Raiffeisen Bank International AG Buys 16,172 Shares of Broadcom Inc. (NASDAQ:AVGO)

Key Points

• Raiffeisen Bank International AG has increased its stake in Broadcom Inc. by 2.4%, owning 682,874 shares valued at approximately $115.5 million, making it the bank's 7th largest position.
• Broadcom recently reported a quarterly earnings per share of $1.58, exceeding estimates, with revenues of $15 billion, a year-over-year increase of 20.2%.
• Broadcom's Board of Directors approved a $10 billion stock repurchase program, indicating confidence in the stock's value, alongside the announcement of a quarterly dividend of $0.59 per share.

Raiffeisen Bank International AG boosted its position in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 2.4% in the first quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 682,874 shares of the semiconductor manufacturer's stock after acquiring an additional 16,172 shares during the period. Broadcom accounts for 1.8% of Raiffeisen Bank International AG's holdings, making the stock its 7th biggest position. Raiffeisen Bank International AG's holdings in Broadcom were worth $115,486,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors also recently bought and sold shares of the company. Barnes Dennig Private Wealth Management LLC purchased a new stake in Broadcom during the first quarter valued at approximately $25,000. Cheviot Value Management LLC purchased a new stake in Broadcom during the first quarter valued at approximately $25,000. Inlight Wealth Management LLC purchased a new stake in Broadcom during the first quarter valued at approximately $26,000. Sunbeam Capital Management LLC purchased a new stake in Broadcom during the fourth quarter valued at approximately $28,000. Finally, Vermillion Wealth Management Inc. purchased a new position in shares of Broadcom in the fourth quarter worth $30,000. Hedge funds and other institutional investors own 76.43% of the company's stock.

Broadcom Price Performance

Shares of NASDAQ AVGO traded down $5.06 during trading on Friday, hitting $288.64. The company had a trading volume of 21,405,316 shares, compared to its average volume of 17,067,202. The stock has a fifty day simple moving average of $266.56 and a two-hundred day simple moving average of $224.50. Broadcom Inc. has a fifty-two week low of $128.50 and a fifty-two week high of $306.95. The firm has a market capitalization of $1.36 trillion, a price-to-earnings ratio of 108.10, a price-to-earnings-growth ratio of 2.05 and a beta of 1.15. The company has a quick ratio of 0.98, a current ratio of 1.08 and a debt-to-equity ratio of 0.89.

Broadcom (NASDAQ:AVGO - Get Free Report) last posted its quarterly earnings results on Thursday, June 5th. The semiconductor manufacturer reported $1.58 earnings per share for the quarter, topping the consensus estimate of $1.57 by $0.01. Broadcom had a net margin of 22.64% and a return on equity of 35.49%. The firm had revenue of $15 billion for the quarter, compared to the consensus estimate of $14.98 billion. During the same period last year, the firm posted $10.96 earnings per share. The company's revenue for the quarter was up 20.2% on a year-over-year basis. On average, research analysts expect that Broadcom Inc. will post 5.38 earnings per share for the current year.

Broadcom declared that its Board of Directors has approved a stock repurchase program on Monday, April 7th that authorizes the company to repurchase $10.00 billion in outstanding shares. This repurchase authorization authorizes the semiconductor manufacturer to repurchase up to 1.4% of its stock through open market purchases. Stock repurchase programs are often an indication that the company's board believes its stock is undervalued.

Broadcom Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Monday, June 30th. Shareholders of record on Friday, June 20th were paid a dividend of $0.59 per share. The ex-dividend date of this dividend was Friday, June 20th. This represents a $2.36 dividend on an annualized basis and a yield of 0.8%. Broadcom's payout ratio is 88.39%.

Insider Activity at Broadcom

In other Broadcom news, insider Mark David Brazeal sold 50,000 shares of Broadcom stock in a transaction dated Monday, June 23rd. The shares were sold at an average price of $253.28, for a total transaction of $12,664,000.00. Following the transaction, the insider directly owned 415,956 shares of the company's stock, valued at $105,353,335.68. The trade was a 10.73% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Hock E. Tan sold 117,758 shares of Broadcom stock in a transaction dated Thursday, June 12th. The stock was sold at an average price of $252.91, for a total transaction of $29,782,175.78. Following the transaction, the chief executive officer directly owned 1,014,152 shares in the company, valued at $256,489,182.32. This trade represents a 10.40% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 830,516 shares of company stock valued at $217,224,641 over the last ninety days. Corporate insiders own 2.00% of the company's stock.

Analyst Ratings Changes

AVGO has been the subject of a number of research analyst reports. KeyCorp raised their price target on shares of Broadcom from $315.00 to $330.00 and gave the stock an "overweight" rating in a report on Tuesday, July 8th. Oppenheimer raised their price target on shares of Broadcom from $265.00 to $305.00 and gave the stock an "outperform" rating in a report on Tuesday, July 15th. Mizuho raised their price target on shares of Broadcom from $315.00 to $320.00 and gave the stock an "outperform" rating in a report on Wednesday, July 16th. Citigroup raised their price target on shares of Broadcom from $285.00 to $315.00 and gave the stock a "buy" rating in a report on Monday, July 7th. Finally, HSBC raised shares of Broadcom from a "hold" rating to a "buy" rating and set a $400.00 price target for the company in a report on Tuesday, June 24th. One analyst has rated the stock with a hold rating, twenty-seven have issued a buy rating and three have assigned a strong buy rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of "Buy" and an average target price of $294.92.

Broadcom Company Profile

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.