Broadcom Inc. $AVGO Stake Cut by CHICAGO TRUST Co NA

Key Points

• CHICAGO TRUST Co NA cut its Broadcom stake by 9.6% in the third quarter, selling 2,505 shares and retaining 23,662 shares valued at approximately $8.31 million. Broadcom represents about 1.1% of the firm’s portfolio.
• Institutional ownership remains substantial, with hedge funds and other institutions holding 76.43% of Broadcom’s outstanding shares. Several major investors increased or initiated positions during the second quarter.
• Analyst sentiment is positive: Broadcom has an average “Moderate Buy” rating and a consensus price target of $530.52. The company also reported quarterly revenue growth of 85.5% year over year and exceeded earnings expectations.

CHICAGO TRUST Co NA reduced its stake in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 9.6% in the 3rd quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 23,662 shares of the semiconductor manufacturer's stock after selling 2,505 shares during the quarter. Broadcom makes up approximately 1.1% of CHICAGO TRUST Co NA's investment portfolio, making the stock its 17th largest position. CHICAGO TRUST Co NA's holdings in Broadcom were worth $8,310,000 as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds and other institutional investors have also modified their holdings of the company. Legal & General Group Plc purchased a new stake in shares of Broadcom in the second quarter valued at about $11,998,148,000. Bank of New York Mellon Corp purchased a new position in Broadcom during the second quarter worth about $10,528,191,000. Jupiter Topco LLC purchased a new position in Broadcom during the second quarter worth about $7,396,271,000. State Street Corp raised its stake in Broadcom by 8.7% during the second quarter. State Street Corp now owns 208,031,610 shares of the semiconductor manufacturer's stock worth $75,367,711,000 after purchasing an additional 16,651,378 shares during the period. Finally, Deutsche Bank AG acquired a new position in Broadcom in the 2nd quarter valued at about $5,661,216,000. 76.43% of the stock is owned by institutional investors and hedge funds.

Analyst Ratings Changes

Several research firms have recently weighed in on AVGO. President Capital increased their price target on shares of Broadcom from $520.00 to $546.00 and gave the company a "buy" rating in a research note on Thursday, September 3rd. BNP Paribas Exane lifted their price target on shares of Broadcom from $675.00 to $715.00 and gave the company an "outperform" rating in a research report on Friday, September 4th. Raymond James Financial reiterated an "outperform" rating and issued a $475.00 price objective (up from $450.00) on shares of Broadcom in a report on Thursday, September 3rd. Sanford C. Bernstein reiterated a "buy" rating on shares of Broadcom in a research report on Monday, September 21st. Finally, DA Davidson raised Broadcom from a "neutral" rating to a "buy" rating and raised their target price for the stock from $350.00 to $400.00 in a research note on Tuesday, October 27th. One equities research analyst has rated the stock with a Strong Buy rating, thirty-nine have assigned a Buy rating and five have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average target price of $530.52.

Broadcom Stock Down 1.2%

Broadcom stock opened at $322.23 on Tuesday. The stock has a market cap of $1.54 trillion, a PE ratio of 41.15 and a beta of 1.46. The company has a debt-to-equity ratio of 0.57, a current ratio of 2.50 and a quick ratio of 2.29. The stock's fifty day moving average is $351.88 and its two-hundred day moving average is $366.79. Broadcom Inc. has a 1-year low of $289.96 and a 1-year high of $495.00.

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 (EPS) for the quarter, topping the consensus estimate of $3.22 by $0.10. Broadcom had a return on equity of 48.33% and a net margin of 42.94%. The business had revenue of $29.59 billion during the quarter, compared to analysts' expectations of $29.24 billion. During the same period in the prior year, the firm posted $1.69 EPS. The business's quarterly revenue was up 85.5% compared to the same quarter last year. On average, sell-side 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 paid a dividend of $0.65 per share. The ex-dividend date was Monday, September 21st. This represents a $2.60 annualized dividend and a yield of 0.8%. Broadcom's payout ratio is presently 33.21%.

About Broadcom

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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