HSBC Keeps Buy on Broadcom at $450 TP, Upgrades Block to $77
HSBC kept its Buy rating on Broadcom, cut its target price to $450 from $535 and sees $19.5 billion Q1 revenue versus $19.1 billion guidance, projecting 41% upside. It also upgraded Block to Buy, raising its target to $77 from $70 and lifting 2026 EPS forecasts by 16%.
1. HSBC Maintains Buy on Broadcom
HSBC analyst Frank Lee maintained a Buy rating on Broadcom while cutting the target price to $450 from $535, citing a valuation reset in AI names. Lee projects Broadcom will report $19.5 billion in Q1 revenue versus guidance of $19.1 billion and forecasts $21 billion in Q2, driving a 41% upside.
2. HSBC Upgrades Block to Buy
Analyst Saul Martinez upgraded Block to Buy and raised the target price to $77 from $70, highlighting a material increase in earnings power driven by a planned workforce reduction. HSBC lifted its 2026 EPS forecast by 16%, noted that 60% of earnings are back-loaded into H2, and sees consensus estimates as too low for 2027.
3. HSBC Cited as Strong Value Stock
A premium research service ranked HSBC highly across value, growth and momentum metrics, underscoring its appeal to a broad range of investors seeking strong underlying fundamentals.