US stocks traded mixed on Wednesday as investors weighed what the latest data and Federal Reserve comments mean for interest-rate cuts, with techs under pressure as Oracle (ORCL) stock slid. The Nasdaq Composite (^IXIC) slipped 0.3%, while the S&P 500 (^GSPC) traded flat, with both backing off slight opening gains as tech weakness returned. But the Dow Jones Industrial Average (^DJI) added 0.5%, after US stocks finished mixed in Tuesday's session.  After weeks in a data vacuum, Wall Street is trying to ...

Core Insights - A significant increase in activity in Broadcom, Inc. (AVGO) put options suggests that investors are recognizing the potential value of AVGO stock, particularly following strong recent results and a partnership with OpenAI [1][3][6] - AVGO stock is currently trading at $369.77, reflecting a 24% increase from $298.24 on September 2, just before the Q2 results were announced [1][4] Financial Performance - Broadcom's earnings call revealed a partnership with OpenAI to supply AI semiconductor chips, indicating growth potential in the AI sector [3] - Analysts have raised revenue forecasts for FY 2026 to $83.68 billion, which, with a projected 43.5% free cash flow (FCF) margin, implies a potential FCF of $36.4 billion [5] - Based on a 1.85% FCF yield, the market cap could reach nearly $2 trillion, suggesting a 13.2% increase in value from the current market cap of $1,738 billion [5] Price Target - The updated price target for AVGO is set at $418.58, based on the new revenue estimates and FCF calculations, which is higher than the current trading price [5] - Despite the new target, the average price target from 28 analysts remains at $370.90, slightly above the current price [5]