Broadcom Inc. $AVGO Shares Bought by Danske Bank A S

Key Points

• Danske Bank A S increased its Broadcom stake by 6.3% in the fourth quarter, adding 189,187 shares and bringing its total holdings to 3.18 million shares valued at about $1.10 billion.
• Broadcom reported stronger-than-expected quarterly results, with EPS of $2.05 and revenue of $19.31 billion, both topping analyst estimates and representing 29.5% revenue growth year over year.
• Analysts remain broadly positive on AVGO, with a consensus “Moderate Buy” rating and average price target of $435.30, though some recent research moves were mixed and insider selling was notable in the last quarter.

Danske Bank A S boosted its position in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 6.3% in the fourth quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 3,182,390 shares of the semiconductor manufacturer's stock after buying an additional 189,187 shares during the period. Broadcom makes up approximately 2.6% of Danske Bank A S's portfolio, making the stock its 7th biggest position. Danske Bank A S owned approximately 0.07% of Broadcom worth $1,101,425,000 at the end of the most recent reporting period.

A number of other institutional investors have also added to or reduced their stakes in the company. JCIC Asset Management Inc. bought a new stake in shares of Broadcom during the third quarter valued at approximately $31,000. Miller Global Investments LLC bought a new position in shares of Broadcom in the 4th quarter worth $31,000. Nvest Wealth Strategies Inc. bought a new position in shares of Broadcom in the 4th quarter worth $33,000. Manning & Napier Advisors LLC acquired a new stake in Broadcom in the 3rd quarter valued at $34,000. Finally, Family CFO Inc bought a new stake in Broadcom during the 4th quarter valued at $35,000. 76.43% of the stock is owned by institutional investors and hedge funds.

Broadcom Stock Performance

AVGO stock opened at $430.00 on Friday. The company has a quick ratio of 1.73, a current ratio of 1.90 and a debt-to-equity ratio of 0.80. The firm has a market cap of $2.04 trillion, a PE ratio of 83.98, a P/E/G ratio of 0.85 and a beta of 1.43. The business has a 50 day moving average of $352.89 and a 200-day moving average of $351.28. Broadcom Inc. has a 12-month low of $206.52 and a 12-month high of $437.68.

Broadcom (NASDAQ:AVGO - Get Free Report) last issued its quarterly earnings results on Wednesday, March 4th. The semiconductor manufacturer reported $2.05 EPS for the quarter, topping analysts' consensus estimates of $2.03 by $0.02. Broadcom had a return on equity of 38.61% and a net margin of 36.57%.The business had revenue of $19.31 billion for the quarter, compared to analyst estimates of $19.10 billion. During the same period last year, the company posted $1.60 earnings per share. Broadcom's quarterly revenue was up 29.5% compared to the same quarter last year. As a group, sell-side analysts expect that Broadcom Inc. will post 9.95 earnings per share for the current year.

Broadcom Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Tuesday, March 31st. Stockholders of record on Monday, March 23rd were paid 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 was Monday, March 23rd. Broadcom's payout ratio is presently 50.78%.

Analysts Set New Price Targets

Several research analysts have weighed in on the stock. JPMorgan Chase & Co. upped their price objective on shares of Broadcom from $475.00 to $500.00 and gave the stock an "overweight" rating in a report on Thursday, March 5th. Wolfe Research upgraded shares of Broadcom from a "peer perform" rating to an "outperform" rating and set a $400.00 price objective for the company in a report on Friday, January 30th. Truist Financial boosted their target price on shares of Broadcom from $510.00 to $545.00 and gave the stock a "buy" rating in a research report on Thursday, March 5th. Wells Fargo & Company upgraded shares of Broadcom from an "equal weight" rating to an "overweight" rating and upped their target price for the stock from $410.00 to $430.00 in a report on Thursday, January 15th. Finally, Royal Bank Of Canada dropped their price target on shares of Broadcom from $370.00 to $340.00 and set a "sector perform" rating on the stock in a research report on Monday, March 2nd. Two analysts have rated the stock with a Strong Buy rating, twenty-seven have assigned a Buy rating and four have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $435.30.

More Broadcom News

Here are the key news stories impacting Broadcom this week:

• Negative Sentiment: Broadcom shares are under pressure after reports said OpenAI’s planned $18 billion custom chip deal with the company hit a financing roadblock, creating uncertainty around a key AI revenue driver. Broadcom shares slump as OpenAI’s $18B custom chip deal hits financing snag
• Negative Sentiment: Another report framed the OpenAI issue as a major setback for Broadcom’s custom AI chip ambitions, adding concern that one of its flagship customer relationships may not be as immediately monetizable as investors hoped. Broadcom's OpenAI mega AI deal hits $18 billion wall
• Neutral Sentiment: Broadcom also announced VMware by Broadcom VCF 9.1, a product update aimed at accelerating production AI workloads in private clouds, which supports the company’s long-term enterprise AI strategy. Broadcom (AVGO) Launches VCF 9.1 to Accelerate Production AI in Private Clouds
• Neutral Sentiment: Several commentary pieces remained constructive on Broadcom’s position in the AI infrastructure stack, noting that recent hyperscaler results still support demand for chips and networking tied to AI buildouts. Big Tech earnings support Broadcom’s outlook
• Neutral Sentiment: Broadcom was also mentioned in a public-sector VMware partnership update, which could help broaden enterprise distribution but is not likely the main driver of the stock today. evoila U.S. and Carahsoft Partner to Deliver VMware by Broadcom Services to the Public Sector

Insider Activity at Broadcom

In other Broadcom news, insider S. Ram Velaga sold 38,841 shares of Broadcom stock in a transaction dated Tuesday, March 17th. The shares were sold at an average price of $321.60, for a total value of $12,491,265.60. Following the sale, the insider owned 96,147 shares of the company's stock, 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 legal filing with the SEC, which is accessible through this link. Also, CFO Kirsten M. Spears sold 36,292 shares of the business's stock in a transaction dated 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 owned 327,760 shares in the company, valued at approximately $105,407,616. The trade was a 9.97% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 324,282 shares of company stock valued at $106,425,249 over the last quarter. Corporate 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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