Westover Capital Advisors LLC Cuts Holdings in Broadcom Inc. (NASDAQ:AVGO)

Key Points

• Westover Capital Advisors LLC decreased its holdings in Broadcom Inc. by 14.9% in Q1, now representing 2.3% of its total portfolio, valued at approximately $10.5 million.
• A significant sell-off occurred among insiders, with CFO Kirsten M. Spears and Director Gayla J. Delly selling a combined total of over 39,000 shares recently, reducing their ownership by 10.04% and 8.25%, respectively.
• Broadcom's stock has gained attention from analysts, receiving multiple upgrades, with a consensus target price now at $292.08 and a current stock price hovering around $290.18.

Westover Capital Advisors LLC lowered its stake in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 14.9% in the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 62,827 shares of the semiconductor manufacturer's stock after selling 11,003 shares during the quarter. Broadcom accounts for 2.3% of Westover Capital Advisors LLC's investment portfolio, making the stock its 10th largest holding. Westover Capital Advisors LLC's holdings in Broadcom were worth $10,519,000 as of its most recent filing with the Securities and Exchange Commission.

Several other institutional investors have also bought and sold shares of AVGO. Barnes Dennig Private Wealth Management LLC purchased a new stake in Broadcom in the 1st quarter worth about $25,000. Inlight Wealth Management LLC purchased a new stake in Broadcom in the 1st quarter worth about $26,000. Sunbeam Capital Management LLC purchased a new stake in Broadcom in the 4th quarter worth about $28,000. Vermillion Wealth Management Inc. purchased a new stake in Broadcom in the 4th quarter worth about $30,000. Finally, Wood Tarver Financial Group LLC increased its holdings in Broadcom by 342.5% in the 1st quarter. Wood Tarver Financial Group LLC now owns 177 shares of the semiconductor manufacturer's stock worth $30,000 after acquiring an additional 137 shares during the last quarter. Institutional investors own 76.43% of the company's stock.

Insider Buying and Selling

In other Broadcom news, CFO Kirsten M. Spears sold 56,310 shares of Broadcom stock in a transaction that occurred on Wednesday, June 18th. The stock was sold at an average price of $251.75, for a total value of $14,176,042.50. Following the sale, the chief financial officer owned 361,937 shares of the company's stock, valued at $91,117,639.75. The trade was a 13.46% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, insider Charlie B. Kawwas sold 10,000 shares of Broadcom stock in a transaction that occurred on Wednesday, June 11th. The stock was sold at an average price of $252.88, for a total value of $2,528,800.00. Following the completion of the sale, the insider directly owned 789,784 shares in the company, valued at approximately $199,720,577.92. The trade was a 1.25% decrease in their position. The disclosure for this sale can be found here. Insiders sold 830,516 shares of company stock worth $217,224,641 in the last quarter. 2.00% of the stock is owned by insiders.

Analyst Ratings Changes

A number of brokerages have issued reports on AVGO. Truist Financial set a $295.00 target price on shares of Broadcom and gave the company a "buy" rating in a report on Friday, June 6th. Wall Street Zen raised Broadcom from a "hold" rating to a "buy" rating in a report on Saturday, July 5th. The Goldman Sachs Group started coverage on Broadcom in a report on Thursday, July 10th. They set a "buy" rating and a $315.00 target price for the company. Bank of America lifted their target price on Broadcom from $240.00 to $300.00 and gave the company a "buy" rating in a report on Friday, June 6th. Finally, Citigroup lifted their target price on Broadcom from $285.00 to $315.00 and gave the company a "buy" rating in a report on Monday, July 7th. One equities research analyst has rated the stock with a hold rating, twenty-seven have issued a buy rating and two have assigned a strong buy rating to the company's stock. According to MarketBeat, Broadcom presently has an average rating of "Buy" and an average price target of $292.08.

Broadcom Price Performance

NASDAQ AVGO traded up $2.06 during trading hours on Monday, reaching $292.24. The company's stock had a trading volume of 4,542,559 shares, compared to its average volume of 26,994,857. The firm's 50-day moving average price is $260.05 and its 200-day moving average price is $222.08. 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 Inc. has a 1 year low of $128.50 and a 1 year high of $293.27. The company has a market capitalization of $1.37 trillion, a price-to-earnings ratio of 109.45, a PEG ratio of 2.06 and a beta of 1.12.

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 company had revenue of $15 billion for the quarter, compared to analysts' expectations of $14.98 billion. During the same period in the previous year, the firm earned $10.96 EPS. The firm's revenue was up 20.2% compared to the same quarter last year. On average, equities research analysts predict that Broadcom Inc. will post 5.38 EPS for the current fiscal year.

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

Broadcom Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Monday, June 30th. Investors of record on Friday, June 20th were issued a $0.59 dividend. The ex-dividend date was Friday, June 20th. This represents a $2.36 dividend on an annualized basis and a yield of 0.81%. Broadcom's dividend payout ratio is presently 88.39%.

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.