Broadcom (NASDAQ:AVGO) Trading Up 1.8% on Analyst Upgrade

Broadcom Inc. (NASDAQ:AVGO - Get Free Report) was up 1.8% on Friday after Mizuho raised their price target on the stock from $310.00 to $315.00. Mizuho currently has an outperform rating on the stock. Broadcom traded as high as $275.80 and last traded at $274.87. Approximately 10,592,655 shares changed hands during mid-day trading, a decline of 63% from the average daily volume of 28,641,799 shares. The stock had previously closed at $269.90.

Several other brokerages have also recently weighed in on AVGO. Susquehanna lifted their price objective on Broadcom from $280.00 to $300.00 and gave the company a "positive" rating in a report on Friday, June 6th. Cantor Fitzgerald reaffirmed an "overweight" rating and issued a $300.00 price objective on shares of Broadcom in a report on Friday, June 6th. Redburn Atlantic began coverage on Broadcom in a report on Wednesday, May 28th. They issued a "buy" rating and a $301.00 price objective for the company. KeyCorp boosted their price target on Broadcom from $260.00 to $275.00 and gave the stock an "overweight" rating in a report on Friday, March 7th. Finally, Cowen reissued a "buy" rating on shares of Broadcom in a report on Friday, June 6th. Two equities research analysts have rated the stock with a hold rating, twenty-six have issued a buy rating and two have given a strong buy rating to the company. According to data from MarketBeat.com, the stock has an average rating of "Buy" and an average price target of $281.46.

Insider Buying and Selling at Broadcom

In other news, Director Henry Samueli sold 473,898 shares of the stock in a transaction that occurred on Wednesday, June 25th. The stock was sold at an average price of $265.33, for a total value of $125,739,356.34. Following the completion of the sale, the director directly owned 38,188,575 shares of the company's stock, valued at $10,132,574,604.75. This represents a 1.23% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CFO Kirsten M. Spears sold 56,310 shares of the stock in a transaction that occurred on Wednesday, June 18th. The stock was sold at an average price of $251.75, for a total value of $14,176,042.50. Following the completion of the sale, the chief financial officer directly owned 361,937 shares of the company's stock, valued at approximately $91,117,639.75. This trade represents a 13.46% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 854,716 shares of company stock worth $221,433,761 in the last quarter. Company insiders own 2.00% of the company's stock.

Hedge Funds Weigh In On Broadcom

Several institutional investors have recently modified their holdings of AVGO. Barnes Dennig Private Wealth Management LLC bought a new position in Broadcom during the first quarter valued at $25,000. Cheviot Value Management LLC bought a new position in Broadcom during the first quarter valued at $25,000. Rialto Wealth Management LLC purchased a new stake in shares of Broadcom during the fourth quarter worth $26,000. Inlight Wealth Management LLC purchased a new stake in shares of Broadcom during the first quarter worth $26,000. Finally, Sunbeam Capital Management LLC purchased a new stake in shares of Broadcom during the fourth quarter worth $28,000. 76.43% of the stock is owned by institutional investors.

Broadcom Trading Up 1.8%

The stock has a market cap of $1.29 trillion, a PE ratio of 102.95, a P/E/G ratio of 1.92 and a beta of 1.12. The firm has a 50-day simple moving average of $237.12 and a 200-day simple moving average of $216.98. The company has a quick ratio of 0.98, a current ratio of 1.08 and a debt-to-equity ratio of 0.89.

Broadcom (NASDAQ:AVGO - Get Free Report) last issued its quarterly earnings data on Thursday, June 5th. The semiconductor manufacturer reported $1.58 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.57 by $0.01. Broadcom had a return on equity of 35.49% and a net margin of 22.64%. The company had revenue of $15 billion for the quarter, compared to the consensus estimate of $14.98 billion. During the same quarter last year, the business posted $10.96 earnings per share. The firm's revenue was up 20.2% compared to the same quarter last year. Equities analysts forecast that Broadcom Inc. will post 5.38 earnings per share for the current year.

Broadcom Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Monday, June 30th. Shareholders of record on Friday, June 20th were given a dividend of $0.59 per share. The ex-dividend date was Friday, June 20th. This represents a $2.36 annualized dividend and a yield of 0.86%. Broadcom's payout ratio is 88.39%.

Broadcom announced that its board has authorized a stock buyback plan on Monday, April 7th that permits the company to buyback $10.00 billion in outstanding shares. This buyback authorization permits the semiconductor manufacturer to repurchase up to 1.4% of its shares through open market purchases. Shares buyback plans are generally an indication that the company's board believes its stock is undervalued.

About Broadcom

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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