other analysts are divided: some see the current valuation as stretched, while others argue that future growth justifies the premium.

What We Conclude

Inclusion in a top picks list by a seasoned billionaire like D.E. Shaw adds credibility, but investors should weigh recent volatility and high valuation before making a decision.

Frequently Asked Questions

D.E. Shaw included Broadcom in its list of top 10 stocks to buy in 2026, indicating a long-term positive outlook.

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This article was rewritten in Wrqti's editorial style based on information from the original source above. Content is informational only — not investment advice.