Broadcom Inc. (NASDAQ:AVGO) Given Consensus Rating of "Buy" by Analysts

Key Points

• Broadcom Inc. has received a consensus "Buy" rating from 34 brokerages, with an average 12-month price target of $359.44.
• Insider sales included a notable transaction where CEO Hock E. Tan sold 100,000 shares for approximately $33.96 million, reducing his stake by 12.11%.
• The company's recent earnings report showed an EPS of $1.69, surpassing estimates, with quarterly revenue of $15.95 billion, a 22% increase year-over-year.

Broadcom Inc. (NASDAQ:AVGO - Get Free Report) has earned a consensus recommendation of "Buy" from the thirty-four brokerages that are currently covering the company, Marketbeat Ratings reports. Two research analysts have rated the stock with a hold recommendation, twenty-nine have assigned a buy recommendation and three have assigned a strong buy recommendation to the company. The average 12 month price objective among brokerages that have covered the stock in the last year is $359.4444.

A number of brokerages have issued reports on AVGO. Benchmark raised their price target on shares of Broadcom from $315.00 to $385.00 and gave the stock a "buy" rating in a report on Friday, September 5th. JPMorgan Chase & Co. raised their price target on shares of Broadcom from $325.00 to $400.00 and gave the stock an "overweight" rating in a report on Friday, September 5th. Piper Sandler raised their price target on shares of Broadcom from $315.00 to $375.00 and gave the stock an "overweight" rating in a report on Friday, September 5th. Wells Fargo & Company raised their price target on shares of Broadcom from $255.00 to $345.00 and gave the stock an "equal weight" rating in a report on Friday, September 5th. Finally, The Goldman Sachs Group reissued a "buy" rating and issued a $340.00 price target on shares of Broadcom in a report on Wednesday, August 13th.

Insider Activity

In other news, insider Mark David Brazeal sold 16,558 shares of Broadcom stock in a transaction dated Wednesday, September 17th. The shares were sold at an average price of $347.61, for a total transaction of $5,755,726.38. Following the sale, the insider owned 329,302 shares of the company's stock, valued at approximately $114,468,668.22. The trade was a 4.79% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Hock E. Tan sold 100,000 shares of Broadcom stock in a transaction dated Tuesday, September 23rd. The shares were sold at an average price of $339.58, for a total transaction of $33,958,000.00. Following the sale, the chief executive officer directly owned 725,638 shares in the company, valued at $246,412,152.04. The trade was a 12.11% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders have purchased 3,550 shares of company stock worth $1,227,869 and have sold 664,471 shares worth $225,184,128. 2.00% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Broadcom

A number of large investors have recently modified their holdings of the stock. SK Wealth Management LLC bought a new stake in shares of Broadcom during the 3rd quarter valued at about $227,000. ABLE Financial Group LLC lifted its position in Broadcom by 1.2% during the 3rd quarter. ABLE Financial Group LLC now owns 11,198 shares of the semiconductor manufacturer's stock valued at $3,694,000 after acquiring an additional 128 shares during the period. CHICAGO TRUST Co NA lifted its position in Broadcom by 13.3% during the 3rd quarter. CHICAGO TRUST Co NA now owns 25,908 shares of the semiconductor manufacturer's stock valued at $8,547,000 after acquiring an additional 3,047 shares during the period. Diversified Enterprises LLC lifted its position in Broadcom by 1.4% during the 3rd quarter. Diversified Enterprises LLC now owns 7,855 shares of the semiconductor manufacturer's stock valued at $2,591,000 after acquiring an additional 111 shares during the period. Finally, Navigoe LLC lifted its position in Broadcom by 515.0% during the 3rd quarter. Navigoe LLC now owns 123 shares of the semiconductor manufacturer's stock valued at $40,000 after acquiring an additional 103 shares during the period. Institutional investors own 76.43% of the company's stock.

Broadcom Price Performance

AVGO stock opened at $356.70 on Tuesday. The company has a debt-to-equity ratio of 0.86, a quick ratio of 1.37 and a current ratio of 1.50. Broadcom has a 52 week low of $138.10 and a 52 week high of $374.23. The firm's fifty day moving average is $323.82 and its 200 day moving average is $264.90. The firm has a market cap of $1.68 trillion, a P/E ratio of 90.99, a P/E/G ratio of 1.80 and a beta of 1.20.

Broadcom (NASDAQ:AVGO - Get Free Report) last released its earnings results on Thursday, September 4th. The semiconductor manufacturer reported $1.69 EPS for the quarter, beating the consensus estimate of $1.66 by $0.03. The company had revenue of $15.95 billion for the quarter, compared to analyst estimates of $15.82 billion. Broadcom had a net margin of 31.59% and a return on equity of 36.60%. The firm's quarterly revenue was up 22.0% compared to the same quarter last year. During the same quarter last year, the firm earned $1.24 EPS. Broadcom has set its Q4 2025 guidance at EPS. Research analysts predict that Broadcom will post 5.38 earnings per share for the current year.

Broadcom Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Tuesday, September 30th. Stockholders of record on Monday, September 22nd were paid a dividend of $0.59 per share. The ex-dividend date of this dividend was Monday, September 22nd. This represents a $2.36 dividend on an annualized basis and a dividend yield of 0.7%. Broadcom's payout ratio is presently 60.20%.

Broadcom Company Profile

Broadcom Inc designs, develops, and supplies various semiconductor devices with a focus on complex digital and mixed signal complementary metal oxide semiconductor based devices and analog III-V based products worldwide. The company operates in two segments, Semiconductor Solutions and Infrastructure Software.

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