Broadcom Inc. $AVGO Shares Sold by Vantage Point Financial LLC

Key Points

• Vantage Point Financial LLC sharply reduced its Broadcom stake in the fourth quarter, selling 9,697 shares and cutting its position by 87.3% to 1,409 shares worth about $488,000.
• Broadcom reported strong quarterly results, with EPS of $2.05 and revenue of $19.31 billion, both ahead of analyst estimates and up 29.5% from a year earlier.
• The stock has seen mixed sentiment: insiders sold shares and reports suggest Broadcom’s planned OpenAI custom chip deal hit a financing snag, even as analysts maintain a Moderate Buy consensus and a $435.30 price target.

Vantage Point Financial LLC trimmed its position in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 87.3% in the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 1,409 shares of the semiconductor manufacturer's stock after selling 9,697 shares during the period. Vantage Point Financial LLC's holdings in Broadcom were worth $488,000 as of its most recent SEC filing.

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

Broadcom Price Performance

Shares of NASDAQ:AVGO opened at $430.00 on Friday. The company has a current ratio of 1.90, a quick ratio of 1.73 and a debt-to-equity ratio of 0.80. Broadcom Inc. has a 1 year low of $206.52 and a 1 year high of $437.68. The business has a fifty day simple moving average of $352.89 and a 200 day simple moving average of $351.28. The firm has a market cap of $2.04 trillion, a price-to-earnings ratio of 83.98, a P/E/G ratio of 0.85 and a beta of 1.43.

Broadcom (NASDAQ:AVGO - Get Free Report) last announced its quarterly earnings data on Wednesday, March 4th. The semiconductor manufacturer reported $2.05 earnings per share (EPS) for the quarter, topping the consensus estimate 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 during the quarter, compared to analyst estimates of $19.10 billion. During the same period last year, the company earned $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 predict that Broadcom Inc. will post 9.95 earnings per share for the current fiscal year.

Broadcom Announces Dividend

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

Insider Buying and Selling at Broadcom

In related news, Director Justine Page sold 2,018 shares of the stock in a transaction on Wednesday, April 8th. The stock was sold at an average price of $353.00, for a total transaction of $712,354.00. Following the completion of the sale, the director directly owned 18,164 shares in the company, valued at approximately $6,411,892. This trade represents a 10.00% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Gayla J. Delly sold 1,000 shares of the stock in a transaction on Thursday, April 9th. The stock was sold at an average price of $358.31, for a total value of $358,310.00. Following the sale, the director owned 32,352 shares of the company's stock, valued at approximately $11,592,045.12. This represents a 3.00% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 324,282 shares of company stock valued at $106,425,249 in the last quarter. Corporate insiders own 1.90% of the company's stock.

Key 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

Analysts Set New Price Targets

A number of brokerages have recently commented on AVGO. Benchmark reiterated a "buy" rating and set a $485.00 price objective on shares of Broadcom in a research report on Thursday, March 5th. Morgan Stanley increased their price objective on Broadcom from $462.00 to $470.00 and gave the company an "overweight" rating in a research report on Friday, March 6th. Mizuho reiterated an "outperform" rating and set a $480.00 price objective on shares of Broadcom in a research report on Thursday, April 16th. Royal Bank Of Canada cut their price objective on Broadcom from $370.00 to $340.00 and set a "sector perform" rating for the company in a research report on Monday, March 2nd. Finally, Citigroup increased their price objective on Broadcom from $458.00 to $475.00 and gave the company a "buy" rating in a research report on Thursday, March 5th. Two equities research 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 stock. According to data from MarketBeat.com, Broadcom currently has a consensus rating of "Moderate Buy" and a consensus price target of $435.30.

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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