Broadcom Inc. $AVGO Stock: Vestor Capital LLC Raises Stake

Key Points

• Vestor Capital sharply increased its Broadcom stake by 10,295.8% in the third quarter, ending the period with 57,177 shares valued at about $20.08 million.
• Broadcom beat quarterly expectations, reporting EPS of $3.32 versus $3.22 expected and revenue of $29.59 billion; revenue rose 85.5% year over year.
• Analysts’ consensus rating is Moderate Buy, with an average price target of $530.52. Broadcom also pays an annualized dividend of $2.60 per share, a yield of 0.8% at the time reported.

Vestor Capital LLC grew its position in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 10,295.8% during the third quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 57,177 shares of the semiconductor manufacturer's stock after buying an additional 56,627 shares during the quarter. Broadcom accounts for 0.6% of Vestor Capital LLC's portfolio, making the stock its 29th largest position. Vestor Capital LLC's holdings in Broadcom were worth $20,080,000 at the end of the most recent quarter.

Other institutional investors have also recently made changes to their positions in the company. State Street Corp lifted its position in Broadcom by 8.7% in the 2nd quarter. State Street Corp now owns 208,031,610 shares of the semiconductor manufacturer's stock valued at $75,367,711,000 after acquiring an additional 16,651,378 shares in the last quarter. Bank of America Corp DE increased its holdings in shares of 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 worth $23,202,543,000 after purchasing an additional 2,685,916 shares in the last quarter. Wellington Management Group LLP increased its holdings in shares of Broadcom by 3.8% in the 2nd quarter. Wellington Management Group LLP now owns 51,580,703 shares of the semiconductor manufacturer's stock worth $19,484,611,000 after purchasing an additional 1,892,721 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its stake in shares of Broadcom by 2.9% in the second 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 worth $15,178,195,000 after purchasing an additional 1,140,598 shares during the last quarter. Finally, Legal & General Group Plc purchased a new position in shares of Broadcom in the second quarter worth $11,998,148,000. Hedge funds and other institutional investors own 76.43% of the company's stock.

Wall Street Analysts Forecast Growth

A number of research analysts have recently issued reports on the company. Wall Street Zen downgraded Broadcom from a "strong-buy" rating to a "buy" rating in a report on Saturday, July 18th. TD Cowen reiterated a "buy" rating and issued a $475.00 price objective (down from $500.00) on shares of Broadcom in a report on Thursday, September 3rd. Evercore set a $578.00 price objective on Broadcom and gave the stock an "outperform" rating in a report on Thursday, September 3rd. Citic Securities raised Broadcom to a "buy" rating and boosted their target price for the stock from $450.00 to $525.00 in a research report on Tuesday, September 8th. Finally, Bank of America lowered 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. One equities research analyst has rated the stock with a Strong Buy rating, thirty-nine have issued a Buy rating and five have assigned a Hold rating to the company. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and an average price target of $530.52.

Broadcom Trading Up 4.0%

NASDAQ:AVGO opened at $345.22 on Thursday. The company has a current ratio of 2.50, a quick ratio of 2.29 and a debt-to-equity ratio of 0.57. Broadcom Inc. has a 12 month low of $289.77 and a 12 month high of $495.00. The company has a market cap of $1.65 trillion, a PE ratio of 44.09 and a beta of 1.49. The company has a 50 day simple moving average of $345.65 and a two-hundred day simple moving average of $366.28.

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

Broadcom Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, September 30th. Investors of record on Monday, September 21st were given a dividend of $0.65 per share. This represents a $2.60 dividend on an annualized basis and a yield of 0.8%. The ex-dividend date was Monday, September 21st. Broadcom's dividend payout ratio is 33.21%.

Latest Broadcom News

Here's some of the latest news about AVGO:

• Positive Sentiment: Broadcom shares rose more than 3% in extended trading as turmoil around Nvidia’s CEO sent investors toward rival chipmakers, including Broadcom. Nvidia Stock Sinks as Jensen Huang Ouster Report Sends Investors Toward AMD, Broadcom
• Positive Sentiment: Coverage of Anthropic points to substantial cash and rising revenue as support for its large commitment involving Broadcom, bolstering confidence in the AI partnership and related chip demand. Anthropic's S-1 Strengthens the Case for Broadcom's AI Growth
• Negative Sentiment: Risks include Broadcom’s valuation and the possibility that debt-financed AI infrastructure spending could expose the company to credit risk if demand or customer finances weaken. Broadcom: A Great TPU Business With a New Kind of Credit Risk Attached

Broadcom Company Profile

Broadcom Inc. is a global technology company that designs and supplies semiconductor products and infrastructure software. Its semiconductor portfolio includes chips and components used in networking, broadband communications, wireless connectivity, data storage, and industrial applications. The company serves businesses across a range of industries, including communications, enterprise technology, and consumer electronics. Broadcom also provides infrastructure software, including products for virtualization, cloud computing, cybersecurity, and enterprise operations.

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