Archvest Wealth Advisors Inc. Boosts Stock Holdings in Broadcom Inc. $AVGO

Key Points

• Archvest Wealth Advisors Inc. dramatically increased its Broadcom stake by 3,381.5% in the fourth quarter, buying 22,825 additional shares and bringing its total to 23,500 shares worth about $8.13 million.
• Broadcom reported better-than-expected quarterly results, with EPS of $2.44 versus estimates of $2.40 and revenue of $22.19 billion, up 47.9% year over year. Management also reiterated strong AI demand and long-term AI revenue targets.
• Despite the strong fundamentals, the stock has been under pressure because investors wanted an even bigger AI outlook; several analysts still raised price targets and maintained bullish ratings, with consensus sentiment remaining Moderate Buy.

Archvest Wealth Advisors Inc. grew its position in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 3,381.5% during the fourth quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 23,500 shares of the semiconductor manufacturer's stock after purchasing an additional 22,825 shares during the quarter. Broadcom makes up about 2.3% of Archvest Wealth Advisors Inc.'s portfolio, making the stock its 9th largest position. Archvest Wealth Advisors Inc.'s holdings in Broadcom were worth $8,133,000 at the end of the most recent reporting period.

Other institutional investors also recently modified their holdings of the company. Miller Global Investments LLC bought a new stake in shares of Broadcom in the 4th quarter valued at $31,000. Nvest Wealth Strategies Inc. acquired a new position in Broadcom during the fourth quarter worth $33,000. Family CFO Inc acquired a new position in Broadcom during the fourth quarter worth $35,000. PayPay Securities Corp raised its holdings in shares of Broadcom by 88.9% in the 4th quarter. PayPay Securities Corp now owns 119 shares of the semiconductor manufacturer's stock worth $41,000 after acquiring an additional 56 shares during the last quarter. Finally, Cherry Tree Wealth Management LLC raised its holdings in shares of Broadcom by 44.9% in the 4th quarter. Cherry Tree Wealth Management LLC now owns 129 shares of the semiconductor manufacturer's stock worth $45,000 after acquiring an additional 40 shares during the last quarter. 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: Broadcom posted record quarterly revenue, beat earnings estimates, and said AI semiconductor demand remains strong, supporting the long-term growth story. Broadcom Q2 Earnings Surpasses Estimates, Revenues Surge Y/Y
• Positive Sentiment: Several analysts remain bullish and raised price targets after the pullback, arguing the market is overreacting to expectations rather than fundamentals. Goldman Sachs urges investors to buy Broadcom dip with still AI revenue trajectory intact
• Positive Sentiment: Management still expects AI revenue to reach $56 billion in fiscal 2026 and more than $100 billion in fiscal 2027, keeping the longer-term AI thesis intact. AVGO Shares Drop 13% Post Q2 Results: Buy, Sell or Hold on the Dip?
• Neutral Sentiment: Broadcom also declared a quarterly dividend, which is supportive for income investors but not a major near-term stock driver.
• Negative Sentiment: The stock is under pressure because the AI outlook, while strong, was not upgraded enough to satisfy investors who had priced in an even bigger upside surprise. Broadcom's sales and AI chip forecast comes in below expectations, shares tumble
• Negative Sentiment: The disappointment has spilled over into the semiconductor sector, pressuring peers such as AMD, Intel, Micron, and Marvell as investors reassess AI trade valuations. Intel, AMD stocks slide again in aftermath of Broadcom's weak outlook

Broadcom Stock Performance

NASDAQ AVGO opened at $385.73 on Friday. Broadcom Inc. has a 52-week low of $241.11 and a 52-week high of $495.00. The company has a 50-day simple moving average of $396.22 and a 200 day simple moving average of $361.90. The company has a debt-to-equity ratio of 0.71, a quick ratio of 1.73 and a current ratio of 2.24. The company has a market capitalization of $1.83 trillion, a PE ratio of 64.29, a price-to-earnings-growth ratio of 0.79 and a beta of 1.41.

Broadcom (NASDAQ:AVGO - Get Free Report) last posted its quarterly earnings data 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 net margin of 38.85% and a return on equity of 41.61%. The business had revenue of $22.19 billion during the quarter, compared to the consensus estimate of $22.13 billion. During the same quarter last year, the company posted $1.58 earnings per share. The firm's quarterly revenue was up 47.9% compared to the same quarter last year. On average, research analysts predict that Broadcom Inc. will post 9.97 EPS for the current year.

Broadcom Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, June 30th. Shareholders of record on Monday, June 22nd will be given 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 is Monday, June 22nd. Broadcom's dividend payout ratio (DPR) is currently 43.33%.

Insider Buying and Selling at Broadcom

In other Broadcom news, insider Charlie B. Kawwas sold 39,116 shares of the stock in a transaction dated Tuesday, March 17th. The shares were sold at an average price of $321.61, for a total transaction of $12,580,096.76. Following the completion of the transaction, the insider owned 74,626 shares in the company, valued at $24,000,467.86. This trade represents a 34.39% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, insider Mark David Brazeal sold 50,488 shares of the stock in a transaction dated Tuesday, March 17th. The stock was sold at an average price of $321.60, for a total transaction of $16,236,940.80. Following the transaction, the insider owned 278,141 shares of the company's stock, valued at $89,450,145.60. This represents a 15.36% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 324,282 shares of company stock worth $106,425,249 over the last ninety days. Company insiders own 1.90% of the company's stock.

Wall Street Analyst Weigh In

A number of equities research analysts recently weighed in on the stock. Mizuho upped their target price on shares of Broadcom from $480.00 to $530.00 and gave the stock an "outperform" rating in a report on Thursday. Cantor Fitzgerald reiterated an "overweight" rating and issued a $525.00 target price on shares of Broadcom in a report on Thursday. Morgan Stanley set a $502.00 target price on shares of Broadcom and gave the company an "overweight" rating in a report on Thursday. Erste Group Bank upgraded shares of Broadcom from a "hold" rating to a "buy" rating in a report on Friday. Finally, Truist Financial increased their target price on shares of Broadcom from $545.00 to $550.00 and gave the company a "buy" rating in a report on Thursday. One investment analyst has rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating and three have given a Hold rating to the company. According to MarketBeat, the company has an average rating of "Moderate Buy" and a consensus target price of $490.13.

About Broadcom

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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