Broadcom (NASDAQ:AVGO) Given Outperform Rating at Oppenheimer

Key Points

• Broadcom's stock has received an "outperform" rating from Oppenheimer, with a price target increase from $325 to $360, indicating an estimated upside of 8.04%.
• After strong quarterly results, where Broadcom reported $1.69 EPS and $15.95 billion in revenue, various analysts have revised their ratings to "strong-buy" or increased their price targets significantly.
• Approximately 76.43% of Broadcom's stock is held by institutional investors, showcasing strong confidence in the company among large investors.

Oppenheimer reaffirmed their outperform rating on shares of Broadcom (NASDAQ:AVGO - Free Report) in a report released on Friday morning,Benzinga reports. Oppenheimer currently has a $360.00 target price on the semiconductor manufacturer's stock, up from their previous target price of $325.00.

Other research analysts also recently issued research reports about the company. Evercore ISI reaffirmed an "outperform" rating and issued a $342.00 price objective (up previously from $304.00) on shares of Broadcom in a research note on Thursday. Cantor Fitzgerald reaffirmed an "overweight" rating and issued a $300.00 price objective on shares of Broadcom in a research note on Friday, June 6th. UBS Group increased their target price on Broadcom from $290.00 to $345.00 and gave the stock a "buy" rating in a research report on Monday, August 25th. Arete Research upgraded Broadcom to a "strong-buy" rating in a research report on Monday, July 28th. Finally, Hsbc Global Res upgraded Broadcom from a "hold" rating to a "strong-buy" rating in a research report on Tuesday, June 24th. Three analysts have rated the stock with a Strong Buy rating, twenty-seven have issued a Buy rating and one has given a Hold rating to the company's stock. According to MarketBeat.com, the stock currently has an average rating of "Buy" and a consensus target price of $351.00.

Broadcom Stock Performance

Shares of NASDAQ AVGO traded up $28.79 during trading on Friday, hitting $334.89. The company had a trading volume of 78,318,626 shares, compared to its average volume of 17,635,120. The stock has a 50 day simple moving average of $292.09 and a 200 day simple moving average of $237.31. The company has a debt-to-equity ratio of 0.89, a quick ratio of 0.98 and a current ratio of 1.08. Broadcom has a 12 month low of $134.90 and a 12 month high of $356.34. The firm has a market capitalization of $1.58 trillion, a P/E ratio of 85.43, a price-to-earnings-growth ratio of 2.38 and a beta of 1.16.

Broadcom (NASDAQ:AVGO - Get Free Report) last posted its quarterly earnings data on Thursday, September 4th. The semiconductor manufacturer reported $1.69 EPS for the quarter, topping the consensus estimate of $1.66 by $0.03. Broadcom had a return on equity of 37.17% and a net margin of 31.59%.The firm had revenue of $15.95 billion for the quarter, compared to the consensus estimate of $15.82 billion. During the same quarter last year, the company earned $1.24 earnings per share. The business's revenue for the quarter was up 22.0% compared to the same quarter last year. Broadcom has set its Q4 2025 guidance at EPS. As a group, analysts anticipate that Broadcom will post 5.38 earnings per share for the current year.

Broadcom Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Tuesday, September 30th. Shareholders of record on Monday, September 22nd will be issued a dividend of $0.59 per share. This represents a $2.36 annualized dividend and a yield of 0.7%. The ex-dividend date is Monday, September 22nd. Broadcom's dividend payout ratio (DPR) is currently 88.39%.

Insider Buying and Selling at Broadcom

In other Broadcom news, insider Mark David Brazeal sold 50,000 shares of the firm's stock in a transaction that occurred on Monday, June 23rd. The stock was sold at an average price of $253.28, for a total transaction of $12,664,000.00. Following the completion of the transaction, the insider owned 415,956 shares in the company, valued at $105,353,335.68. This trade represents a 10.73% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, CFO Kirsten M. Spears sold 56,310 shares of the firm's stock in a transaction that occurred on Wednesday, June 18th. The shares were sold at an average price of $251.75, for a total value of $14,176,042.50. Following the transaction, the chief financial officer owned 361,937 shares of the company's stock, valued at $91,117,639.75. This represents a 13.46% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 830,516 shares of company stock worth $217,286,457 over the last three months. 2.00% of the stock is owned by company insiders.

Hedge Funds Weigh In On Broadcom

Institutional investors have recently added to or reduced their stakes in the company. Norges Bank purchased a new position in shares of Broadcom in the 2nd quarter worth approximately $18,579,549,000. Nuveen LLC purchased a new position in shares of Broadcom in the 1st quarter worth approximately $6,649,117,000. Price T Rowe Associates Inc. MD boosted its holdings in shares of Broadcom by 37.8% in the 1st quarter. Price T Rowe Associates Inc. MD now owns 65,509,579 shares of the semiconductor manufacturer's stock worth $10,968,270,000 after purchasing an additional 17,985,046 shares during the period. GAMMA Investing LLC boosted its holdings in shares of Broadcom by 18,179.3% in the 1st quarter. GAMMA Investing LLC now owns 17,276,164 shares of the semiconductor manufacturer's stock worth $2,892,548,000 after purchasing an additional 17,181,652 shares during the period. Finally, Vanguard Group Inc. boosted its holdings in shares of Broadcom by 1.3% in the 2nd quarter. Vanguard Group Inc. now owns 483,442,939 shares of the semiconductor manufacturer's stock worth $133,261,046,000 after purchasing an additional 6,222,802 shares during the period. Hedge funds and other institutional investors own 76.43% of the company's stock.

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.