Broadcom Inc. $AVGO Stock Acquired by Trek Financial LLC

Key Points

• Trek Financial increased its Broadcom position by 32.8% in the third quarter, adding 4,340 shares to hold 17,560 shares valued at about $6.17 million.
• Institutional investors own 76.43% of Broadcom shares, and several large firms—including State Street and Bank of America—also increased their holdings.
• Broadcom beat quarterly earnings and revenue estimates, with revenue up 85.5% year over year; AI semiconductor revenue also exceeded management’s target. Despite those results, the stock was down 10.4% and trading near $291.53 amid broader chip-sector concerns.

Trek Financial LLC raised its position in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 32.8% in the 3rd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 17,560 shares of the semiconductor manufacturer's stock after purchasing an additional 4,340 shares during the quarter. Trek Financial LLC's holdings in Broadcom were worth $6,167,000 as of its most recent SEC filing.

Other large investors have also recently bought and sold shares of the company. State Street Corp boosted its position in Broadcom by 8.7% during the 2nd quarter. State Street Corp now owns 208,031,610 shares of the semiconductor manufacturer's stock worth $75,367,711,000 after buying an additional 16,651,378 shares during the period. Bank of America Corp DE increased its position in Broadcom by 4.6% in the 2nd quarter. Bank of America Corp DE now owns 61,423,013 shares of the semiconductor manufacturer's stock valued at $23,202,543,000 after acquiring an additional 2,685,916 shares during the period. Wellington Management Group LLP increased its position in Broadcom by 3.8% in the 2nd quarter. Wellington Management Group LLP now owns 51,580,703 shares of the semiconductor manufacturer's stock valued at $19,484,611,000 after acquiring an additional 1,892,721 shares during the period. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC increased its position in Broadcom by 2.9% in the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 40,180,530 shares of the semiconductor manufacturer's stock valued at $15,178,195,000 after acquiring an additional 1,140,598 shares during the period. Finally, Legal & General Group Plc bought a new position in shares of Broadcom during the second quarter valued at $11,998,148,000. 76.43% of the stock is currently owned by institutional investors.

Broadcom Stock Down 10.4%

Broadcom stock opened at $291.53 on Friday. The firm has a market cap of $1.39 trillion, a price-to-earnings ratio of 37.23 and a beta of 1.49. Broadcom Inc. has a 52-week low of $289.96 and a 52-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. The firm has a 50 day moving average price of $349.45 and a two-hundred day moving average price of $366.37.

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

Broadcom Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Wednesday, September 30th. Shareholders of record on Monday, September 21st were given a dividend of $0.65 per share. The ex-dividend date of this dividend was Monday, September 21st. This represents a $2.60 dividend on an annualized basis and a yield of 0.9%. Broadcom's dividend payout ratio is 33.21%.

Key Stories Impacting Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom’s AI semiconductor revenue reached $16.7 billion last quarter, above its $16 billion target, and management expects higher AI revenue next quarter. That outlook supports the case that demand remains strong despite concerns about competition. Article: Is Broadcom Stock a Buy Now?
• Positive Sentiment: Broadcom was included on Bank of America’s “global defenders” list, while ETFs reportedly added about $267.7 million of AVGO shares on Nov. 2—potential signs of institutional interest. Article: BofA adds TSLA, AVGO, IBM, others to its global defenders list Article: 53 ETFs Add to Broadcom Holdings
• Neutral Sentiment: Some recent commentary sees a possible turning point, arguing that the disconnect between falling shares and fast-growing AI revenue may not persist. This is an analyst view, not a confirmed catalyst. Article: Broadcom Stock Could Be Approaching a Major Turning Point
• Negative Sentiment: The immediate headwind is a broader chip-stock rout, with investors increasingly worried that AI regulation and constraints on data-center development could curb future spending. Coverage also points to a Texas permit freeze as a potential source of uncertainty for AI infrastructure demand. Article: Broadcom Sinks as AI Regulation Fears Deepen Chip Rout Article: Steve Weiss Says the Midterms Just Put a Lid on AI Spending

Analyst Upgrades and Downgrades

A number of equities analysts have recently commented on AVGO shares. Wedbush began coverage on shares of Broadcom in a report on Tuesday, October 27th. They set an "outperform" rating on the stock. KeyCorp reissued an "overweight" rating and issued a $575.00 price objective on shares of Broadcom in a research note on Thursday, September 3rd. Bank of America decreased their price objective on Broadcom from $530.00 to $460.00 and set a "buy" rating for the company in a report on Thursday, September 3rd. Arete Research raised their target price on Broadcom from $488.00 to $530.00 and gave the stock a "buy" rating in a research report on Tuesday, July 21st. Finally, Truist Financial cut their target price on Broadcom from $550.00 to $520.00 and set a "buy" rating on the stock in a report on Thursday, September 3rd. One research analyst has rated the stock with a Strong Buy rating, thirty-nine have assigned a Buy rating and five have given a Hold rating to the company's stock. According to MarketBeat, Broadcom currently has a consensus rating of "Moderate Buy" and an average target price of $530.52.

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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