Broadcom (NASDAQ:AVGO) Stock Price Expected to Rise, DA Davidson Analyst Says

Key Points

• DA Davidson raised its price target on Broadcom to $400 from $375 while keeping a neutral rating, implying only a small downside from the previous close.
• Other analysts remain broadly bullish on the stock, with several firms reaffirming buy or overweight ratings and pushing price targets as high as $550; MarketBeat’s consensus is a Moderate Buy with a $480.63 target.
• Broadcom’s latest quarterly results were solid, with EPS of $2.44 beating estimates and revenue of $22.19 billion topping forecasts, though the stock has still seen pressure amid mixed sentiment around AI-related chip demand.

Broadcom (NASDAQ:AVGO - Get Free Report) had its target price lifted by research analysts at DA Davidson from $375.00 to $400.00 in a research report issued on Thursday,Benzinga reports. The brokerage currently has a "neutral" rating on the semiconductor manufacturer's stock. DA Davidson's price objective points to a potential downside of 1.76% from the company's previous close.

Other equities analysts have also recently issued reports about the stock. Rosenblatt Securities reaffirmed a "buy" rating and set a $500.00 target price on shares of Broadcom in a research note on Thursday. Erste Group Bank cut shares of Broadcom from a "buy" rating to a "hold" rating in a research note on Thursday, April 2nd. Benchmark raised their price objective on Broadcom from $485.00 to $545.00 and gave the company a "buy" rating in a research report on Thursday. Cantor Fitzgerald reaffirmed an "overweight" rating and issued a $525.00 target price on shares of Broadcom in a report on Thursday. Finally, Jefferies Financial Group set a $550.00 target price on Broadcom and gave the stock a "buy" rating in a research report on Thursday. One analyst has rated the stock with a Strong Buy rating, twenty-eight have assigned a Buy rating and four have given a Hold rating to the company's stock. According to data from MarketBeat, Broadcom presently has a consensus rating of "Moderate Buy" and a consensus target price of $480.63.

Broadcom Price Performance

NASDAQ AVGO traded down $72.07 during trading hours on Thursday, reaching $407.16. The company's stock had a trading volume of 23,861,126 shares, compared to its average volume of 24,721,986. Broadcom has a 1 year low of $241.11 and a 1 year high of $495.00. The company has a quick ratio of 1.73, a current ratio of 1.90 and a debt-to-equity ratio of 0.80. The company has a market capitalization of $1.93 trillion, a price-to-earnings ratio of 79.60, a PEG ratio of 0.99 and a beta of 1.41. The firm's 50-day moving average price is $392.87 and its 200-day moving average price is $361.19.

Broadcom (NASDAQ:AVGO - Get Free Report) last announced its quarterly earnings data on Wednesday, June 3rd. The semiconductor manufacturer reported $2.44 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.40 by $0.04. The business had revenue of $22.19 billion during the quarter, compared to analyst estimates of $22.13 billion. Broadcom had a net margin of 36.57% and a return on equity of 38.61%. The company's revenue was up 47.9% on a year-over-year basis. During the same period last year, the firm posted $1.58 EPS. On average, equities research analysts predict that Broadcom will post 9.91 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, Director Justine Page sold 2,018 shares of Broadcom stock in a transaction that occurred on Wednesday, April 8th. The stock was sold at an average price of $353.00, for a total value of $712,354.00. Following the completion of the transaction, the director owned 18,164 shares in the company, valued at approximately $6,411,892. The trade was a 10.00% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider S. Ram Velaga sold 8,000 shares of Broadcom stock in a transaction on Friday, April 10th. The stock was sold at an average price of $370.52, for a total transaction of $2,964,160.00. Following the transaction, the insider directly owned 57,932 shares of the company's stock, valued at $21,464,964.64. The trade was a 12.13% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 324,282 shares of company stock worth $106,425,249. 1.90% of the stock is currently owned by company insiders.

Institutional Trading of Broadcom

Several institutional investors have recently added to or reduced their stakes in the company. Norges Bank bought a new stake in shares of Broadcom during the 4th quarter worth approximately $24,252,196,000. Cardano Risk Management B.V. grew its position in Broadcom by 895.2% in the 4th quarter. Cardano Risk Management B.V. now owns 12,689,800 shares of the semiconductor manufacturer's stock valued at $4,391,940,000 after acquiring an additional 11,414,701 shares during the last quarter. Arrowstreet Capital Limited Partnership increased its stake in Broadcom by 118.1% in the first quarter. Arrowstreet Capital Limited Partnership now owns 18,739,006 shares of the semiconductor manufacturer's stock worth $5,799,889,000 after purchasing an additional 10,145,377 shares during the period. State Street Corp increased its stake in Broadcom by 2.7% in the fourth quarter. State Street Corp now owns 190,084,351 shares of the semiconductor manufacturer's stock worth $65,788,194,000 after purchasing an additional 5,040,801 shares during the period. Finally, Vanguard Group Inc. lifted its position in shares of Broadcom by 0.8% during the fourth quarter. Vanguard Group Inc. now owns 482,707,302 shares of the semiconductor manufacturer's stock worth $167,064,997,000 after purchasing an additional 3,919,715 shares during the last quarter. Institutional investors own 76.43% of the company's stock.

Key Broadcom News

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Cantor Fitzgerald reaffirmed its overweight rating on Broadcom and set a $525 price target, implying upside from current levels. Benzinga
• Positive Sentiment: Benchmark raised its price target to $545 from $485 and kept a buy rating, citing strong earnings momentum. Benzinga
• Positive Sentiment: Broadcom reported record AI semiconductor revenue of $10.8 billion, up sharply year over year, reinforcing its role as a key AI infrastructure supplier. PR Newswire
• Neutral Sentiment: Broadcom announced a quarterly dividend of $0.65 per share, which supports the stock’s income appeal but is not a major near-term catalyst. PR Newswire
• Negative Sentiment: Investors sold the stock after Broadcom’s revenue came in below the market’s elevated expectations, pressuring sentiment across semiconductors. Reuters
• Negative Sentiment: Chipmaker shares, including Broadcom, fell in premarket trading as the market reassessed the durability of the AI trade after earnings. CNBC

Broadcom Company Profile

Broadcom Inc NASDAQ: AVGO is a global technology company that designs, develops and supplies semiconductor and infrastructure software solutions for a broad range of markets. The company's semiconductor business provides components and systems for wired and wireless communications, enterprise and cloud storage, networking and broadband access, serving original equipment manufacturers, cloud service providers, telecommunications carriers and industrial customers worldwide. Broadcom is headquartered in Irvine, California, and operates globally with research, development and sales organizations across North America, Europe and Asia.

On the semiconductor side, Broadcom's portfolio includes system-on-chip (SoC) and application-specific integrated circuit (ASIC) solutions, radio-frequency and connectivity components, Ethernet switching and PHY devices, storage adapters and controllers, optical transceivers and other networking silicon.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.