George Kaiser Family Foundation Makes New $260,000 Investment in Broadcom Inc. $AVGO

Key Points

• The George Kaiser Family Foundation has acquired 1,552 shares of Broadcom Inc. (NASDAQ:AVGO), valued at approximately $260,000, marking a new position for the institutional investor in the semiconductor sector.
• Broadcom recently reported a 20.2% year-over-year revenue increase for the quarter, with earnings per share of $1.58, slightly exceeding analysts' expectations.
• Equities research analysts have shown strong confidence in Broadcom, with a consensus rating of "Buy" and an average target price of $295.96, following several upgrades in target pricing by major firms.

George Kaiser Family Foundation bought a new stake in Broadcom Inc. (NASDAQ:AVGO - Free Report) during the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm bought 1,552 shares of the semiconductor manufacturer's stock, valued at approximately $260,000.

Several other hedge funds also recently modified their holdings of AVGO. Sunbeam Capital Management LLC acquired a new stake in shares of Broadcom in the 4th quarter valued at approximately $28,000. Vermillion Wealth Management Inc. acquired a new stake in shares of Broadcom in the 4th quarter valued at approximately $30,000. Barnes Dennig Private Wealth Management LLC acquired a new stake in shares of Broadcom in the 1st quarter valued at approximately $25,000. Cheviot Value Management LLC acquired a new stake in shares of Broadcom in the 1st quarter valued at approximately $25,000. Finally, Inlight Wealth Management LLC acquired a new stake in shares of Broadcom in the 1st quarter valued at approximately $26,000. Institutional investors own 76.43% of the company's stock.

Broadcom Stock Down 0.2%

Shares of AVGO traded down $0.58 during mid-day trading on Monday, hitting $305.76. 14,705,522 shares of the company's stock were exchanged, compared to its average volume of 17,400,806. The company has a market cap of $1.44 trillion, a PE ratio of 114.52, a P/E/G ratio of 2.18 and a beta of 1.15. Broadcom Inc. has a 52 week low of $134.90 and a 52 week high of $317.35. The company has a 50-day simple moving average of $279.50 and a 200 day simple moving average of $230.48. The company has a debt-to-equity ratio of 0.89, a current ratio of 1.08 and a quick ratio of 0.98.

Broadcom (NASDAQ:AVGO - Get Free Report) last released its earnings results on Thursday, June 5th. The semiconductor manufacturer reported $1.58 earnings per share for the quarter, beating the consensus estimate of $1.57 by $0.01. Broadcom had a net margin of 22.64% and a return on equity of 35.49%. The business had revenue of $15 billion during the quarter, compared to analysts' expectations of $14.98 billion. During the same period last year, the business earned $10.96 earnings per share. The firm's revenue was up 20.2% on a year-over-year basis. On average, research analysts forecast that Broadcom Inc. will post 5.38 earnings per share for the current fiscal year.

Broadcom Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Monday, June 30th. Investors of record on Friday, June 20th were paid a $0.59 dividend. The ex-dividend date of this dividend was Friday, June 20th. This represents a $2.36 annualized dividend and a dividend yield of 0.8%. Broadcom's dividend payout ratio (DPR) is currently 88.39%.

Insiders Place Their Bets

In related news, Director Henry Samueli sold 473,898 shares of the firm's stock in a transaction on Wednesday, June 25th. The shares were sold at an average price of $265.33, for a total value of $125,739,356.34. Following the completion of the transaction, the director directly owned 38,188,575 shares of the company's stock, valued at approximately $10,132,574,604.75. This trade represents a 1.23% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Hock E. Tan sold 117,758 shares of the firm's stock in a transaction on Thursday, June 12th. The shares were sold at an average price of $252.91, for a total transaction of $29,782,175.78. Following the completion of the transaction, the chief executive officer directly owned 1,014,152 shares of the company's stock, valued at $256,489,182.32. This represents a 10.40% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 830,516 shares of company stock valued at $217,286,457 in the last ninety days. 2.00% of the stock is currently owned by insiders.

Analyst Upgrades and Downgrades

AVGO has been the topic of a number of analyst reports. Wall Street Zen upgraded shares of Broadcom from a "hold" rating to a "buy" rating in a research report on Sunday. Cantor Fitzgerald reiterated an "overweight" rating and issued a $300.00 price target on shares of Broadcom in a research report on Friday, June 6th. Citigroup increased their price target on shares of Broadcom from $285.00 to $315.00 and gave the company a "buy" rating in a research report on Monday, July 7th. Cowen restated a "buy" rating on shares of Broadcom in a report on Friday, June 6th. Finally, Barclays raised their target price on shares of Broadcom from $215.00 to $265.00 and gave the stock an "overweight" rating in a report on Monday, June 9th. One analyst has rated the stock with a hold rating, twenty-seven have issued a buy rating and three have issued a strong buy rating to the company. Based on data from MarketBeat, Broadcom has an average rating of "Buy" and a consensus target price of $295.96.

Broadcom 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.