a16z Perennial Management L.P. Has $49.99 Million Position in Broadcom Inc. $AVGO

Key Points

• a16z Perennial Management increased its Broadcom stake by 125.5% in the fourth quarter, ending with 144,449 shares worth about $49.99 million. Broadcom is now its 6th-largest position and makes up roughly 3.8% of the portfolio.
• Broadcom reported better-than-expected quarterly results, with EPS of $2.44 and revenue of $22.19 billion, up 47.9% year over year. The company also announced a quarterly dividend of $0.65 per share.
• Despite strong fundamentals, the stock has drawn mixed sentiment: insiders sold shares in recent months, while several analysts raised price targets and maintained bullish ratings. Broadcom shares opened at $418.91, below the highest analyst targets but above its 50-day and 200-day averages.

a16z Perennial Management L.P. raised its holdings in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 125.5% in the 4th quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 144,449 shares of the semiconductor manufacturer's stock after purchasing an additional 80,401 shares during the quarter. Broadcom accounts for about 3.8% of a16z Perennial Management L.P.'s portfolio, making the stock its 6th largest position. a16z Perennial Management L.P.'s holdings in Broadcom were worth $49,994,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also made changes to their positions in the company. Miller Global Investments LLC bought a new position in Broadcom in the fourth quarter worth approximately $31,000. Nvest Wealth Strategies Inc. bought a new position in Broadcom in the fourth quarter worth approximately $33,000. Family CFO Inc bought a new position in Broadcom in the fourth quarter worth approximately $35,000. PayPay Securities Corp grew its stake in Broadcom by 88.9% in the fourth quarter. PayPay Securities Corp now owns 119 shares of the semiconductor manufacturer's stock worth $41,000 after purchasing an additional 56 shares in the last quarter. Finally, Camelot Portfolios LLC bought a new position in Broadcom in the fourth quarter worth approximately $45,000. Hedge funds and other institutional investors own 76.43% of the company's stock.

Insider Activity

In other Broadcom news, insider Charlie B. Kawwas sold 39,116 shares of the business's stock in a transaction dated Tuesday, March 17th. The shares were sold at an average price of $321.61, for a total value of $12,580,096.76. Following the completion of the transaction, the insider directly owned 74,626 shares in the company, valued at approximately $24,000,467.86. The trade was a 34.39% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, CFO Kirsten M. Spears sold 36,292 shares of the business's stock in a transaction dated Tuesday, March 17th. The stock was sold at an average price of $321.60, for a total transaction of $11,671,507.20. Following the completion of the transaction, the chief financial officer owned 327,760 shares of the company's stock, valued at $105,407,616. This represents a 9.97% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 324,282 shares of company stock valued at $106,425,249. Company insiders own 1.90% of the company's stock.

Wall Street Analysts Forecast Growth

AVGO has been the subject of a number of research reports. UBS Group set a $485.00 price objective on shares of Broadcom and gave the stock a "buy" rating in a research note on Thursday. Mizuho upped their price objective on shares of Broadcom from $480.00 to $530.00 and gave the stock an "outperform" rating in a research note on Thursday. JPMorgan Chase & Co. upped their price objective on shares of Broadcom from $500.00 to $580.00 and gave the stock an "overweight" rating in a research note on Thursday. Oppenheimer reaffirmed an "outperform" rating and issued a $535.00 price objective (up from $450.00) on shares of Broadcom in a research note on Thursday. Finally, Wells Fargo & Company reaffirmed an "overweight" rating and issued a $545.00 price objective (up from $430.00) on shares of Broadcom in a research note on Thursday, May 14th. One analyst has rated the stock with a Strong Buy rating, twenty-eight have given a Buy rating and four have issued a Hold rating to the company's stock. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $490.13.

Broadcom Stock Performance

Shares of Broadcom stock opened at $418.91 on Friday. The company has a market capitalization of $1.98 trillion, a PE ratio of 69.82, a P/E/G ratio of 0.99 and a beta of 1.41. The company has a debt-to-equity ratio of 0.80, a quick ratio of 1.73 and a current ratio of 1.90. The company has a 50-day simple moving average of $394.88 and a two-hundred day simple moving average of $361.73. Broadcom Inc. has a one year low of $241.11 and a one year high of $495.00.

Broadcom (NASDAQ:AVGO - Get Free Report) last announced its earnings results on Wednesday, June 3rd. The semiconductor manufacturer reported $2.44 EPS for the quarter, topping analysts' consensus estimates of $2.40 by $0.04. The business had revenue of $22.19 billion during 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 42.88%. The firm's revenue was up 47.9% on a year-over-year basis. During the same period in the previous year, the company posted $1.58 earnings per share. Research analysts expect that Broadcom Inc. will post 9.89 EPS for the current fiscal year.

Broadcom Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Tuesday, June 30th. Shareholders of record on Monday, June 22nd will be issued a $0.65 dividend. The ex-dividend date is Monday, June 22nd. This represents a $2.60 dividend on an annualized basis and a yield of 0.6%. Broadcom's payout ratio is currently 50.78%.

Key Stories Impacting Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom still delivered record second-quarter revenue of $22.19 billion, topped EPS estimates, and generated strong free cash flow, showing underlying business strength. Broadcom Inc. Announces Second Quarter Fiscal Year 2026 Financial Results and Quarterly Dividend
• Positive Sentiment: AI semiconductor revenue surged 143% year over year to $10.8 billion, and management signaled continued demand from hyperscale customers. Broadcom's sales and AI chip forecast comes in below expectations, shares tumble
• Positive Sentiment: Several analysts raised price targets after the report, including JPMorgan, Bank of America, Mizuho, and Benchmark, indicating Street optimism remains intact despite the selloff. Benzinga analyst target updates
• Neutral Sentiment: Broadcom declared a quarterly dividend of $0.65 per share, reinforcing its shareholder-return profile but not enough to offset the earnings-driven volatility.
• Negative Sentiment: The stock sold off because third-quarter AI revenue guidance came in below elevated expectations, raising concerns that AI growth may be normalizing faster than investors hoped. Broadcom: AI guidance gap reveals the cost of sky-high expectations
• Negative Sentiment: Broadcom’s disappointment sparked a broader semiconductor retreat, pressuring chip stocks and contributing to weakness in the Nasdaq. Micron, Marvell, and Broadcom lead chipmakers' premarket losses

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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