Broadcom Inc. $AVGO Position Boosted by New Mexico Educational Retirement Board

Key Points

• New Mexico Educational Retirement Board increased its Broadcom stake by 1.9% in the fourth quarter, bringing its holdings to 216,560 shares worth about $74.95 million.
• Broadcom reported record second-quarter revenue of $22.19 billion and beat EPS estimates, while AI semiconductor revenue jumped 143% year over year to $10.8 billion.
• Despite strong results, the stock fell 12.6% after third-quarter AI revenue guidance disappointed investors; however, many analysts still maintained or raised bullish price targets.

New Mexico Educational Retirement Board lifted its holdings in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 1.9% during the fourth quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund owned 216,560 shares of the semiconductor manufacturer's stock after buying an additional 4,100 shares during the period. Broadcom makes up approximately 2.2% of New Mexico Educational Retirement Board's portfolio, making the stock its 6th biggest holding. New Mexico Educational Retirement Board's holdings in Broadcom were worth $74,951,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also recently modified their holdings of the business. Ellevest Inc. boosted its stake in shares of Broadcom by 15.8% in the 4th quarter. Ellevest Inc. now owns 5,156 shares of the semiconductor manufacturer's stock worth $1,784,000 after buying an additional 702 shares during the last quarter. Opulen Financial Group LLC boosted its stake in shares of Broadcom by 9.8% in the 4th quarter. Opulen Financial Group LLC now owns 1,258 shares of the semiconductor manufacturer's stock worth $435,000 after buying an additional 112 shares during the last quarter. Resolute Capital LLC purchased a new position in shares of Broadcom in the 4th quarter worth approximately $406,000. Main Management ETF Advisors LLC boosted its stake in shares of Broadcom by 1.0% in the 4th quarter. Main Management ETF Advisors LLC now owns 12,528 shares of the semiconductor manufacturer's stock worth $4,336,000 after buying an additional 128 shares during the last quarter. Finally, Florida Financial Advisors LLC boosted its stake in shares of Broadcom by 1.1% in the 4th quarter. Florida Financial Advisors LLC now owns 22,800 shares of the semiconductor manufacturer's stock worth $7,875,000 after buying an additional 254 shares during the last quarter. Hedge funds and other institutional investors own 76.43% of the company's stock.

Broadcom News Roundup

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom still delivered record second-quarter revenue of $22.19 billion, topped EPS estimates, and generated strong free cash flow, showing underlying business strength. Broadcom Inc. Announces Second Quarter Fiscal Year 2026 Financial Results and Quarterly Dividend
• Positive Sentiment: AI semiconductor revenue surged 143% year over year to $10.8 billion, and management signaled continued demand from hyperscale customers. Broadcom's sales and AI chip forecast comes in below expectations, shares tumble
• Positive Sentiment: Several analysts raised price targets after the report, including JPMorgan, Bank of America, Mizuho, and Benchmark, indicating Street optimism remains intact despite the selloff. Benzinga analyst target updates
• Neutral Sentiment: Broadcom declared a quarterly dividend of $0.65 per share, reinforcing its shareholder-return profile but not enough to offset the earnings-driven volatility.
• Negative Sentiment: The stock sold off because third-quarter AI revenue guidance came in below elevated expectations, raising concerns that AI growth may be normalizing faster than investors hoped. Broadcom: AI guidance gap reveals the cost of sky-high expectations
• Negative Sentiment: Broadcom’s disappointment sparked a broader semiconductor retreat, pressuring chip stocks and contributing to weakness in the Nasdaq. Micron, Marvell, and Broadcom lead chipmakers' premarket losses

Analyst Upgrades and Downgrades

A number of equities analysts have recently weighed in on the company. Cantor Fitzgerald restated an "overweight" rating and issued a $525.00 target price on shares of Broadcom in a research note on Thursday. UBS Group set a $485.00 target price on Broadcom and gave the stock a "buy" rating in a research note on Thursday. Bank of America lifted their price target on shares of Broadcom from $450.00 to $530.00 and gave the stock a "buy" rating in a report on Thursday. Truist Financial lifted their price target on shares of Broadcom from $545.00 to $550.00 and gave the stock a "buy" rating in a report on Thursday. Finally, Jefferies Financial Group set a $550.00 price target on shares of Broadcom and gave the stock a "buy" rating in a report on Thursday. One research analyst has rated the stock with a Strong Buy rating, twenty-eight have assigned a Buy rating and four have assigned a Hold rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average target price of $490.13.

Broadcom Trading Down 12.6%

Shares of AVGO stock opened at $418.91 on Friday. The company's fifty day simple moving average is $394.88 and its two-hundred day simple moving average is $361.73. The company has a debt-to-equity ratio of 0.80, a current ratio of 1.90 and a quick ratio of 1.73. Broadcom Inc. has a 1 year low of $241.11 and a 1 year high of $495.00. The stock has a market capitalization of $1.98 trillion, a price-to-earnings ratio of 69.82, a PEG ratio of 0.99 and a beta of 1.41.

Broadcom (NASDAQ:AVGO - Get Free Report) last released its quarterly earnings results on Wednesday, June 3rd. The semiconductor manufacturer reported $2.44 EPS for the quarter, beating analysts' consensus estimates of $2.40 by $0.04. The firm had revenue of $22.19 billion during the quarter, compared to analyst estimates of $22.13 billion. Broadcom had a net margin of 38.85% and a return on equity of 42.88%. The business's revenue for the quarter was up 47.9% on a year-over-year basis. During the same period in the previous year, the business earned $1.58 EPS. As a group, analysts anticipate that Broadcom Inc. will post 9.89 earnings per share for the current year.

Broadcom Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Tuesday, June 30th. Stockholders 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 dividend yield of 0.6%. The ex-dividend date is Monday, June 22nd. Broadcom's payout ratio is 50.78%.

Insider Activity

In other news, CFO Kirsten M. Spears sold 36,292 shares of the business's stock in a transaction on Tuesday, March 17th. The shares were sold at an average price of $321.60, for a total transaction of $11,671,507.20. Following the completion of the transaction, the chief financial officer directly owned 327,760 shares in the company, valued at $105,407,616. The trade was a 9.97% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, insider S. Ram Velaga sold 38,841 shares of the business's stock in a transaction on Tuesday, March 17th. The shares were sold at an average price of $321.60, for a total transaction of $12,491,265.60. Following the transaction, the insider owned 96,147 shares of the company's stock, valued at $30,920,875.20. This trade represents a 28.77% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 324,282 shares of company stock valued at $106,425,249 over the last 90 days. Company insiders own 1.90% of the company's stock.

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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