Northwest & Ethical Investments L.P. Sells 70,778 Shares of Broadcom Inc. $AVGO

Key Points

• Northwest & Ethical Investments L.P. reduced its holdings in Broadcom Inc. by 24%, now owning 224,138 shares valued at approximately $37.5 million, making it the firm's 15th largest position.
• Broadcom's stock has been receiving positive attention, with multiple analysts upgrading their ratings and target prices, resulting in a consensus rating of "Buy" and an average target price of $295.96.
• Insider trading activity indicates significant selling, with CEO Hock E. Tan selling 40,000 shares worth $10.73 million, representing a 7.65% decrease in his ownership stake.

Northwest & Ethical Investments L.P. reduced its stake in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 24.0% during the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 224,138 shares of the semiconductor manufacturer's stock after selling 70,778 shares during the period. Broadcom comprises approximately 1.0% of Northwest & Ethical Investments L.P.'s investment portfolio, making the stock its 15th largest position. Northwest & Ethical Investments L.P.'s holdings in Broadcom were worth $37,524,000 as of its most recent SEC filing.

Other hedge funds have also added to or reduced their stakes in the company. Sunbeam Capital Management LLC acquired a new position in shares of Broadcom in the 4th quarter worth approximately $28,000. Vermillion Wealth Management Inc. acquired a new position in shares of Broadcom in the 4th quarter worth approximately $30,000. Barnes Dennig Private Wealth Management LLC acquired a new position in shares of Broadcom in the 1st quarter worth approximately $25,000. Cheviot Value Management LLC acquired a new position in shares of Broadcom in the 1st quarter worth approximately $25,000. Finally, Inlight Wealth Management LLC acquired a new position in shares of Broadcom in the 1st quarter worth approximately $26,000. 76.43% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

Several analysts have recently weighed in on AVGO shares. UBS Group lifted their price objective on shares of Broadcom from $270.00 to $290.00 and gave the company a "buy" rating in a research note on Friday, June 6th. Erste Group Bank upgraded shares of Broadcom from a "hold" rating to a "buy" rating in a research note on Thursday, June 5th. Seaport Res Ptn upgraded shares of Broadcom to a "strong-buy" rating in a research note on Wednesday, April 30th. HSBC upgraded shares of Broadcom from a "hold" rating to a "buy" rating and set a $400.00 price objective for the company in a research note on Tuesday, June 24th. Finally, Redburn Atlantic started coverage on shares of Broadcom in a research note on Wednesday, May 28th. They issued a "buy" rating and a $301.00 price objective for the company. One analyst has rated the stock with a hold rating, twenty-seven have assigned a buy rating and three have assigned a strong buy rating to the company's stock. According to MarketBeat.com, Broadcom presently has an average rating of "Buy" and a consensus price target of $295.96.

Broadcom Stock Down 0.2%

Shares of AVGO traded down $0.58 during trading hours on Monday, hitting $305.76. The company had a trading volume of 14,705,522 shares, compared to its average volume of 17,400,806. The firm has a fifty day moving average price of $279.50 and a 200-day moving average price of $230.48. 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 $1.44 trillion, a price-to-earnings ratio of 114.52, a P/E/G ratio of 2.18 and a beta of 1.15. Broadcom Inc. has a 52-week low of $134.90 and a 52-week high of $317.35.

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 (EPS) for the quarter, topping the consensus estimate of $1.57 by $0.01. The firm had revenue of $15 billion during the quarter, compared to analyst estimates of $14.98 billion. Broadcom had a return on equity of 35.49% and a net margin of 22.64%. Broadcom's quarterly revenue was up 20.2% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $10.96 EPS. On average, equities research analysts forecast that Broadcom Inc. will post 5.38 EPS for the current fiscal year.

Broadcom Dividend Announcement

The business 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 was Friday, June 20th. This represents a $2.36 annualized dividend and a yield of 0.8%. Broadcom's dividend payout ratio is currently 88.39%.

Insider Buying and Selling at Broadcom

In other news, insider Mark David Brazeal sold 50,000 shares of the company's 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 completion of the sale, the insider owned 415,956 shares of the company's stock, valued at $105,353,335.68. This represents a 10.73% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CEO Hock E. Tan sold 117,758 shares of the company's stock in a transaction dated Thursday, June 12th. The shares were sold at an average price of $252.91, for a total transaction of $29,782,175.78. Following the sale, the chief executive officer directly owned 1,014,152 shares of the company's stock, valued at $256,489,182.32. The trade was a 10.40% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 830,516 shares of company stock worth $217,286,457. 2.00% of the stock is owned by company insiders.

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.