2,994 Broadcom Inc. $AVGO Shares Sold by CMH Wealth Management LLC

Key Points

• CMH Wealth Management reduced its Broadcom stake by 8.3%, selling 2,994 shares and retaining 33,183 shares valued at approximately $11.65 million. Institutional investors and hedge funds collectively own 76.43% of Broadcom.
• Broadcom continues to benefit from strong AI infrastructure demand, including a reported $63 billion financing vehicle tied to Anthropic and Anthropic’s $224.5 billion in non-cancelable compute commitments.
• Broadcom’s latest results exceeded expectations, with quarterly revenue rising 85.5% year over year to $29.59 billion and EPS beating estimates; however, supplier diversification by Alphabet and tighter AI data-center financing remain risks.

CMH Wealth Management LLC lowered its stake in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 8.3% during the third quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 33,183 shares of the semiconductor manufacturer's stock after selling 2,994 shares during the period. Broadcom comprises 1.7% of CMH Wealth Management LLC's portfolio, making the stock its 17th largest holding. CMH Wealth Management LLC's holdings in Broadcom were worth $11,654,000 as of its most recent filing with the Securities and Exchange Commission.

Other institutional investors and hedge funds also recently added to or reduced their stakes in the company. Cornerstone Advisors LLC acquired a new position in shares of Broadcom during the 2nd quarter worth $92,522,000. GAMMA Investing LLC boosted its position in shares of Broadcom by 8.8% in the 3rd quarter. GAMMA Investing LLC now owns 164,015 shares of the semiconductor manufacturer's stock worth $55,889,000 after buying an additional 13,317 shares in the last quarter. ANB Bank purchased a new stake in shares of Broadcom in the 3rd quarter worth about $1,181,000. Bank of America Corp DE grew its stake in Broadcom by 1.5% in the 1st quarter. Bank of America Corp DE now owns 58,737,097 shares of the semiconductor manufacturer's stock valued at $18,179,719,000 after acquiring an additional 894,564 shares during the last quarter. Finally, Clear Harbor Asset Management LLC acquired a new stake in Broadcom in the 2nd quarter valued at about $3,302,000. 76.43% of the stock is currently owned by institutional investors and hedge funds.

Key Stories Impacting Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: A coalition of banks and Blackstone is reportedly arranging a $63 billion financing vehicle to purchase AI-computing infrastructure from Broadcom and lease it to Anthropic. The proposed transaction would provide a potentially significant source of demand and revenue visibility. Banks, Blackstone Form $63 Billion Financing Vehicle for Broadcom AI Tech
• Positive Sentiment: Anthropic’s IPO filing disclosed approximately $224.5 billion of non-cancelable compute commitments with Amazon and Alphabet. The scale of those commitments supports continued spending on custom AI accelerators and networking equipment supplied or co-designed by Broadcom. Anthropic's IPO Filing Reveals a Massive Opportunity for AI Infrastructure Giants
• Positive Sentiment: Reports highlight unusually heavy call-option activity and argue that Broadcom’s custom AI chips are gaining popularity among major AI companies. Bullish commentary also points to strong projected growth in custom silicon and networking through 2030. Huge, unusual call option activity in Broadcom shows investors bullish on AVGO stock
• Neutral Sentiment: Broadcom’s stock is being described as potentially attractive after reaching a six-month low, although investors remain focused on whether future AI growth is already reflected in its premium valuation. Broadcom Is At a 6-Month Low - Is AVGO Stock Too Cheap?
• Negative Sentiment: Alphabet is reportedly diversifying its TPU suppliers to include MediaTek, raising concerns that Broadcom could lose some custom-chip business. Growing demand from Anthropic and OpenAI may offset that risk, but supplier diversification remains an important competitive threat. Broadcom's AI Chip Business Is Booming, But Alphabet's Strategy Highlights 2 Key Risks
• Negative Sentiment: Concerns that debt-market funding for AI data centers is tightening could slow infrastructure construction and customer spending. Separately, Erste Group Bank cut its earnings estimates for Broadcom, adding near-term pressure to expectations.

Broadcom Stock Performance

Shares of AVGO opened at $329.17 on Tuesday. The company has a debt-to-equity ratio of 0.57, a quick ratio of 2.29 and a current ratio of 2.50. The company has a market capitalization of $1.57 trillion, a price-to-earnings ratio of 42.04 and a beta of 1.46. The company's 50 day simple moving average is $356.76 and its 200 day simple moving average is $367.07. Broadcom Inc. has a 1 year low of $289.96 and a 1 year high of $495.00.

Broadcom (NASDAQ:AVGO - Get Free Report) last announced its earnings results on Wednesday, September 2nd. The semiconductor manufacturer reported $3.32 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $3.22 by $0.10. Broadcom had a net margin of 42.94% and a return on equity of 48.33%. The firm had revenue of $29.59 billion for the quarter, compared to analyst estimates of $29.24 billion. During the same quarter last year, the business earned $1.69 earnings per share. Broadcom's revenue was up 85.5% compared to the same quarter last year. On average, sell-side analysts predict that Broadcom Inc. will post 10.37 EPS for the current year.

Broadcom Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, September 30th. Investors of record on Monday, September 21st were paid a $0.65 dividend. This represents a $2.60 annualized dividend and a yield of 0.8%. The ex-dividend date was Monday, September 21st. Broadcom's dividend payout ratio is presently 33.21%.

Wall Street Analysts Forecast Growth

Several brokerages have issued reports on AVGO. President Capital upped their price target on shares of Broadcom from $520.00 to $546.00 and gave the company a "buy" rating in a report on Thursday, September 3rd. Fox Advisors upgraded shares of Broadcom to an "outperform" rating in a research report on Thursday, September 3rd. Bank of America dropped their price objective on shares of Broadcom from $530.00 to $460.00 and set a "buy" rating for the company in a research note on Thursday, September 3rd. BMO Capital Markets lifted their price objective on Broadcom from $455.00 to $575.00 and gave the stock an "outperform" rating in a research report on Thursday, September 3rd. Finally, Lake Street Capital raised Broadcom to a "buy" rating in a research note on Thursday, September 3rd. One analyst has rated the stock with a Strong Buy rating, thirty-eight have issued a Buy rating and three have given a Hold rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $529.17.

Broadcom Company Profile

Broadcom Inc NASDAQ: AVGO is a global technology company that designs, develops and supplies semiconductor and infrastructure software products. Its semiconductor solutions support data center, networking, broadband, wireless communications, storage, industrial and other electronic applications.

The company's semiconductor portfolio includes networking and switching components, custom accelerators, connectivity and wireless devices, broadband equipment, optical products, storage controllers and related infrastructure technologies.

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