China Bans Cybersecurity Software from US and Israeli Firms Amid Security Concerns
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: seekingalpha
- National Security Concerns: Chinese authorities have instructed local companies to cease using cybersecurity software from about a dozen US and Israeli firms due to fears that such software could collect and transmit confidential information, posing a national security risk.
- Affected Companies: The ban includes software from Broadcom-owned VMware, Palo Alto Networks, Fortinet, and Israel's Check Point, highlighting the escalating tensions between the US and China.
- Market Impact: While these companies did not immediately respond to requests for comment, the ban could significantly impact their operations in China, particularly given their established presence with multiple offices in the country.
- Exploring Alternatives: China is actively seeking alternatives to Western computer equipment and software to reduce reliance on foreign technology, reflecting a heightened emphasis on national security.
Analyst Views on AVGO
Wall Street analysts forecast AVGO stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for AVGO is 398.73 USD with a low forecast of 300.00 USD and a high forecast of 480.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
30 Analyst Rating
28 Buy
2 Hold
0 Sell
Strong Buy
Current: 352.210
Low
300.00
Averages
398.73
High
480.00
Current: 352.210
Low
300.00
Averages
398.73
High
480.00
About AVGO
Broadcom Inc. is a global technology firm that designs, develops, and supplies a range of semiconductors, enterprise software and security solutions. The Company operates through two segments: semiconductor solutions and infrastructure software. Its semiconductor solutions segment includes all of its product lines and intellectual property (IP) licensing. It provides a variety of radio frequency semiconductor devices, wireless connectivity solutions, custom touch controllers, and inductive charging solutions for mobile applications. Its infrastructure software segment includes its private and hybrid cloud, application development and delivery, software-defined edge, application networking and security, mainframe, distributed and cybersecurity solutions, and its FC SAN business. It provides a portfolio of software solutions that enable customers to plan, develop, automate, manage and secure applications across mainframe, distributed, mobile and cloud platforms.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
