Broadcom Ltd. (NASDAQ: AVGO) may have become, or is certainly on its way to becoming, one of the top semiconductor companies in the world. After merging Avago and Broadcom, there is a much more diversified company catering to many more aspects and needs of the semiconductor chain. Broadcom’s shares have pulled back from their highs, but the stock’s reaction to earnings remains quite positive. The analyst notes, seen below, are almost universally positive.

The quarterly non-GAAP diluted earnings from continuing operations of $3.63 per share allowed for a quarterly interim dividend of $1.02 per share. Net revenue was $4.139 billion, slightly higher than the $4.136 billion in the prior quarter, but after the merger impact it was actually up 134% from the $1.771 billion in the same quarter last year. Operating expenses were $1.495 billion, versus $1.79 billion in the prior quarter. Its non-GAAP gross margin from continuing operations of 62.4%.

Broadcom’s cash balance at the end of the last quarter was $3.536 billion, up from $3.097 billion at the end of the prior quarter. It generated $1.353 billion in cash from operations and spent $325 million on capital expenditures.

Guidance for the coming quarter ending on April 30, 2017, was for revenues of $4.1 billion, plus or minus $75 million. Gross margin was projected to be 62%, with a 1% factor above and below.

Hock Tan, president and CEO of Broadcom, said:

We had a very good start to our fiscal year 2017 delivering first quarter revenue and gross margin at the top end of guidance. We expect healthy demand for our products to continue and we are guiding second fiscal quarter revenue to grow organically by 15% on a year over year basis.

For a special note on the dividend, Broadcom said:

A corresponding distribution will also be paid by the Partnership, of which the Company is the General Partner, to holders of REUs, in the amount of $1.02 per REU.

Oppenheimer liked what it saw as well, reiterating an Outperform rating and raising its price target to $240 from $215. The firm expects a “beat and raise” setup for the coming report as well. Oppenheimer sees more M&A potential for opportunities ahead, and it continues to like Broadcom’s dominant and diversified semiconductor portfolio and significant free cash flow potential.

Other analyst calls were seen as follows:

• Merrill Lynch reiterated its Buy rating and raised its price target to $260 from $250.
• B. Riley reiterated its Buy rating and raised its price target to $260 from $235.
• Cowen reiterated its Outperform rating and raised its price target to $240 from $210.
• Craig-Hallum reiterated its Buy rating and raised its price target to $260 from $210.
• Drexel Hamilton reiterated its Buy rating and raised its price target to $260 from $210.
• RBC Capital Markets maintained its Top Pick rating and raised its target to $240 from $230.

Other target hikes were seen from UBS, JPMorgan, Susquehanna, Raymond James and Sun Trust Robinson Humphreys.

Broadcom shares were last seen up 1% at $217.39 on Thursday in the late-morning trading. After hitting a new high earlier in the morning, its 52-week range is $134.30 to $224.98. The prior Thomson Reuters consensus analyst price target was $223.13 coming into the report, but that figure will be higher after more analyst targets get factored in.

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