Broadcom Inc. $AVGO Shares Sold by First Financial Bankshares Inc

Key Points

• First Financial Bankshares Inc. cut its Broadcom stake by 10.8% in the fourth quarter, selling 83,889 shares and ending with 693,158 shares worth about $239.9 million. Broadcom remains its second-largest holding and makes up about 4.8% of its portfolio.
• Broadcom reported better-than-expected quarterly results, with EPS of $2.44 versus estimates of $2.40 and revenue of $22.19 billion, up 47.9% year over year. Analysts now expect the company to earn 10.24 EPS for the current fiscal year.
• The company also announced a quarterly dividend of $0.65 per share, payable June 30, and analysts remain broadly positive, with a “Moderate Buy” consensus and an average target price of $490.13.

First Financial Bankshares Inc lowered its position in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 10.8% during the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 693,158 shares of the semiconductor manufacturer's stock after selling 83,889 shares during the period. Broadcom accounts for approximately 4.8% of First Financial Bankshares Inc's investment portfolio, making the stock its 2nd biggest holding. First Financial Bankshares Inc's holdings in Broadcom were worth $239,902,000 at the end of the most recent reporting period.

A number of other large investors also recently made changes to their positions in AVGO. Miller Global Investments LLC bought a new position in shares of Broadcom during the fourth quarter worth approximately $31,000. Nvest Wealth Strategies Inc. bought a new position in shares of Broadcom during the fourth quarter worth approximately $33,000. Family CFO Inc bought a new position in shares of Broadcom during the fourth quarter worth approximately $35,000. PayPay Securities Corp increased its stake in shares of Broadcom by 88.9% during 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 during the period. Finally, Camelot Portfolios LLC bought a new position in shares of Broadcom during the fourth quarter worth approximately $45,000. Institutional investors own 76.43% of the company's stock.

Broadcom Price Performance

Broadcom stock opened at $385.57 on Friday. The stock's fifty day moving average price is $402.89 and its two-hundred day moving average price is $363.19. Broadcom Inc. has a one year low of $244.17 and a one year high of $495.00. The company has a debt-to-equity ratio of 0.71, a current ratio of 2.24 and a quick ratio of 2.01. The firm has a market cap of $1.83 trillion, a PE ratio of 64.26, a price-to-earnings-growth ratio of 0.65 and a beta of 1.41.

Broadcom (NASDAQ:AVGO - Get Free Report) last posted its quarterly earnings data on Wednesday, June 3rd. The semiconductor manufacturer reported $2.44 EPS for the quarter, topping analysts' consensus estimates of $2.40 by $0.04. Broadcom had a return on equity of 41.61% and a net margin of 38.85%.The firm had revenue of $22.19 billion for the quarter, compared to analyst estimates of $22.13 billion. During the same quarter last year, the company earned $1.58 EPS. The company's revenue was up 47.9% on a year-over-year basis. As a group, research analysts expect that Broadcom Inc. will post 10.24 EPS for the current fiscal year.

Broadcom Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, June 30th. Stockholders of record on Monday, June 22nd will be paid a $0.65 dividend. The ex-dividend date is Monday, June 22nd. This represents a $2.60 annualized dividend and a dividend yield of 0.7%. Broadcom's dividend payout ratio (DPR) is presently 43.33%.

Insiders Place Their Bets

In related news, CFO Kirsten M. Spears sold 36,292 shares of the firm's stock in a transaction on Tuesday, March 17th. The stock was sold at an average price of $321.60, for a total transaction of $11,671,507.20. Following the sale, the chief financial officer owned 327,760 shares of the company's stock, valued at $105,407,616. This trade represents a 9.97% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, insider Mark David Brazeal sold 50,488 shares of the firm's 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 sale, the insider directly owned 278,141 shares in the company, valued at approximately $89,450,145.60. This trade represents a 15.36% decrease in their position. The SEC filing for this sale provides additional information. In the last quarter, insiders have sold 324,282 shares of company stock worth $106,425,249. 1.90% of the stock is currently owned by company insiders.

Wall Street Analyst Weigh In

A number of equities analysts have recently weighed in on AVGO shares. Benchmark increased their target price on Broadcom from $485.00 to $545.00 and gave the stock a "buy" rating in a research note on Thursday, June 4th. Seaport Research Partners reiterated a "neutral" rating on shares of Broadcom in a research note on Wednesday, April 8th. Rosenblatt Securities reiterated a "buy" rating and set a $500.00 target price on shares of Broadcom in a research note on Thursday, June 4th. UBS Group set a $485.00 target price on Broadcom and gave the stock a "buy" rating in a research note on Thursday, June 4th. Finally, Morgan Stanley set a $502.00 price objective on Broadcom and gave the stock an "overweight" rating in a research note on Thursday, June 4th. One research analyst has rated the stock with a Strong Buy rating, twenty-nine have issued a Buy rating and three have given a Hold rating to the stock. According to MarketBeat.com, Broadcom presently has an average rating of "Moderate Buy" and an average target price of $490.13.

Broadcom News Summary

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Several analysts raised or reiterated bullish views after the pullback, including Erste Group increasing its FY2026 and FY2027 EPS estimates and maintaining a Buy rating, while other reports said Wall Street price targets are still rising despite the selloff. As Shares Fall, Analyst Are Boosting their Broadcom Price Targets
• Positive Sentiment: Broadcom continues to be highlighted as a major AI winner, with articles noting strong AI chip demand, large AI bookings, and its growing role in custom AI chips for hyperscale customers. Broadcom's Post-Earnings Dip Is a Compelling Buying Opportunity
• Positive Sentiment: Broadcom announced cash tender offers for certain outstanding debt securities, which may be viewed as a balance-sheet management move that could modestly support investor confidence. Broadcom Inc. Commences Offers to Purchase for Cash Certain of its Outstanding Debt Securities
• Neutral Sentiment: Broadcom was also featured in multiple articles calling it a top AI stock in Ken Griffin’s portfolio, reinforcing its reputation as a core AI holding rather than providing a new company-specific catalyst. Broadcom Inc. (AVGO) Is A Top AI Stock In Ken Griffin’s Portfolio
• Negative Sentiment: The main drag on the stock has been post-earnings skepticism: investors punished Broadcom despite beat-and-raise style results because its AI guidance was seen as too conservative relative to a very rich valuation. Stock Market Today, June 10: Broadcom Falls as Strong AI Quarter Tests Stock's Premium Valuation
• Negative Sentiment: Some commentators warned that Broadcom’s AI story may have red flags, with concerns that the market is focused too heavily on short-term guidance and premium expectations rather than fundamentals. Broadcom Looks Like A Value (Growth) Trap

Broadcom 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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