Broadcom (NASDAQ:AVGO) Trading Up 1.9% Following Analyst Upgrade

Key Points

• Broadcom Inc. saw a 1.9% increase in stock price after Morgan Stanley raised its price target from $338 to $357, maintaining an "overweight" rating.
• Insiders have sold substantial shares recently, with the latest transactions reducing their ownership stakes by 1.25% and 10.73% respectively, indicating potential insider confidence or profit-taking.
• Currently, Broadcom holds an average rating of "Buy" among analysts, with a consensus target price of $302.58, reflecting strong market interest in the company's prospects.

Broadcom Inc. (NASDAQ:AVGO - Get Free Report)'s stock price was up 1.9% during trading on Wednesday after Morgan Stanley raised their price target on the stock from $338.00 to $357.00. Morgan Stanley currently has an overweight rating on the stock. Broadcom traded as high as $302.80 and last traded at $304.02. Approximately 5,638,062 shares were traded during trading, a decline of 78% from the average daily volume of 25,599,988 shares. The stock had previously closed at $298.24.

AVGO has been the subject of a number of other research reports. Citigroup increased their target price on Broadcom from $285.00 to $315.00 and gave the company a "buy" rating in a report on Monday, July 7th. Cantor Fitzgerald restated an "overweight" rating and issued a $300.00 target price on shares of Broadcom in a report on Friday, June 6th. Truist Financial set a $295.00 target price on Broadcom and gave the company a "buy" rating in a report on Friday, June 6th. Evercore ISI restated an "outperform" rating and issued a $304.00 target price (up previously from $267.00) on shares of Broadcom in a report on Friday, June 6th. Finally, Hsbc Global Res upgraded Broadcom from a "hold" rating to a "strong-buy" rating in a report on Tuesday, June 24th. Three research analysts have rated the stock with a Strong Buy rating, twenty-six have issued a Buy rating and one has assigned a Hold rating to the stock. Based on data from MarketBeat, Broadcom presently has an average rating of "Buy" and a consensus target price of $302.58.

Insider Activity

In other Broadcom news, insider Charlie B. Kawwas sold 10,000 shares of the stock in a transaction on Wednesday, June 11th. The shares were sold at an average price of $252.88, for a total transaction of $2,528,800.00. Following the transaction, the insider directly owned 789,784 shares of the company's stock, valued at $199,720,577.92. This represents a 1.25% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, insider Mark David Brazeal sold 50,000 shares of the stock in a transaction 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 transaction, the insider directly owned 415,956 shares in the company, valued at $105,353,335.68. The trade was a 10.73% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 830,516 shares of company stock valued at $217,286,457. Corporate insiders own 2.00% of the company's stock.

Institutional Investors Weigh In On Broadcom

Several hedge funds and other institutional investors have recently made changes to their positions in the business. PVG Asset Management Corp grew its position in shares of Broadcom by 119.4% in the second quarter. PVG Asset Management Corp now owns 2,874 shares of the semiconductor manufacturer's stock valued at $792,000 after purchasing an additional 1,564 shares during the last quarter. FSC Wealth Advisors LLC acquired a new stake in shares of Broadcom in the second quarter valued at about $74,000. Evolution Wealth Management Inc. acquired a new stake in shares of Broadcom in the second quarter valued at about $36,000. Total Investment Management Inc. acquired a new stake in shares of Broadcom in the second quarter valued at about $295,000. Finally, Lavaca Capital LLC grew its position in shares of Broadcom by 3.2% in the second quarter. Lavaca Capital LLC now owns 10,107 shares of the semiconductor manufacturer's stock valued at $2,786,000 after purchasing an additional 318 shares during the last quarter. 76.43% of the stock is owned by institutional investors and hedge funds.

Broadcom Trading Up 1.9%

The company has a market capitalization of $1.43 trillion, a price-to-earnings ratio of 113.87, a P/E/G ratio of 2.11 and a beta of 1.16. The company has a 50-day moving average price of $289.30 and a 200-day moving average price of $235.55. 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 results on Thursday, June 5th. The semiconductor manufacturer reported $1.58 earnings per share (EPS) for the quarter, beating the consensus estimate 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 period 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. Broadcom has set its Q3 2025 guidance at EPS. Research analysts predict that Broadcom Inc. will post 5.38 EPS for the current fiscal year.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.