Broadcom Inc. $AVGO Stock Bought by Formuepleje A S

Key Points

• Formuepleje A S increased its Broadcom stake by 50.2% in the third quarter, acquiring 53,680 additional shares. Its 160,697 shares were valued at approximately $56.4 million and represented 4.9% of its portfolio.
• Institutional investors own 76.43% of Broadcom, with major firms including State Street, Legal & General, and Bank of New York Mellon holding substantial positions.
• Analysts maintain a generally positive outlook, with Broadcom receiving a consensus “Moderate Buy” rating and an average price target of $527.20. However, concerns include AI-sector valuation risks, potential leverage, and weaker smartphone-related demand.

Formuepleje A S boosted its stake in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 50.2% during the 3rd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 160,697 shares of the semiconductor manufacturer's stock after acquiring an additional 53,680 shares during the quarter. Broadcom comprises about 4.9% of Formuepleje A S's investment portfolio, making the stock its 6th biggest position. Formuepleje A S's holdings in Broadcom were worth $56,435,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other hedge funds and other institutional investors have also added to or reduced their stakes in AVGO. Legal & General Group Plc bought a new position in shares of Broadcom during the 2nd quarter valued at approximately $11,998,148,000. Bank of New York Mellon Corp purchased a new stake in Broadcom during the 2nd quarter valued at $10,528,191,000. Jupiter Topco LLC purchased a new stake in Broadcom during the 2nd quarter valued at $7,396,271,000. State Street Corp lifted its position in Broadcom by 8.7% in the second 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 last quarter. Finally, Deutsche Bank AG bought a new stake in Broadcom in the second quarter worth $5,661,216,000. 76.43% of the stock is currently owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Several research analysts have commented on the stock. Weiss Ratings raised shares of Broadcom from a "buy (b-)" rating to a "buy (b)" rating in a research note on Thursday, October 8th. KeyCorp reiterated an "overweight" rating and set a $575.00 price objective on shares of Broadcom in a research report on Thursday, September 3rd. Bank of America reduced their target price on shares of Broadcom from $530.00 to $460.00 and set a "buy" rating on the stock in a research note on Thursday, September 3rd. Wall Street Zen lowered shares of Broadcom from a "strong-buy" rating to a "buy" rating in a report on Saturday, July 18th. Finally, Royal Bank Of Canada began coverage on shares of Broadcom in a report on Thursday, September 3rd. They issued an "outperform" rating for the company. One 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 stock. According to data from MarketBeat, Broadcom presently has a consensus rating of "Moderate Buy" and an average target price of $527.20.

Broadcom News Summary

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom’s AI business remains a major growth driver. Reports highlight 221% growth in AI chip sales, strong demand for custom accelerators, and hyperscaler interest in alternatives to Nvidia’s higher-cost architecture. Some analysts believe Broadcom could benefit as AI spending broadens beyond Nvidia. Prediction: Broadcom Could Be the AI Winner After Nvidia
• Positive Sentiment: Bullish coverage points to Broadcom’s combination of high-margin semiconductors, networking products, custom silicon, and recurring infrastructure software revenue. Supporters argue that weaker non-AI segments are masking strong execution and creating a long-term buying opportunity. I’m Simply Not Worried About Broadcom’s Multi-Segment Drag
• Neutral Sentiment: Comparisons with Nvidia, Applied Materials, Marvell Technology, and SK Hynix emphasize Broadcom’s differentiated exposure to networking and custom AI chips, although SK Hynix recently showed stronger overall revenue momentum. These comparisons reinforce the investment debate rather than introduce a new company-specific catalyst. Broadcom vs. SK Hynix Revenue Trends
• Negative Sentiment: Tan cautioned that AI investing is becoming “casino”-like and that investors may underestimate how difficult it will be for AI companies to earn returns as spending and financing costs rise. He warned that tighter capital availability could slow AI infrastructure expansion. Broadcom CEO Hock Tan Warning About Casino-Like Investing
• Negative Sentiment: Investors are also examining potential off-balance-sheet financing and a reported $50 billion debt arrangement, increasing concern about leverage and counterparty risks if AI demand or customer returns weaken. Broadcom Off-Balance-Sheet Financing Risk
• Negative Sentiment: Apple’s reported cuts to iPhone 18 Pro component orders raise questions about Broadcom’s smartphone-related sales, while the continuing technology sell-off is weighing on high-valuation AI stocks broadly. Apple Cut iPhone 18 Orders

Broadcom Trading Down 0.6%

AVGO opened at $344.33 on Friday. The stock has a market cap of $1.64 trillion, a price-to-earnings ratio of 43.98 and a beta of 1.46. The stock's 50 day moving average price is $366.31 and its 200-day moving average price is $383.89. Broadcom Inc. has a one year low of $289.96 and a one year 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 issued its quarterly earnings results on Wednesday, September 2nd. The semiconductor manufacturer reported $3.32 earnings per share 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 firm had revenue of $29.59 billion for the quarter, compared to the consensus estimate of $29.24 billion. During the same period in the prior year, the business posted $1.69 earnings per share. The company's revenue for the quarter was up 85.5% on a year-over-year basis. On average, equities analysts forecast that Broadcom Inc. will post 10.37 EPS for the current year.

Broadcom Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, September 30th. Shareholders of record on Monday, September 21st were given a $0.65 dividend. This represents a $2.60 annualized dividend and a yield of 0.8%. The ex-dividend date of this dividend was Monday, September 21st. Broadcom's dividend 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 wired and wireless communications, data center networking, broadband access, storage, industrial applications, and other markets.

The company's semiconductor portfolio includes networking and switching products, custom application-specific integrated circuits, wireless connectivity components, radio-frequency devices, optical components, and storage-related solutions.

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