Broadcom Inc. $AVGO is Pinnacle Associates Ltd.'s 5th Largest Position

Key Points

• Pinnacle Associates Ltd. cut its Broadcom stake by 2% in the fourth quarter but still held 457,023 shares worth about $158.2 million, making AVGO its 5th-largest position.
• Broadcom continues to attract broad institutional support, with several hedge funds adding to positions and 76.43% of the stock owned by institutional investors.
• Analysts remain generally bullish: Broadcom has a Moderate Buy consensus rating, recent price targets were raised by firms including Wells Fargo and UBS, and the company recently beat quarterly earnings and revenue expectations while reporting 29.5% year-over-year revenue growth.

Pinnacle Associates Ltd. lowered its position in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 2.0% in the 4th quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 457,023 shares of the semiconductor manufacturer's stock after selling 9,309 shares during the period. Broadcom accounts for about 2.0% of Pinnacle Associates Ltd.'s holdings, making the stock its 5th biggest position. Pinnacle Associates Ltd.'s holdings in Broadcom were worth $158,176,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also added to or reduced their stakes in the business. Simmons Bank grew its stake in Broadcom by 4.9% in the 4th quarter. Simmons Bank now owns 22,575 shares of the semiconductor manufacturer's stock worth $7,813,000 after buying an additional 1,055 shares in the last quarter. Berkeley Capital Partners LLC grew its stake in Broadcom by 10.1% in the 4th quarter. Berkeley Capital Partners LLC now owns 5,124 shares of the semiconductor manufacturer's stock worth $1,773,000 after buying an additional 470 shares in the last quarter. Bank Julius Baer & Co. Ltd Zurich grew its stake in Broadcom by 14.8% in the 4th quarter. Bank Julius Baer & Co. Ltd Zurich now owns 1,888,778 shares of the semiconductor manufacturer's stock worth $654,356,000 after buying an additional 243,093 shares in the last quarter. Fourier Capital Management Ltd purchased a new position in Broadcom in the 4th quarter worth approximately $7,244,000. Finally, E Fund Management Hong Kong Co. Ltd. grew its stake in Broadcom by 26.0% in the 4th quarter. E Fund Management Hong Kong Co. Ltd. now owns 12,415 shares of the semiconductor manufacturer's stock worth $4,111,000 after buying an additional 2,564 shares in the last quarter. 76.43% of the stock is currently owned by hedge funds and other institutional investors.

Broadcom News Summary

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom renewed its long-running technology partnership with LSEG in a new five-year agreement centered on VMware Cloud Foundation, expanding Broadcom’s role in LSEG’s private cloud infrastructure and adding professional services revenue potential. LSEG renews Broadcom partnership to expand cloud infrastructure strategy (AVGO)
• Positive Sentiment: Wall Street remains bullish on AVGO, with recent analyst updates and price targets pointing to confidence in Broadcom’s AI-driven growth and leadership in semiconductor and infrastructure software. Wall Street sets Broadcom stock price target for next 12 months
• Neutral Sentiment: Recent coverage continues to highlight Broadcom as a major AI infrastructure beneficiary, with analysts favoring AVGO over some peers because of its strong AI revenue growth and broad demand trends. ALAB vs. AVGO: Which AI Infrastructure Stock Is the Better Buy Now?
• Neutral Sentiment: Broader market commentary and stock-search interest have kept AVGO in the spotlight, but these items do not point to a direct fundamental change. Investors Heavily Search Broadcom Inc. (AVGO): Here is What You Need to Know
• Negative Sentiment: AVGO had recently been trading lower at times, reflecting some profit-taking even as the longer-term story remains tied to AI and enterprise software growth. Broadcom Inc. (AVGO) Declines More Than Market: Some Information for Investors

Analysts Set New Price Targets

AVGO has been the subject of a number of research reports. Erste Group Bank cut Broadcom from a "buy" rating to a "hold" rating in a report on Thursday, April 2nd. Wells Fargo & Company reiterated an "overweight" rating and issued a $545.00 price objective (up from $430.00) on shares of Broadcom in a report on Thursday, May 14th. UBS Group reiterated a "buy" rating and issued a $490.00 price objective (up from $475.00) on shares of Broadcom in a report on Monday. Seaport Research Partners reiterated a "neutral" rating on shares of Broadcom in a report on Wednesday, April 8th. Finally, Bank of America cut their price objective on shares of Broadcom from $500.00 to $450.00 and set a "buy" rating for the company in a research note on Thursday, March 5th. Two investment analysts have rated the stock with a Strong Buy rating, twenty-seven have issued a Buy rating and four have issued a Hold rating to the company. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus target price of $448.10.

Insider Buying and Selling at Broadcom

In other Broadcom news, insider S. Ram Velaga sold 38,841 shares of Broadcom stock in a transaction on Tuesday, March 17th. The stock was sold at an average price of $321.60, for a total transaction of $12,491,265.60. Following the completion of the transaction, the insider owned 96,147 shares in the company, valued at approximately $30,920,875.20. The trade was a 28.77% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Mark David Brazeal sold 50,488 shares of Broadcom stock in a transaction on Tuesday, March 17th. The shares were sold at an average price of $321.60, for a total value 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. The trade was a 15.36% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 324,282 shares of company stock valued at $106,425,249. Insiders own 1.90% of the company's stock.

Broadcom Price Performance

Shares of AVGO stock opened at $411.07 on Wednesday. The business's 50 day moving average price is $368.97 and its 200-day moving average price is $355.08. Broadcom Inc. has a fifty-two week low of $226.18 and a fifty-two week high of $442.36. The company has a debt-to-equity ratio of 0.80, a quick ratio of 1.73 and a current ratio of 1.90. The firm has a market cap of $1.95 trillion, a P/E ratio of 80.29, a P/E/G ratio of 0.87 and a beta of 1.43.

Broadcom (NASDAQ:AVGO - Get Free Report) last posted its earnings results on Wednesday, March 4th. The semiconductor manufacturer reported $2.05 EPS for the quarter, topping the consensus estimate of $2.03 by $0.02. Broadcom had a net margin of 36.57% and a return on equity of 38.61%. The firm had revenue of $19.31 billion during the quarter, compared to analysts' expectations of $19.10 billion. During the same period last year, the company posted $1.60 EPS. The company's quarterly revenue was up 29.5% compared to the same quarter last year. On average, equities research analysts anticipate that Broadcom Inc. will post 9.97 earnings per share for the current year.

Broadcom Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, March 31st. Investors of record on Monday, March 23rd were given a dividend of $0.65 per share. This represents a $2.60 dividend on an annualized basis and a yield of 0.6%. The ex-dividend date of this dividend was Monday, March 23rd. Broadcom's dividend payout ratio (DPR) is 50.78%.

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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