UBS Backs Broadcom, Accenture as S&P 500 and Nasdaq Hit Record Highs

2 articles · Updated · CNBC · May 27

UBS told investors Tuesday that buying opportunities remain even with U.S. stocks at record highs, highlighting Broadcom and Accenture in two screening baskets.
The bank’s first basket targets companies with inflecting fundamentals—rising cash-flow returns on investment and strong momentum—while excluding the priciest names relative to peers and history.
Broadcom, up 22% this year, made that list with forecast CFROI of 77.1%; UBS said its ASIC-chip leadership and AI inference exposure could push CFROI above 80% in 2027.
Accenture, down 34% this year, was placed in UBS’s quality-laggards basket with forecast CFROI of 43.7%, as AI-driven disintermediation and margin fears have pushed the stock to its widest-ever discount to the market.
The calls come after a tech-led rally sent the S&P 500 and Nasdaq Composite to fresh intraday and closing highs, with UBS arguing select laggards and improving businesses still offer value.

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