AIA Group Ltd Reduces Position in Broadcom Inc. (NASDAQ:AVGO)

Key Points

• AIA Group Ltd has reduced its holdings in Broadcom Inc. by 3.2%, owning 210,947 shares valued at approximately $35.32 million, which constitutes about 0.9% of its portfolio.
• Insider transactions indicate a selling trend, with CEO Hock E. Tan selling 117,758 shares worth nearly $30 million, resulting in a 10.40% decrease in his ownership.
• Broadcom's recent earnings report showed 20.2% revenue growth year-over-year, with earnings per share at $1.58, exceeding analyst expectations.

AIA Group Ltd decreased its holdings in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 3.2% during the 1st quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm owned 210,947 shares of the semiconductor manufacturer's stock after selling 7,056 shares during the period. Broadcom comprises approximately 0.9% of AIA Group Ltd's investment portfolio, making the stock its 22nd biggest holding. AIA Group Ltd's holdings in Broadcom were worth $35,319,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also recently bought and sold shares of the business. True Wealth Design LLC lifted its stake in Broadcom by 7.2% in the fourth quarter. True Wealth Design LLC now owns 712 shares of the semiconductor manufacturer's stock worth $165,000 after purchasing an additional 48 shares during the last quarter. Fulton Breakefield Broenniman LLC raised its stake in shares of Broadcom by 2.4% during the first quarter. Fulton Breakefield Broenniman LLC now owns 2,130 shares of the semiconductor manufacturer's stock valued at $357,000 after acquiring an additional 50 shares during the last quarter. American Financial Advisors LLC raised its stake in shares of Broadcom by 3.8% during the first quarter. American Financial Advisors LLC now owns 1,432 shares of the semiconductor manufacturer's stock valued at $240,000 after acquiring an additional 52 shares during the last quarter. GS Investments Inc. raised its stake in shares of Broadcom by 0.5% during the first quarter. GS Investments Inc. now owns 11,397 shares of the semiconductor manufacturer's stock valued at $1,908,000 after acquiring an additional 52 shares during the last quarter. Finally, First Bank & Trust raised its stake in shares of Broadcom by 1.9% during the first quarter. First Bank & Trust now owns 2,945 shares of the semiconductor manufacturer's stock valued at $493,000 after acquiring an additional 55 shares during the last quarter. Institutional investors own 76.43% of the company's stock.

Broadcom Stock Performance

Shares of Broadcom stock traded down $3.74 on Wednesday, hitting $309.09. 17,344,261 shares of the company's stock were exchanged, compared to its average volume of 26,324,674. The company has a 50-day simple moving average of $275.10 and a 200-day simple moving average of $227.64. The stock has a market capitalization of $1.45 trillion, a PE ratio of 115.76, a PEG ratio of 2.16 and a beta of 1.15. Broadcom Inc. has a 1 year low of $134.90 and a 1 year high of $317.35. The company has a debt-to-equity ratio of 0.89, a quick ratio of 0.98 and a current ratio of 1.08.

Broadcom (NASDAQ:AVGO - Get Free Report) last issued its quarterly earnings results on Thursday, June 5th. The semiconductor manufacturer reported $1.58 earnings per share for the quarter, topping the consensus estimate of $1.57 by $0.01. The business had revenue of $15 billion for the quarter, compared to analysts' expectations of $14.98 billion. Broadcom had a net margin of 22.64% and a return on equity of 35.49%. The company's revenue was up 20.2% compared to the same quarter last year. During the same quarter last year, the company posted $10.96 EPS. As a group, equities analysts anticipate that Broadcom Inc. will post 5.38 EPS for the current year.

Broadcom Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Monday, June 30th. Stockholders of record on Friday, June 20th were given a dividend of $0.59 per share. This represents a $2.36 annualized dividend and a dividend yield of 0.8%. The ex-dividend date was Friday, June 20th. Broadcom's dividend payout ratio (DPR) is presently 88.39%.

Wall Street Analyst Weigh In

AVGO has been the subject of several recent analyst reports. Susquehanna upped their price objective on shares of Broadcom from $280.00 to $300.00 and gave the company a "positive" rating in a research note on Friday, June 6th. Truist Financial set a $295.00 price target on shares of Broadcom and gave the stock a "buy" rating in a research note on Friday, June 6th. KeyCorp increased their price target on shares of Broadcom from $315.00 to $330.00 and gave the stock an "overweight" rating in a research note on Tuesday, July 8th. Barclays increased their price target on shares of Broadcom from $215.00 to $265.00 and gave the stock an "overweight" rating in a research note on Monday, June 9th. Finally, Evercore ISI reissued an "outperform" rating and issued a $304.00 price target (up from $267.00) on shares of Broadcom in a research note on Friday, June 6th. Two research analysts have rated the stock with a hold rating, twenty-six have given a buy rating and three have given a strong buy rating to the company's stock. Based on data from MarketBeat, the stock has an average rating of "Buy" and an average target price of $294.92.

Insider Activity

In other news, CEO Hock E. Tan sold 40,000 shares of the firm's stock in a transaction on Thursday, June 26th. The shares were sold at an average price of $268.29, for a total transaction of $10,731,600.00. Following the sale, the chief executive officer directly owned 482,836 shares in the company, valued at $129,540,070.44. This trade represents a 7.65% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Justine Page sold 800 shares of the firm's stock in a transaction on Monday, July 14th. The shares were sold at an average price of $274.30, for a total transaction of $219,440.00. Following the sale, the director owned 24,582 shares in the company, valued at $6,742,842.60. The trade was a 3.15% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 829,716 shares of company stock worth $217,040,489. 2.00% of the stock is currently owned by insiders.

Broadcom Company Profile

Broadcom Inc designs, develops, and supplies various semiconductor devices with a focus on complex digital and mixed signal complementary metal oxide semiconductor based devices and analog III-V based products worldwide. The company operates in two segments, Semiconductor Solutions and Infrastructure Software.