Broadcom Inc. $AVGO Stock Position Decreased by Spear Holdings RSC Ltd

Key Points

• Spear Holdings RSC Ltd has reduced its position in Broadcom Inc. by 80.5%, leaving it with approximately 77,800 shares, valued at around $21.4 million.
• Broadcom's stock price recently dipped by 5.9%, currently standing at $324.63, which is significantly lower than its 1-year high of $374.23.
• Analysts remain optimistic, with many raising their price targets for Broadcom, leading to an average target price of $357.22 and a consensus rating of "Buy."

Spear Holdings RSC Ltd cut its position in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 80.5% in the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 77,800 shares of the semiconductor manufacturer's stock after selling 320,865 shares during the period. Broadcom accounts for about 1.6% of Spear Holdings RSC Ltd's investment portfolio, making the stock its 18th largest position. Spear Holdings RSC Ltd's holdings in Broadcom were worth $21,446,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors also recently made changes to their positions in the company. Vanguard Group Inc. increased its holdings in shares of Broadcom by 0.4% during the 1st quarter. Vanguard Group Inc. now owns 477,220,137 shares of the semiconductor manufacturer's stock valued at $79,900,968,000 after acquiring an additional 2,085,534 shares during the last quarter. Price T Rowe Associates Inc. MD increased its holdings in shares of Broadcom by 37.8% during the 1st quarter. Price T Rowe Associates Inc. MD now owns 65,509,579 shares of the semiconductor manufacturer's stock valued at $10,968,270,000 after acquiring an additional 17,985,046 shares during the last quarter. Nuveen LLC acquired a new position in shares of Broadcom during the 1st quarter valued at about $6,649,117,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its holdings in shares of Broadcom by 2.4% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 35,243,467 shares of the semiconductor manufacturer's stock valued at $5,900,814,000 after acquiring an additional 842,088 shares during the last quarter. Finally, Charles Schwab Investment Management Inc. increased its holdings in shares of Broadcom by 3.2% during the 1st quarter. Charles Schwab Investment Management Inc. now owns 33,852,310 shares of the semiconductor manufacturer's stock valued at $5,668,134,000 after acquiring an additional 1,043,948 shares during the last quarter. 76.43% of the stock is owned by hedge funds and other institutional investors.

Broadcom Stock Down 5.9%

AVGO opened at $324.63 on Friday. Broadcom Inc. has a 1-year low of $138.10 and a 1-year high of $374.23. The company has a current ratio of 1.50, a quick ratio of 1.37 and a debt-to-equity ratio of 0.86. The stock has a market capitalization of $1.53 trillion, a price-to-earnings ratio of 82.81, a P/E/G ratio of 1.80 and a beta of 1.20. The business has a 50 day moving average of $322.64 and a 200-day moving average of $262.95.

Broadcom (NASDAQ:AVGO - Get Free Report) last announced its quarterly earnings data on Thursday, September 4th. The semiconductor manufacturer reported $1.69 earnings per share for the quarter, topping the consensus estimate of $1.66 by $0.03. Broadcom had a return on equity of 36.60% and a net margin of 31.59%.The company had revenue of $15.95 billion for the quarter, compared to analyst estimates of $15.82 billion. During the same quarter last year, the firm earned $1.24 EPS. Broadcom's revenue for the quarter was up 22.0% compared to the same quarter last year. Broadcom has set its Q4 2025 guidance at EPS. As a group, sell-side analysts anticipate that Broadcom Inc. will post 5.38 earnings per share for the current year.

Broadcom Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, September 30th. Stockholders of record on Monday, September 22nd were issued a dividend of $0.59 per share. This represents a $2.36 annualized dividend and a dividend yield of 0.7%. The ex-dividend date of this dividend was Monday, September 22nd. Broadcom's dividend payout ratio (DPR) is presently 60.20%.

Analysts Set New Price Targets

A number of research analysts have recently commented on AVGO shares. HSBC raised Broadcom from a "hold" rating to a "buy" rating and set a $400.00 price objective on the stock in a report on Tuesday, June 24th. Argus increased their price objective on Broadcom from $285.00 to $375.00 and gave the company a "buy" rating in a report on Monday, September 8th. Rosenblatt Securities increased their price objective on Broadcom from $340.00 to $400.00 and gave the company a "buy" rating in a report on Friday, September 5th. Citigroup lifted their price target on Broadcom from $315.00 to $350.00 and gave the stock a "buy" rating in a research report on Friday, September 5th. Finally, Piper Sandler upped their price target on Broadcom from $315.00 to $375.00 and gave the stock an "overweight" rating in a report on Friday, September 5th. Three analysts have rated the stock with a Strong Buy rating, twenty-nine have issued a Buy rating and two have assigned a Hold rating to the stock. Based on data from MarketBeat, Broadcom has an average rating of "Buy" and an average target price of $357.22.

Insider Activity at Broadcom

In other news, Director Henry Samueli sold 368,797 shares of Broadcom stock in a transaction that occurred on Wednesday, September 24th. The stock was sold at an average price of $337.91, for a total transaction of $124,620,194.27. Following the sale, the director owned 37,722,534 shares of the company's stock, valued at approximately $12,746,821,463.94. This trade represents a 0.97% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Charlie B. Kawwas sold 3,893 shares of Broadcom stock in a transaction that occurred on Wednesday, September 17th. The stock was sold at an average price of $347.82, for a total value of $1,354,063.26. Following the sale, the insider directly owned 25,295 shares in the company, valued at $8,798,106.90. The trade was a 13.34% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders have acquired 3,550 shares of company stock worth $1,227,869 and have sold 666,071 shares worth $225,623,008. 2.00% of the stock is owned by company insiders.

About Broadcom

Broadcom Inc designs, develops, and supplies various semiconductor devices with a focus on complex digital and mixed signal complementary metal oxide semiconductor based devices and analog III-V based products worldwide. The company operates in two segments, Semiconductor Solutions and Infrastructure Software.

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