Broadcom Inc. $AVGO is Bank of New York Mellon Corp's 6th Largest Position

Key Points

• Bank of New York Mellon increased its Broadcom stake by 3.1% in the fourth quarter, making AVGO its 6th-largest holding. The position was worth about $10.38 billion at quarter-end.
• Broadcom reported record quarterly revenue and beat earnings estimates, with revenue up 47.9% year over year as AI semiconductor demand remained strong. The company also reaffirmed a long-term AI growth story, including targets of $56 billion in AI revenue for fiscal 2026 and more than $100 billion in fiscal 2027.
• Despite the strong results, the stock has come under pressure because investors expected an even bigger AI outlook upgrade. Analysts remain mostly bullish, with several firms raising price targets and the consensus rating still at Moderate Buy.

Bank of New York Mellon Corp lifted its position in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 3.1% in the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 29,998,458 shares of the semiconductor manufacturer's stock after purchasing an additional 902,285 shares during the period. Broadcom comprises 1.8% of Bank of New York Mellon Corp's portfolio, making the stock its 6th largest holding. Bank of New York Mellon Corp owned approximately 0.63% of Broadcom worth $10,382,466,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. Miller Global Investments LLC purchased a new stake in shares of Broadcom in the fourth quarter worth $31,000. Nvest Wealth Strategies Inc. purchased a new stake in shares of Broadcom in the fourth quarter worth $33,000. Family CFO Inc purchased a new stake in shares of Broadcom in the fourth quarter worth $35,000. PayPay Securities Corp increased its stake in shares of Broadcom by 88.9% in the fourth quarter. PayPay Securities Corp now owns 119 shares of the semiconductor manufacturer's stock worth $41,000 after purchasing an additional 56 shares in the last quarter. Finally, Camelot Portfolios LLC purchased a new stake in shares of Broadcom in the fourth quarter worth $45,000. 76.43% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting Broadcom

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

Wall Street Analysts Forecast Growth

Several equities analysts recently weighed in on AVGO shares. Erste Group Bank raised shares of Broadcom from a "hold" rating to a "buy" rating in a research note on Friday. Rosenblatt Securities reaffirmed a "buy" rating and set a $500.00 target price on shares of Broadcom in a research note on Thursday. Evercore reaffirmed an "outperform" rating and set a $582.00 target price on shares of Broadcom in a research note on Tuesday, May 19th. KeyCorp reaffirmed an "overweight" rating and set a $575.00 target price (up from $500.00) on shares of Broadcom in a research note on Thursday. Finally, Citigroup reaffirmed a "buy" rating on shares of Broadcom in a research note on Thursday. One research analyst has rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus price target of $490.13.

Broadcom Price Performance

AVGO stock 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 quick ratio of 1.73, a current ratio of 2.24 and a debt-to-equity ratio of 0.71. The company has a fifty day simple moving average of $396.22 and a two-hundred day simple moving average of $361.90. The firm has a market capitalization of $1.83 trillion, a P/E 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 released its quarterly earnings data on Wednesday, June 3rd. The semiconductor manufacturer reported $2.44 EPS for the quarter, beating the consensus estimate 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 analyst estimates of $22.13 billion. During the same quarter last year, the business earned $1.58 earnings per share. Broadcom's quarterly revenue was up 47.9% compared to the same quarter last year. Analysts anticipate that Broadcom Inc. will post 9.97 earnings per share for the current fiscal year.

Broadcom Dividend Announcement

The firm also recently disclosed 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. The ex-dividend date is Monday, June 22nd. This represents a $2.60 annualized dividend and a yield of 0.7%. Broadcom's dividend payout ratio (DPR) is 43.33%.

Insider Buying and Selling at Broadcom

In other Broadcom news, insider Mark David Brazeal sold 50,488 shares of the stock in a transaction on Tuesday, March 17th. The shares were sold at an average price of $321.60, for a total transaction of $16,236,940.80. Following the completion of the transaction, the insider owned 278,141 shares in the company, valued at $89,450,145.60. This trade represents a 15.36% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, insider Charlie B. Kawwas sold 39,116 shares of the stock in a transaction on 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 transaction, the insider owned 74,626 shares of the company's stock, valued at $24,000,467.86. This trade represents a 34.39% 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 three months. 1.90% of the stock is owned by company 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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