Adams Diversified Equity Fund Inc. Sells 2,800 Shares of Broadcom Inc. $AVGO

Key Points

• Adams Diversified Equity Fund trimmed its Broadcom stake by 2,800 shares in the first quarter, a 1.1% reduction, but still held 262,400 shares valued at about $81.2 million. Broadcom remains one of the fund’s top holdings, making up roughly 2.9% of the portfolio.
• Analyst sentiment remains bullish, with UBS, Jefferies, Goldman Sachs, TD Cowen and others reiterating Buy ratings and setting price targets as high as $550. The consensus view from MarketBeat is a Moderate Buy with an average target price of $493.24.
• Broadcom posted strong quarterly results, reporting EPS of $2.44 on revenue of $22.19 billion, both slightly ahead of estimates, while revenue jumped 47.9% year over year. The stock was recently trading down around 2.2% despite its strong fundamentals and ongoing AI-related growth narrative.

Adams Diversified Equity Fund Inc. reduced its stake in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 1.1% during the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 262,400 shares of the semiconductor manufacturer's stock after selling 2,800 shares during the period. Broadcom comprises approximately 2.9% of Adams Diversified Equity Fund Inc.'s investment portfolio, making the stock its 6th largest position. Adams Diversified Equity Fund Inc.'s holdings in Broadcom were worth $81,215,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors also recently made changes to their positions in AVGO. ROSS JOHNSON & Associates LLC grew its position in Broadcom by 1,320.0% during the 4th quarter. ROSS JOHNSON & Associates LLC now owns 71 shares of the semiconductor manufacturer's stock worth $25,000 after acquiring an additional 66 shares during the last quarter. SWAN Capital LLC boosted its stake in shares of Broadcom by 261.9% during the fourth quarter. SWAN Capital LLC now owns 76 shares of the semiconductor manufacturer's stock valued at $26,000 after purchasing an additional 55 shares in the last quarter. Miller Global Investments LLC bought a new stake in shares of Broadcom during the fourth quarter worth about $31,000. Nvest Wealth Strategies Inc. acquired a new position in shares of Broadcom in the fourth quarter valued at approximately $33,000. Finally, Family CFO Inc acquired a new position in shares of Broadcom in the fourth quarter valued at approximately $35,000. 76.43% of the stock is owned by institutional investors.

Key Broadcom News

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: UBS reaffirmed a Buy rating on Broadcom and kept a $485 price target, citing strong AI ASIC demand and growth tied to customers like OpenAI and Anthropic. UBS Reaffirms Buy Rating on Broadcom (AVGO) Amid AI ASIC Demand and OpenAI, Anthropic Growth
• Positive Sentiment: Jefferies also reiterated a Buy rating and a $550 price target, reinforcing the view that Broadcom still has meaningful upside from current levels. Analyst updates Broadcom (AVGO) stock price target
• Positive Sentiment: Several articles highlighted Broadcom’s growing role in custom AI silicon and its partnership with OpenAI on the “Jalapeño” AI accelerator, which supports the bullish narrative around its AI revenue opportunity. What Broadcom (AVGO)'s Jalapeño AI Accelerator Partnership With OpenAI Means For Shareholders
• Neutral Sentiment: Erste Group Bank slightly raised FY2026 and FY2027 earnings estimates for Broadcom and kept a Buy rating, adding to the list of supportive but not market-moving analyst updates.
• Neutral Sentiment: Market commentary continues to frame Broadcom as a strong growth stock and a key AI beneficiary, but these are mostly reiterations of the bullish long-term thesis rather than new catalysts.
• Negative Sentiment: Director Justine Page sold 1,602 shares at an average price of $373.86, extending recent insider-selling headlines that can weigh on investor sentiment. SEC Form 4 filing for Justine Page sale
• Negative Sentiment: Broader articles about Broadcom’s recent slump and questions about valuation suggest investors are becoming more cautious after the stock’s strong run, even with bullish analysts arguing the weakness is a buying opportunity.

Wall Street Analyst Weigh In

Several equities analysts have recently issued reports on the stock. Erste Group Bank raised shares of Broadcom from a "hold" rating to a "buy" rating in a research note on Friday, June 5th. The Goldman Sachs Group restated a "buy" rating and issued a $525.00 price objective on shares of Broadcom in a report on Thursday, June 4th. TD Cowen reissued a "buy" rating and issued a $500.00 price target on shares of Broadcom in a research note on Thursday, June 4th. UBS Group set a $485.00 price objective on Broadcom and gave the stock a "buy" rating in a research note on Thursday, June 4th. Finally, Seaport Research Partners reiterated a "neutral" rating on shares of Broadcom in a report on Wednesday, April 8th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating and three have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, Broadcom presently has an average rating of "Moderate Buy" and a consensus target price of $493.24.

Broadcom Trading Down 2.2%

Shares of Broadcom stock opened at $369.34 on Thursday. The stock has a market capitalization of $1.76 trillion, a PE ratio of 61.56, a price-to-earnings-growth ratio of 0.66 and a beta of 1.45. Broadcom Inc. has a 52 week low of $262.73 and a 52 week high of $495.00. The stock has a 50 day moving average price of $410.00 and a two-hundred day moving average price of $362.34. The company has a debt-to-equity ratio of 0.71, a quick ratio of 2.01 and a current ratio of 2.24.

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

Broadcom Dividend Announcement

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

Insider Activity at Broadcom

In related news, insider Charlie B. Kawwas sold 10,000 shares of the business's stock in a transaction dated Wednesday, April 8th. The shares were sold at an average price of $345.23, for a total transaction of $3,452,300.00. Following the transaction, the insider directly owned 787,184 shares in the company, valued at approximately $271,759,532.32. The trade was a 1.25% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Justine Page sold 2,018 shares of the company's stock in a transaction that occurred on Wednesday, April 8th. The shares were sold at an average price of $353.00, for a total value of $712,354.00. Following the completion of the transaction, the director directly owned 18,164 shares of the company's stock, valued at approximately $6,411,892. This represents a 10.00% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 60,987 shares of company stock valued at $21,899,980 over the last three months. Insiders own 1.90% of the company's stock.

Broadcom 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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