We're Buying More Palantir and Broadcom at Attractive Levels

Symbol	Transaction Type	# Shares Traded	Recent Price $	Shares Owned After Trade	% Portfolio
AVGO	Buy	105	334	460	2.75
PLTR	Buy	85	168.50	1,205	3.7

After you receive this Alert and when the stock market opens, we will make the following trades

-- Buy 105 shares of Broadcom (AVGO) at or near $334. Following the trade, AVGO shares will account for roughly 2.75% of the Pro Portfolio.

-- Buy 85 shares of Palantir (PLTR) at or near $168.50. Following the trade, PLTR shares will account for roughly 3.7% of the Pro Portfolio.

In Wednesday’s Pro Portfolio video, we explained why we were staying on the bench even after President Trump pledged not to use military force to acquire Greenland. Late in Wednesday’s trading session, Trump announced there is a "framework for a future deal with respect to Greenland” and that he would not impose tariffs on several European countries set for February 1. That second layer of de-escalation led the market rebound to accelerate in the last minutes of trading.

With those geopolitical and trade-related concerns off the table, we are picking up more shares of Broadcom and Palantir, using their recent declines to our advantage.

We continue to see Broadcom benefiting from AI and data center demand, as well as the ramp of its custom chip business. Backing that are recent demand comments from Taiwan Semiconductor (TSM) and Micron (MU) . Next week, Broadcom custom chip customers, including Meta (META) and Alphabet (GOOGL) , will share their initial capital spending plan for 2026, and based on comments about rising AI adoption and usage levels, we suspect those figures to be higher year over year. That should serve as a catalyst for our AVGO shares as well as those of Nvidia (NVDA) , Marvell (MRVL) , and Arista Networks (ANET) .

We also discussed Palantir’s expanded relationship with HD Hyundai and why it is likely to be a blueprint for AI adoption in the enterprise, with initial work in smaller parts of the company that grow in scope as it sees tangible AI-related benefits. On Wednesday, it was announced that U.K.-based AI infrastructure provider Sovereign AI selected Accenture (ACN) and Palantir to help build and scale AI data centers across Europe, the Middle East, and Africa. The same project will use Dell (DELL) AI Factory and Nvidia-powered technology to create what is being called “sovereign-grade AI capabilities.”

That is part of the Accenture Palantir Business Group, a relationship announced in mid-December to help clients move from siloed data to integrated, AI-powered decision making. That speaks to one of the hurdles to enterprise AI adoption we’ve discussed with you, and much like the HD Hyundai expansion, it bodes well for continued growth in Palantir’s commercial and non-U.S. revenue stream.

As discussed in Wednesday’s Palantir note, as more details about the size of its expanded relationship with HD Hyundai and now Accenture-Sovereign AI, we’ll revisit our PLTR price target. Currently, that is at $220.

On the housekeeping front, we will maintain our existing panic points for AVGO and PLTR shares, but we will reset our pick-up points to match today’s trades, placing them at $329 and $166, respectively.

Arista Networks, Bank of America, and Costco

We also want to share that we are closely tracking shares of Arista Networks, Bank of America (BAC) , and Costco (COST) . ANET shares are on our shopping list. With BAC, we are revisiting the current Two rating, but with Trump’s credit card cap still out there, we are holding back on that for now.

Regarding COST shares, they have moved deeper into overbought territory with a relative strength index level over 78. That reflects the more than 15% bounce in the stock since just before the Christmas holiday, and that move has also made COST the Pro Portfolio’s largest holding. If we see the shares continue on this trajectory, we may opt to lock in a slice of those gains, which are sizable compared to the S&P 500’s 0.3% move over the same time frame.

More Pro Portfolio:

(Please note that we are looking to execute these trades at or near the share price mentioned above. Once the trade is completed, subscribers can see the trade's executed price here. Be sure to toggle the chart to sort by Purchase Date.)

At the time of publication, TheStreet Pro Portfolio was long AVGO, PLTR, META, GOOGL, MRVL,NVDA, ANET, COST and BAC.