Broadcom Inc. (NASDAQ:AVGO) Shares Sold by Swedbank AB

Key Points

• Swedbank AB reduced its stake in Broadcom Inc. by 15.2%, selling 2.5 million shares, but it still remains a significant holding at approximately $2.34 billion.
• Broadcom reported stellar quarterly earnings with an EPS of $1.58, exceeding analysts' expectations, and achieved 20.2% revenue growth year-over-year.
• The company declared a quarterly dividend of $0.59 per share, reflecting a 0.8% dividend yield, with a payout ratio currently at 88.39%.

Swedbank AB cut its stake in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 15.2% in the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 13,966,859 shares of the semiconductor manufacturer's stock after selling 2,502,692 shares during the period. Broadcom comprises approximately 3.1% of Swedbank AB's holdings, making the stock its 5th largest holding. Swedbank AB owned approximately 0.30% of Broadcom worth $2,338,471,000 as of its most recent SEC filing.

Other hedge funds have also modified their holdings of the company. Waddell & Associates LLC raised its stake in shares of Broadcom by 2.1% in the 1st quarter. Waddell & Associates LLC now owns 2,091 shares of the semiconductor manufacturer's stock valued at $350,000 after purchasing an additional 43 shares during the period. Challenger Wealth Management raised its stake in shares of Broadcom by 1.3% in the 1st quarter. Challenger Wealth Management now owns 3,504 shares of the semiconductor manufacturer's stock valued at $587,000 after purchasing an additional 45 shares during the period. True Wealth Design LLC raised its stake in shares of Broadcom by 7.2% in the 4th quarter. True Wealth Design LLC now owns 712 shares of the semiconductor manufacturer's stock valued at $165,000 after purchasing an additional 48 shares during the period. Martingale Asset Management L P raised its stake in shares of Broadcom by 1.3% in the 1st quarter. Martingale Asset Management L P now owns 3,876 shares of the semiconductor manufacturer's stock valued at $649,000 after purchasing an additional 48 shares during the period. Finally, Wescott Financial Advisory Group LLC raised its stake in shares of Broadcom by 3.8% in the 1st quarter. Wescott Financial Advisory Group LLC now owns 1,326 shares of the semiconductor manufacturer's stock valued at $222,000 after purchasing an additional 48 shares during the period. 76.43% of the stock is owned by institutional investors and hedge funds.

Broadcom Trading Up 3.0%

Broadcom stock opened at $301.67 on Thursday. Broadcom Inc. has a 52 week low of $134.90 and a 52 week high of $306.95. The company has a debt-to-equity ratio of 0.89, a quick ratio of 0.98 and a current ratio of 1.08. The stock has a market capitalization of $1.42 trillion, a P/E ratio of 112.99, a PEG ratio of 2.08 and a beta of 1.15. The stock has a 50-day simple moving average of $270.33 and a 200 day simple moving average of $225.92.

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

Broadcom Announces Dividend

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

Wall Street Analysts Forecast Growth

Several research firms have issued reports on AVGO. The Goldman Sachs Group began coverage on Broadcom in a research note on Thursday, July 10th. They issued a "buy" rating and a $315.00 price target on the stock. Oppenheimer lifted their price target on Broadcom from $265.00 to $305.00 and gave the company an "outperform" rating in a research note on Tuesday, July 15th. UBS Group lifted their price target on Broadcom from $270.00 to $290.00 and gave the company a "buy" rating in a research note on Friday, June 6th. Truist Financial set a $295.00 price objective on Broadcom and gave the company a "buy" rating in a report on Friday, June 6th. Finally, Wall Street Zen raised Broadcom from a "hold" rating to a "buy" rating in a research report on Saturday, July 5th. One equities research analyst has rated the stock with a hold rating, twenty-seven have issued a buy rating and three have given a strong buy rating to the company's stock. According to MarketBeat, Broadcom currently has a consensus rating of "Buy" and a consensus price target of $294.92.

Insider Activity at Broadcom

In other news, Director Henry Samueli sold 473,898 shares of the business's stock in a transaction that occurred on Wednesday, June 25th. The stock was sold at an average price of $265.33, for a total transaction of $125,739,356.34. Following the completion of the sale, the director owned 38,188,575 shares in the company, valued at $10,132,574,604.75. The trade was a 1.23% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Director Justine Page sold 800 shares of the business's stock in a transaction that occurred on Monday, July 14th. The stock was sold at an average price of $274.30, for a total value of $219,440.00. Following the sale, the director owned 24,582 shares of the company's stock, valued at approximately $6,742,842.60. This represents a 3.15% decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 830,516 shares of company stock valued at $217,224,641. Insiders own 2.00% of the company's stock.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.