AMS Capital Ltda Purchases Shares of 28,829 Broadcom Inc. $AVGO

Key Points

• AMS Capital Ltda acquired 28,829 Broadcom shares during the second quarter, worth approximately $10.89 million and representing about 3.7% of its portfolio. Institutional investors collectively own 76.43% of Broadcom.
• Broadcom reported strong quarterly results, with revenue up 47.9% year over year to $22.19 billion and EPS of $2.44, exceeding analyst expectations. Analysts maintain a “Moderate Buy” consensus rating with an average price target of $491.97.
• AI infrastructure demand and VMware growth support the bullish outlook, but investors remain focused on customer concentration, elevated valuation, potential margin pressure and balance-sheet risks ahead of upcoming earnings.

AMS Capital Ltda purchased a new position in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) during the 2nd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm purchased 28,829 shares of the semiconductor manufacturer's stock, valued at approximately $10,890,000. Broadcom makes up about 3.7% of AMS Capital Ltda's portfolio, making the stock its 11th biggest holding.

A number of other hedge funds have also recently made changes to their positions in AVGO. Norges Bank purchased a new position in Broadcom in the 4th quarter worth $24,252,196,000. Bank of New York Mellon Corp purchased a new stake in Broadcom during the second quarter valued at about $10,528,191,000. Cardano Risk Management B.V. grew its stake in shares of Broadcom by 895.2% during the fourth quarter. Cardano Risk Management B.V. now owns 12,689,800 shares of the semiconductor manufacturer's stock valued at $4,391,940,000 after buying an additional 11,414,701 shares during the last quarter. Arrowstreet Capital Limited Partnership grew its stake in shares of Broadcom by 118.1% during the first quarter. Arrowstreet Capital Limited Partnership now owns 18,739,006 shares of the semiconductor manufacturer's stock valued at $5,799,889,000 after buying an additional 10,145,377 shares during the last quarter. Finally, State Street Corp increased its holdings in shares of Broadcom by 2.7% in the fourth quarter. State Street Corp now owns 190,084,351 shares of the semiconductor manufacturer's stock worth $65,788,194,000 after buying an additional 5,040,801 shares during the period. 76.43% of the stock is currently owned by institutional investors.

Broadcom News Summary

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Analyst support remains strong: BMO initiated coverage with an Outperform rating and a $455 price target, while RBC reaffirmed its Sector Perform rating with a $400 target—both implying potential upside from the recently reported trading level. BMO starts Broadcom at Outperform with $455 target
• Positive Sentiment: AI infrastructure demand remains the core bullish thesis: Broadcom is positioned to benefit from custom AI accelerators, networking equipment, and the shift toward inference and agentic AI workloads. Commentary also suggests a potential “next $100 billion” AI business opportunity if hyperscaler demand continues. Broadcom’s next $100 billion AI business is taking shape
• Positive Sentiment: VMware commercial traction is encouraging: Rackspace launched a managed multitenant cloud based on Broadcom’s VMware Cloud Foundation 9.1, supporting regulated workloads, Kubernetes, and AI applications. Broadcom debuts VMware Cloud Foundation 9.1
• Neutral Sentiment: Earnings are the near-term catalyst: Investors are awaiting Broadcom’s results and guidance for evidence that AI demand, custom-chip growth, and VMware integration can offset rising expectations. Its prior quarter showed 47.9% year-over-year revenue growth and earnings above consensus.
• Negative Sentiment: Customer concentration is a key risk: Analysts caution that dependence on a small number of large hyperscale customers could make revenue vulnerable to spending changes, in-house chip development, or order delays. Broadcom's real risk is its customer list
• Negative Sentiment: Valuation and financial concerns are weighing on sentiment: Broadcom’s premium multiple, potential margin contraction, vendor-financing expansion, and reports of increased credit-default-swap concerns have raised questions about execution and balance-sheet risk. Broadcom Q3 earnings preview

Broadcom Stock Performance

Broadcom stock opened at $355.59 on Thursday. The company has a current ratio of 2.24, a quick ratio of 2.01 and a debt-to-equity ratio of 0.71. The firm has a market cap of $1.69 trillion, a P/E ratio of 59.27, a P/E/G ratio of 0.68 and a beta of 1.45. Broadcom Inc. has a 1-year low of $287.17 and a 1-year high of $495.00. The firm has a 50-day moving average of $386.72 and a 200-day moving average of $376.03.

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

Broadcom Dividend Announcement

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

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently weighed in on AVGO shares. Jefferies Financial Group set a $550.00 target price on Broadcom and gave the company a "buy" rating in a research note on Thursday, June 4th. The Goldman Sachs Group restated a "buy" rating on shares of Broadcom in a research report on Monday, August 3rd. Mizuho lifted their price target on Broadcom from $480.00 to $530.00 and gave the stock an "outperform" rating in a research note on Thursday, June 4th. Wall Street Zen downgraded Broadcom from a "strong-buy" rating to a "buy" rating in a research report on Saturday, July 18th. Finally, Evercore reissued an "outperform" rating and set a $582.00 price objective on shares of Broadcom in a research note on Tuesday, May 19th. Twenty-nine investment analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus price target of $491.97.

Insiders Place Their Bets

In related news, Director Gayla J. Delly sold 1,890 shares of the company's stock in a transaction that occurred on Wednesday, July 8th. The stock was sold at an average price of $385.38, for a total transaction of $728,368.20. Following the completion of the transaction, the director owned 31,326 shares in the company, valued at $12,072,413.88. This represents a 5.69% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Harry L. You purchased 1,000 shares of the company's stock in a transaction that occurred on Thursday, June 11th. The stock was acquired at an average cost of $373.57 per share, with a total value of $373,570.00. Following the purchase, the director directly owned 38,466 shares of the company's stock, valued at $14,369,743.62. This trade represents a 2.67% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders sold a total of 61,644 shares of company stock valued at $24,016,214 over the last three months. 1.90% of the stock is currently owned by corporate insiders.

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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