Broadcom Inc. $AVGO Shares Newly Purchased by Sterling Investment Management LLC

Key Points

• Sterling Investment Management LLC purchased 7,324 Broadcom shares during the third quarter, worth approximately $2.57 million and representing 1.2% of its portfolio.
• Institutional investors own 76.43% of Broadcom, while analysts maintain a generally bullish outlook: the stock has a “Moderate Buy” consensus rating and an average price target of $527.20.
• Broadcom recently beat quarterly earnings and revenue estimates, with revenue up 85.5% year over year, although management has warned that higher financing costs and speculative AI spending could pose risks to future growth.

Sterling Investment Management LLC purchased a new position in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) during the third quarter, according to its most recent 13F filing with the SEC. The institutional investor purchased 7,324 shares of the semiconductor manufacturer's stock, valued at approximately $2,572,000. Broadcom makes up 1.2% of Sterling Investment Management LLC's holdings, making the stock its 23rd largest holding.

Several other institutional investors and hedge funds have also bought and sold shares of AVGO. Networth Advisors LLC grew its stake in shares of Broadcom by 546.2% in the 1st quarter. Networth Advisors LLC now owns 84 shares of the semiconductor manufacturer's stock valued at $26,000 after buying an additional 71 shares during the period. Core Capital Management & Research inc. acquired a new stake in shares of Broadcom in the 2nd quarter worth about $31,000. Harborfront Financial Group LLC acquired a new position in Broadcom during the 2nd quarter valued at about $38,000. Coppell Advisory Solutions LLC purchased a new stake in shares of Broadcom in the second quarter worth approximately $60,000. Finally, IMG Wealth Management Inc. purchased a new position in shares of Broadcom during the second quarter valued at approximately $64,000. 76.43% of the stock is owned by institutional investors.

Analyst Ratings Changes

A number of equities analysts have recently weighed in on AVGO shares. BMO Capital Markets boosted their target price on Broadcom from $455.00 to $575.00 and gave the stock an "outperform" rating in a research note on Thursday, September 3rd. Sanford C. Bernstein reiterated a "buy" rating on shares of Broadcom in a research note on Monday, September 21st. Rosenblatt Securities initiated coverage on Broadcom in a report on Thursday, September 3rd. They set a "buy" rating and a $600.00 target price for the company. Wall Street Zen lowered Broadcom from a "strong-buy" rating to a "buy" rating in a research note on Saturday, July 18th. Finally, President Capital lifted their target price on shares of Broadcom from $520.00 to $546.00 and gave the company a "buy" rating in a research report on Thursday, September 3rd. One research analyst has rated the stock with a Strong Buy rating, thirty-seven have given a Buy rating and three have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $527.20.

More Broadcom News

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom’s long-term AI opportunity remains attractive because hyperscalers and companies including OpenAI, Anthropic, Alphabet and Meta are adopting custom-designed chips and high-speed networking as alternatives to Nvidia GPUs. Analysts and investors continue to view Broadcom’s combination of custom silicon, networking and infrastructure software as a potential long-term growth engine. Will Broadcom Rejoin the $2 Trillion Club in 2027?
• Positive Sentiment: Erste Group raised its FY2027 earnings forecast for Broadcom, while roughly $121.5 million of net ETF purchases on Oct. 14 indicate that some institutional investors continue to add exposure. Broadcom FY2027 Earnings Forecast Raised by Erste Group Bank
• Neutral Sentiment: Broadcom’s reported plan to arrange $60 billion in financing connected to Anthropic could expand its AI relationship and customer opportunity, but it also increases the financial stakes and execution risk of the company’s AI strategy. Broadcom’s Anthropic Bet Gets Bigger
• Neutral Sentiment: Broadcom and CoreWeave rejected tokenized shares offered through the OKX/ICE venue, limiting a potential new trading channel but signaling caution around digital representations of public-company stock. CoreWeave, Broadcom Reject Tokenized Shares
• Negative Sentiment: CEO Hock Tan warned that rising financing costs and speculative, “casino-like” AI investing could slow expansion. His comments raise concerns that AI customers may reduce capital spending or struggle to turn heavy infrastructure investments into profits, weighing particularly on custom-AI-chip suppliers. Broadcom Falls as AI Capital Warning Weighs
• Negative Sentiment: Higher-than-expected inflation and expectations for higher interest rates are prompting investors to rotate away from expensive technology and AI stocks. A Gartner warning that many neocloud companies could fail or consolidate by 2030 has intensified fears of an AI infrastructure spending mismatch. MarketBeat Week in Review
• Negative Sentiment: Reports that Apple may cut iPhone 18 Pro component orders create an additional demand concern for suppliers, although Broadcom’s exposure and potential impact appear less direct than for some peers. Apple Cut iPhone 18 Orders

Broadcom Price Performance

Shares of NASDAQ AVGO opened at $328.75 on Monday. The company has a 50 day simple moving average of $364.33 and a two-hundred day simple moving average of $384.14. The company has a market capitalization of $1.57 trillion, a price-to-earnings ratio of 41.99 and a beta of 1.46. Broadcom Inc. has a fifty-two week low of $289.96 and a fifty-two week high of $495.00. The company has a debt-to-equity ratio of 0.57, a quick ratio of 2.29 and a current ratio of 2.50.

Broadcom (NASDAQ:AVGO - Get Free Report) last released its quarterly earnings data on Wednesday, September 2nd. The semiconductor manufacturer reported $3.32 earnings per share for the quarter, beating analysts' consensus estimates of $3.22 by $0.10. The business had revenue of $29.59 billion during the quarter, compared to analyst estimates of $29.24 billion. Broadcom had a net margin of 42.94% and a return on equity of 48.33%. Broadcom's revenue was up 85.5% compared to the same quarter last year. During the same period last year, the business earned $1.69 EPS. Analysts expect that Broadcom Inc. will post 10.37 EPS for the current fiscal year.

Broadcom Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, September 30th. Investors of record on Monday, September 21st were given a dividend of $0.65 per share. This represents a $2.60 annualized dividend and a yield of 0.8%. The ex-dividend date was Monday, September 21st. Broadcom's payout ratio is 33.21%.

Broadcom Company Profile

Broadcom Inc NASDAQ: AVGO is a global technology company that designs, develops and supplies semiconductor and infrastructure software products. Its semiconductor solutions support data center, networking, broadband, wireless communications, storage, industrial and other electronic applications.

The company's semiconductor portfolio includes networking and switching components, custom accelerators, connectivity and wireless devices, broadband equipment, optical products, storage controllers and related infrastructure technologies.

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