ARS Investment Partners LLC Has $37.73 Million Stake in Broadcom Inc. $AVGO

Key Points

• ARS Investment Partners LLC trimmed its Broadcom stake by 4.3% in the first quarter, selling 5,465 shares and leaving it with 121,906 shares valued at about $37.73 million. Broadcom remained a meaningful holding, making up 2.0% of the firm’s portfolio.
• Broadcom beat earnings expectations in its latest quarter, reporting $2.44 EPS versus $2.40 expected and revenue of $22.19 billion, up 47.9% year over year. The company also posted strong profitability, with a 41.61% return on equity and 38.85% net margin.
• Analysts remain broadly positive despite recent share weakness, with a consensus “Moderate Buy” rating and a target price around $490.13. The stock fell 4.7% to $392.13, but Broadcom also announced a quarterly dividend of $0.65 per share, or $2.60 annually.

ARS Investment Partners LLC reduced its position in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 4.3% in the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 121,906 shares of the semiconductor manufacturer's stock after selling 5,465 shares during the quarter. Broadcom makes up 2.0% of ARS Investment Partners LLC's portfolio, making the stock its 21st largest holding. ARS Investment Partners LLC's holdings in Broadcom were worth $37,731,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also recently bought and sold shares of the company. Norges Bank bought a new position in Broadcom during the fourth quarter worth about $24,252,196,000. Cardano Risk Management B.V. increased its holdings 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 worth $4,391,940,000 after buying an additional 11,414,701 shares in the last quarter. State Street Corp grew its position in Broadcom by 2.7% during the 4th quarter. State Street Corp now owns 190,084,351 shares of the semiconductor manufacturer's stock worth $65,788,194,000 after acquiring an additional 5,040,801 shares during the last quarter. Arrowstreet Capital Limited Partnership grew its holdings in shares of Broadcom by 499.4% during the third quarter. Arrowstreet Capital Limited Partnership now owns 5,634,232 shares of the semiconductor manufacturer's stock worth $1,858,789,000 after purchasing an additional 4,694,313 shares during the last quarter. Finally, Vanguard Group Inc. lifted its position in Broadcom by 0.8% during the 4th quarter. Vanguard Group Inc. now owns 482,707,302 shares of the semiconductor manufacturer's stock worth $167,064,997,000 after buying an additional 3,919,715 shares in the last quarter. Institutional investors own 76.43% of the company's stock.

Broadcom Stock Down 4.7%

AVGO stock opened at $392.13 on Tuesday. The company has a debt-to-equity ratio of 0.71, a current ratio of 2.24 and a quick ratio of 2.01. The stock has a market capitalization of $1.87 trillion, a P/E ratio of 65.36, a P/E/G ratio of 0.72 and a beta of 1.41. Broadcom Inc. has a fifty-two week low of $246.46 and a fifty-two week high of $495.00. The business has a 50-day moving average of $412.17 and a 200-day moving average of $363.42.

Broadcom (NASDAQ:AVGO - Get Free Report) last announced its 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 business had revenue of $22.19 billion for the quarter, compared to analyst estimates of $22.13 billion. Broadcom had a return on equity of 41.61% and a net margin of 38.85%.Broadcom's revenue for the quarter was up 47.9% compared to the same quarter last year. During the same quarter last year, the firm earned $1.58 EPS. On average, sell-side analysts anticipate that Broadcom Inc. will post 10.24 earnings per share for the current fiscal year.

Broadcom Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, June 30th. Stockholders 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 dividend yield of 0.7%. Broadcom's dividend payout ratio (DPR) is 43.33%.

Key Broadcom News

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Analysts and market commentators are pointing to Broadcom’s strong AI demand as the main reason to stay bullish. Recent coverage highlighted record semiconductor sales, AI chip and networking demand, and strong customer commitments as evidence that the company’s AI growth story remains intact. Broadcom's AI Push Boosts Semiconductor Sales: More Upside Ahead?
• Positive Sentiment: JPMorgan reportedly reiterated buy-the-dip optimism, citing Broadcom’s multi-year Google partnership, record quarterly revenue of $22.19 billion, and AI semiconductor sales of $10.8 billion, up 143% year over year. The note also pointed to expectations for another step-up in AI-chip growth next quarter. Broadcom's AI boom — Google deal and huge revenue growth spark buy-the-dip calls
• Positive Sentiment: Several pieces argue that the market is overreacting to a modest AI revenue guide and that the selloff has created an accumulation opportunity. They emphasize that Broadcom’s revenue, semiconductor growth, AI bookings, and backlog are all at record levels, which supports the longer-term investment case. The Grandest Castle Ever Floated (and the Stocks to Profit From It)
• Positive Sentiment: Broadcom is also attracting broader investor attention and continued analyst support, including a consensus “Moderate Buy” rating, which may help stabilize sentiment after the recent decline. Broadcom Inc. NASDAQ: AVGO Receives Consensus Recommendation of "Moderate Buy" from Analysts

Wall Street Analysts Forecast Growth

AVGO has been the subject of several research analyst reports. Zacks Research cut shares of Broadcom from a "strong-buy" rating to a "hold" rating in a research report on Thursday, May 21st. TD Cowen reaffirmed a "buy" rating and set a $500.00 target price on shares of Broadcom in a report on Thursday, June 4th. Seaport Research Partners reissued a "neutral" rating on shares of Broadcom in a research note on Wednesday, April 8th. DA Davidson increased their price target on shares of Broadcom from $375.00 to $400.00 and gave the company a "neutral" rating in a research report on Thursday, June 4th. Finally, Truist Financial boosted their price objective on shares of Broadcom from $545.00 to $550.00 and gave the company a "buy" rating in a report on Thursday, June 4th. One 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. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $490.13.

Insider Buying and Selling

In other Broadcom news, Director Harry L. You bought 1,000 shares of the firm's stock in a transaction that occurred on Thursday, June 11th. The stock was acquired at an average price of $373.57 per share, with a total value of $373,570.00. Following the completion of the transaction, the director owned 38,466 shares in the company, valued at approximately $14,369,743.62. This trade represents a 2.67% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Gayla J. Delly sold 1,000 shares of Broadcom stock in a transaction on Thursday, April 9th. The shares were sold at an average price of $358.31, for a total transaction of $358,310.00. Following the completion of the sale, the director owned 32,352 shares in the company, valued at $11,592,045.12. The trade was a 3.00% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 59,385 shares of company stock valued at $21,301,057 over the last ninety days. Insiders own 1.90% of the company's stock.

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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