A.G. Edwards upgraded
shares to buy from hold Monday, saying the communications company is poised to outperform its peers.
"The company will be able to outgrow its end markets while maintaining a tight cost structure," A.G. Edwards said. At around $20, the shares are attractive, the brokerage said. It set a price objective of $25.
"Given Broadcom's strong growth profile, significant operating leverage and long history of execution, we believe that shares should reasonably trade in line with or higher than their peer group," the brokerage said.
Shares of Broadcom were up about 2.8% Monday morning at $20.81.