38,776 Shares of Broadcom Inc. $AVGO Purchased by BG Investment Services LLC

Key Points

• BG Investment Services acquired 38,776 Broadcom shares in the third quarter, valued at approximately $13.6 million, making AVGO about 2% of the firm’s portfolio. Institutional investors collectively own 76.43% of Broadcom.
• Broadcom reported strong quarterly results, with EPS of $3.32 and revenue of $29.59 billion, representing 85.5% year-over-year revenue growth and exceeding analyst expectations.
• Analysts remain broadly bullish, with the stock carrying a “Moderate Buy” consensus rating and a $530.52 average price target, supported by rising AI infrastructure demand but tempered by customer concentration, financing, supply-chain and valuation risks.

BG Investment Services LLC acquired a new position in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) in the third quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The fund acquired 38,776 shares of the semiconductor manufacturer's stock, valued at approximately $13,618,000. Broadcom makes up approximately 2.0% of BG Investment Services LLC's holdings, making the stock its 12th biggest position.

A number of other large investors have also recently made changes to their positions in the company. Networth Advisors LLC grew its stake in shares of Broadcom by 546.2% during the first quarter. Networth Advisors LLC now owns 84 shares of the semiconductor manufacturer's stock worth $26,000 after purchasing an additional 71 shares in the last quarter. Core Capital Management & Research inc. acquired a new stake in Broadcom in the second quarter valued at $31,000. Harborfront Financial Group LLC acquired a new stake in Broadcom in the second quarter valued at $38,000. Align Financial LLC lifted its holdings in Broadcom by 67.2% during the 3rd quarter. Align Financial LLC now owns 112 shares of the semiconductor manufacturer's stock worth $38,000 after buying an additional 45 shares during the last quarter. Finally, Curry Webb Wealth Management LLC purchased a new stake in Broadcom during the 3rd quarter worth about $41,000. 76.43% of the stock is currently owned by hedge funds and other institutional investors.

Broadcom Stock Performance

NASDAQ AVGO opened at $351.81 on Thursday. The company has a fifty day moving average of $353.92 and a two-hundred day moving average of $367.09. The company has a market capitalization of $1.68 trillion, a PE ratio of 44.93 and a beta of 1.46. Broadcom Inc. has a 1 year low of $289.96 and a 1 year high of $495.00. The company has a debt-to-equity ratio of 0.57, a current ratio of 2.50 and a quick ratio of 2.29.

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

Broadcom Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, September 30th. Investors of record on Monday, September 21st were paid a dividend of $0.65 per share. This represents a $2.60 dividend on an annualized basis and a yield of 0.7%. The ex-dividend date was Monday, September 21st. Broadcom's dividend payout ratio (DPR) is currently 33.21%.

Broadcom News Summary

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: D.A. Davidson upgraded Broadcom to Buy from Neutral and raised its price target from $350 to $400. The firm cited continued AI spending and potential public offerings by major AI developers, improving sentiment toward Broadcom’s custom-chip and networking outlook. D.A. Davidson upgrades Broadcom to buy from neutral
• Positive Sentiment: A $63 billion financing structure for Anthropic’s AI infrastructure is the main business catalyst. Banks and Blackstone reportedly committed financing for a special-purpose vehicle to purchase and lease Broadcom accelerators and networking equipment. Truist estimates the arrangement could generate as much as $30 billion in revenue, while the deal signals strong demand for Broadcom’s AI systems. Broadcom Anthropic financing structure
• Positive Sentiment: Credit-quality support also improved. Fitch affirmed Broadcom’s A- rating with a positive outlook, citing strong cash generation and operating momentum. Rosenblatt separately reaffirmed a Buy rating with a $600 target, underscoring the bullish view of long-term AI demand. Fitch affirms Broadcom rating
• Neutral Sentiment: Broadcom may participate in a potential investment in Meta, alongside other chip suppliers. The move could deepen customer ties and provide exposure to Meta’s AI expansion, but investing in a major customer also raises concerns about circular financing and customer concentration. Chip suppliers may invest in Meta
• Negative Sentiment: The Anthropic arrangement introduces meaningful risk. Banks reportedly considered withdrawing, and Broadcom’s potentially large AI-rack lease backstop could create off-balance-sheet obligations. Analysts also cite rising AI-related margin pressure, supply constraints, dependence on a concentrated customer base and competition from Credo. Higher interest rates could further pressure the valuation of high-growth technology shares.

Wall Street Analysts Forecast Growth

A number of research firms have recently commented on AVGO. Citic Securities upgraded Broadcom to a "buy" rating and increased their price objective for the company from $450.00 to $525.00 in a report on Tuesday, September 8th. Weiss Ratings raised Broadcom from a "buy (b-)" rating to a "buy (b)" rating in a research report on Thursday, October 8th. Raymond James Financial restated an "outperform" rating and set a $475.00 target price (up from $450.00) on shares of Broadcom in a research note on Thursday, September 3rd. Wedbush initiated coverage on Broadcom in a report on Tuesday. They issued an "outperform" rating for the company. Finally, Royal Bank Of Canada started coverage on Broadcom in a report on Thursday, September 3rd. They issued an "outperform" rating for the company. One analyst has rated the stock with a Strong Buy rating, thirty-nine have assigned a Buy rating and five have issued a Hold rating to the company's stock. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus price target of $530.52.

Broadcom 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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