185,000 Shares in Broadcom Inc. $AVGO Purchased by Broad Peak Investment Advisers Pte Ltd

Key Points

• Broad Peak Investment Advisers opened a new position in Broadcom, buying 185,000 shares worth about $57.3 million. The stake now represents roughly 11.6% of the fund’s portfolio, making Broadcom its second-largest holding.
• Broadcom continues to benefit from strong AI-related demand, with analysts reiterating bullish views and high price targets as the company expands its role in custom AI silicon and works with customers such as OpenAI and Anthropic.
• The company recently reported better-than-expected quarterly results and paid its latest quarterly dividend, but the stock has still faced a pullback as investors weigh high expectations and some recent insider selling.

Broad Peak Investment Advisers Pte Ltd acquired a new position in Broadcom Inc. (NASDAQ:AVGO - Free Report) in the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund acquired 185,000 shares of the semiconductor manufacturer's stock, valued at approximately $57,259,000. Broadcom makes up approximately 11.6% of Broad Peak Investment Advisers Pte Ltd's investment portfolio, making the stock its 2nd biggest position.

A number of other institutional investors have also recently bought and sold shares of the business. Catalina Capital Group LLC increased its holdings in shares of Broadcom by 2.6% during the first quarter. Catalina Capital Group LLC now owns 4,414 shares of the semiconductor manufacturer's stock worth $1,366,000 after purchasing an additional 110 shares during the period. SageGuard Financial Group LLC increased its stake in Broadcom by 34.0% during the 1st quarter. SageGuard Financial Group LLC now owns 6,965 shares of the semiconductor manufacturer's stock worth $2,156,000 after acquiring an additional 1,766 shares during the period. Dupree Financial Group LLC increased its stake in Broadcom by 13.1% during the 1st quarter. Dupree Financial Group LLC now owns 1,195 shares of the semiconductor manufacturer's stock worth $370,000 after acquiring an additional 138 shares during the period. Next Level Private LLC raised its holdings in Broadcom by 6.4% in the 1st quarter. Next Level Private LLC now owns 9,482 shares of the semiconductor manufacturer's stock valued at $2,935,000 after acquiring an additional 570 shares in the last quarter. Finally, Walleye Partners LLC acquired a new position in Broadcom in the 1st quarter valued at $250,000. 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: Wall Street remains upbeat on Broadcom’s AI growth story, with UBS reaffirming a Buy rating and $485 target on strong AI ASIC demand tied to customers like OpenAI and Anthropic. UBS Reaffirms Buy Rating on Broadcom (AVGO) Amid AI ASIC Demand and OpenAI, Anthropic Growth
• Positive Sentiment: Several recent pieces point to Broadcom’s expanding role in custom AI silicon and its OpenAI-related accelerator work, reinforcing the long-term revenue opportunity from AI infrastructure spending.
• Positive Sentiment: Analysts continue to view recent weakness as a buying opportunity, with multiple firms maintaining bullish targets well above the current share price.
• Neutral Sentiment: Commentary this week also highlighted Broadcom as a major beneficiary of the broader semiconductor and AI trade, but much of that optimism simply reiterates an already well-known investment thesis.
• Negative Sentiment: Director Justine Page sold 1,602 shares at $373.86, adding to recent insider-selling headlines that can make investors cautious. SEC Form 4 filing for Justine Page sale
• Negative Sentiment: Broadcom’s post-earnings pullback has continued to draw attention, as investors worry the company’s strong results and guidance still weren’t enough to satisfy very high expectations.

Insider Activity

In related news, Director Harry L. You purchased 1,000 shares of the stock in a transaction dated Thursday, June 11th. The stock was bought at an average cost of $373.57 per share, for a total transaction of $373,570.00. Following the completion of the acquisition, the director owned 38,466 shares of the company's stock, valued at approximately $14,369,743.62. This represents a 2.67% increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Gayla J. Delly sold 1,000 shares of the firm's stock in a transaction on Thursday, April 9th. The shares were sold at an average price of $358.31, for a total value of $358,310.00. Following the sale, the director directly owned 32,352 shares in the company, valued at approximately $11,592,045.12. This trade represents a 3.00% decrease in their position. The SEC filing for this sale provides additional information. In the last quarter, insiders have sold 60,987 shares of company stock valued at $21,899,980. 1.90% of the stock is currently owned by insiders.

Broadcom Stock Down 2.4%

Shares of NASDAQ AVGO opened at $360.45 on Friday. The company has a current ratio of 2.24, a quick ratio of 2.01 and a debt-to-equity ratio of 0.71. The company has a market cap of $1.71 trillion, a price-to-earnings ratio of 60.08, a PEG ratio of 0.65 and a beta of 1.45. Broadcom Inc. has a 12 month low of $269.58 and a 12 month high of $495.00. The stock has a 50-day moving average price of $409.17 and a two-hundred day moving average price of $362.34.

Broadcom (NASDAQ:AVGO - Get Free Report) last posted its quarterly earnings results on Wednesday, June 3rd. The semiconductor manufacturer reported $2.44 earnings per share for the quarter, beating analysts' consensus estimates of $2.40 by $0.04. The company had revenue of $22.19 billion for the quarter, compared to the consensus estimate of $22.13 billion. Broadcom had a net margin of 38.85% and a return on equity of 41.61%. The firm's quarterly revenue was up 47.9% compared to the same quarter last year. During the same period last year, the company posted $1.58 EPS. As a group, analysts forecast that Broadcom Inc. will post 10.24 earnings per share for the current fiscal year.

Broadcom Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, June 30th. Shareholders of record on Monday, June 22nd were paid a dividend of $0.65 per share. This represents a $2.60 dividend on an annualized basis and a dividend yield of 0.7%. The ex-dividend date of this dividend was Monday, June 22nd. Broadcom's payout ratio is presently 43.33%.

Analysts Set New Price Targets

A number of research analysts recently commented on AVGO shares. Truist Financial boosted their price target on Broadcom from $545.00 to $550.00 and gave the company a "buy" rating in a research note on Thursday, June 4th. KeyCorp reissued an "overweight" rating and issued a $575.00 target price (up from $500.00) on shares of Broadcom in a report on Thursday, June 4th. Wells Fargo & Company restated an "overweight" rating and issued a $545.00 target price (up from $430.00) on shares of Broadcom in a research report on Thursday, May 14th. JPMorgan Chase & Co. upped their price target on shares of Broadcom from $500.00 to $580.00 and gave the stock an "overweight" rating in a report on Thursday, June 4th. Finally, Royal Bank Of Canada increased their price target on shares of Broadcom from $360.00 to $400.00 and gave the stock a "sector perform" rating in a research report on Thursday, June 4th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-nine have issued a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat.com, Broadcom currently has an average rating of "Moderate Buy" and an average target price of $493.24.

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.

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