Beacon Investment Advisory Services Inc. Cuts Stake in Broadcom Inc. $AVGO

Key Points

• Beacon Investment Advisory Services cut its Broadcom stake by 5.5% in the second quarter, selling 3,600 shares and retaining 61,941 shares valued at approximately $23.4 million. Institutional investors collectively own 76.43% of the company.
• Broadcom’s AI business remains the main growth driver. Recent results showed quarterly revenue of $22.19 billion, up 47.9% year over year, while AI semiconductor revenue rose 143% to $10.8 billion and AI bookings exceeded $30 billion.
• Analysts maintain a broadly positive view, with 28 Buy ratings and four Holds and a consensus price target of $493.24. However, the stock’s elevated valuation, recent insider selling and potential AI-sector pullback remain key risks.

Beacon Investment Advisory Services Inc. cut its stake in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 5.5% during the 2nd quarter, according to its most recent Form 13F filing with the SEC. The fund owned 61,941 shares of the semiconductor manufacturer's stock after selling 3,600 shares during the period. Beacon Investment Advisory Services Inc.'s holdings in Broadcom were worth $23,398,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds have also recently bought and sold shares of the stock. ROSS JOHNSON & Associates LLC grew its stake in shares of Broadcom by 1,320.0% during the 4th quarter. ROSS JOHNSON & Associates LLC now owns 71 shares of the semiconductor manufacturer's stock valued at $25,000 after buying an additional 66 shares during the period. Networth Advisors LLC raised its position in shares of Broadcom by 546.2% in the 1st quarter. Networth Advisors LLC now owns 84 shares of the semiconductor manufacturer's stock worth $26,000 after buying an additional 71 shares during the period. SWAN Capital LLC raised its position in shares of Broadcom by 261.9% in the 4th quarter. SWAN Capital LLC now owns 76 shares of the semiconductor manufacturer's stock worth $26,000 after buying an additional 55 shares during the period. Nvest Wealth Strategies Inc. acquired a new position in Broadcom in the fourth quarter valued at $33,000. Finally, Family CFO Inc acquired a new position in Broadcom in the fourth quarter valued at $35,000. Institutional investors and hedge funds own 76.43% of the company's stock.

Broadcom News Roundup

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: AI demand remains the primary catalyst. Analysts highlighted Broadcom’s record quarterly revenue of approximately $22.2 billion, 79% growth in semiconductor revenue, 143% growth in AI semiconductor revenue to $10.8 billion and more than $30 billion in AI bookings. The figures support the view that hyperscaler spending on custom chips, networking and connectivity is still expanding. Is the AI Selloff a Buying Opportunity? The Data Says Yes
• Positive Sentiment: Broadcom is being positioned as a beneficiary of AI infrastructure bottlenecks. Commentary identified networking equipment, optical interconnects and power delivery as supply-constrained areas, with Broadcom named among companies that could benefit as data-center construction accelerates. Other reports described the company as a leading AI infrastructure stock and a potentially attractive long-term chip investment. Beyond NVIDIA and GPUs: The Next AI and Quantum Winners Leading 2026 3 AI Infrastructure Stocks That Could Make You Rich in August
• Positive Sentiment: Product updates add support for Broadcom’s software business. New capabilities for VMware vDefend and Avi Load Balancer are intended to improve cybersecurity, performance and operational efficiency in private-cloud environments, potentially strengthening Broadcom’s infrastructure-software offering as enterprises prepare for AI workloads. Broadcom Enables Enterprises to Strengthen Multi-Layer Cyber Defense and Operational Efficiency
• Neutral Sentiment: Broadcom was included in stock screens favoring companies with high returns on equity and strong earnings growth. The favorable fundamental profile supports investor interest, but the articles offered no new company-specific financial data. 5 High ROE Stocks to Buy as Oil Price Surge Hits Short-Term Rally
• Negative Sentiment: Risks include stretched valuation and broader-market concerns. Coverage warned that AI stocks may face a normal pullback after a strong rally, while oil-price increases could revive inflation concerns. One investment firm also disclosed that it sold 3,867 Broadcom shares, though the transaction appears minor relative to the company’s overall market value. SCS Capital Trims Broadcom Stake

Insider Activity

In other Broadcom news, insider Mark David Brazeal sold 25,000 shares of the business's stock in a transaction on Friday, July 10th. The shares were sold at an average price of $401.33, for a total value of $10,033,250.00. Following the transaction, the insider owned 194,989 shares in the company, valued at $78,254,935.37. The trade was a 11.36% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, Director Gayla J. Delly sold 1,890 shares of the company's stock in a transaction dated Wednesday, July 8th. The shares were sold at an average price of $385.38, for a total transaction of $728,368.20. Following the completion of the transaction, the director directly owned 31,326 shares of the company's stock, valued at approximately $12,072,413.88. The trade was a 5.69% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders sold 61,644 shares of company stock worth $24,016,214. Corporate insiders own 1.90% of the company's stock.

Analyst Upgrades and Downgrades

A number of research firms have recently commented on AVGO. Wall Street Zen downgraded Broadcom from a "strong-buy" rating to a "buy" rating in a report on Saturday, July 18th. Bank of America boosted their target price on Broadcom from $450.00 to $530.00 and gave the stock a "buy" rating in a report on Thursday, June 4th. TD Cowen restated a "buy" rating and issued a $500.00 price target on shares of Broadcom in a report on Thursday, June 4th. Cantor Fitzgerald reaffirmed an "overweight" rating and set a $525.00 price target on shares of Broadcom in a research report on Thursday, June 4th. Finally, Erste Group Bank reiterated a "hold" rating on shares of Broadcom in a research note on Tuesday, July 7th. Twenty-eight analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus price target of $493.24.

Broadcom Stock Up 1.7%

NASDAQ AVGO opened at $427.76 on Friday. The stock has a market cap of $2.04 trillion, a PE ratio of 71.29, a P/E/G ratio of 0.80 and a beta of 1.45. Broadcom Inc. has a fifty-two week low of $281.87 and a fifty-two week high of $495.00. The business has a 50 day moving average price of $392.99 and a two-hundred day moving average price of $370.45. The company has a quick ratio of 2.01, a current ratio of 2.24 and a debt-to-equity ratio of 0.71.

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, beating 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 company had revenue of $22.19 billion for the quarter, compared to analyst estimates of $22.13 billion. During the same quarter last year, the firm posted $1.58 earnings per share. The business's quarterly revenue was up 47.9% on a year-over-year basis. As a group, sell-side analysts predict that Broadcom Inc. will post 10.24 EPS for the current fiscal year.

Broadcom Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, June 30th. Investors 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 yield of 0.6%. Broadcom's payout ratio is 43.33%.

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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