Capital Investment Advisors LLC Boosts Stock Position in Broadcom Inc. $AVGO

Key Points

• Capital Investment Advisors LLC increased its holdings in Broadcom Inc. by 2.1% during the second quarter, owning 62,620 shares valued at approximately $17.26 million.
• Broadcom reported a 22% year-over-year revenue increase of $15.95 billion and earnings per share (EPS) of $1.69, surpassing estimates of $1.66.
• Following recent insider sales, including that of CEO Hock E. Tan who sold 100,000 shares for nearly $34 million, around 2% of the stock is held by company insiders.

Capital Investment Advisors LLC grew its holdings in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 2.1% in the second quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 62,620 shares of the semiconductor manufacturer's stock after buying an additional 1,296 shares during the quarter. Capital Investment Advisors LLC's holdings in Broadcom were worth $17,261,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also made changes to their positions in the business. Barnes Dennig Private Wealth Management LLC purchased a new stake in shares of Broadcom during the first quarter worth approximately $25,000. Cheviot Value Management LLC purchased a new stake in shares of Broadcom during the first quarter worth approximately $25,000. Inlight Wealth Management LLC purchased a new stake in shares of Broadcom during the first quarter worth approximately $26,000. Sawyer & Company Inc increased its position in shares of Broadcom by 62.1% during the second quarter. Sawyer & Company Inc now owns 94 shares of the semiconductor manufacturer's stock worth $26,000 after purchasing an additional 36 shares in the last quarter. Finally, Legend Financial Advisors Inc. purchased a new stake in shares of Broadcom during the second quarter worth approximately $28,000. 76.43% of the stock is currently owned by hedge funds and other institutional investors.

Broadcom Price Performance

AVGO opened at $338.37 on Friday. The stock's 50-day moving average price is $318.43 and its 200 day moving average price is $257.34. Broadcom Inc. has a 12-month low of $138.10 and a 12-month high of $374.23. The company has a current ratio of 1.50, a quick ratio of 1.37 and a debt-to-equity ratio of 0.86. The firm has a market cap of $1.60 trillion, a price-to-earnings ratio of 86.32, a PEG ratio of 1.87 and a beta of 1.20.

Broadcom (NASDAQ:AVGO - Get Free Report) last posted its earnings results on Thursday, September 4th. The semiconductor manufacturer reported $1.69 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.66 by $0.03. Broadcom had a return on equity of 36.60% and a net margin of 31.59%.The firm had revenue of $15.95 billion for the quarter, compared to analyst estimates of $15.82 billion. During the same quarter in the prior year, the company earned $1.24 EPS. Broadcom's revenue was up 22.0% on a year-over-year basis. Broadcom has set its Q4 2025 guidance at EPS. As a group, sell-side analysts expect that Broadcom Inc. will post 5.38 earnings per share for the current year.

Broadcom Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Tuesday, September 30th. Investors of record on Monday, September 22nd were paid a dividend of $0.59 per share. The ex-dividend date of this dividend was Monday, September 22nd. This represents a $2.36 annualized dividend and a yield of 0.7%. Broadcom's dividend payout ratio is presently 60.20%.

Analysts Set New Price Targets

Several analysts recently commented on the company. Truist Financial boosted their price target on Broadcom from $295.00 to $365.00 and gave the stock a "buy" rating in a research report on Friday, September 5th. Macquarie assumed coverage on Broadcom in a research report on Monday, September 15th. They set an "outperform" rating and a $420.00 price target for the company. Deutsche Bank Aktiengesellschaft boosted their price target on Broadcom from $300.00 to $350.00 and gave the stock a "buy" rating in a research report on Friday, September 5th. Oppenheimer reiterated an "outperform" rating and set a $360.00 price target (up from $325.00) on shares of Broadcom in a research report on Friday, September 5th. Finally, Citigroup upped their target price on Broadcom from $315.00 to $350.00 and gave the company a "buy" rating in a report on Friday, September 5th. Three analysts have rated the stock with a Strong Buy rating, thirty have assigned a Buy rating and one has given a Hold rating to the company's stock. According to data from MarketBeat, the company presently has a consensus rating of "Buy" and an average target price of $357.22.

Insider Buying and Selling

In other Broadcom news, CEO Hock E. Tan sold 100,000 shares of the stock in a transaction dated Tuesday, September 23rd. The stock was sold at an average price of $339.58, for a total value of $33,958,000.00. Following the sale, the chief executive officer owned 725,638 shares of the company's stock, valued at $246,412,152.04. This trade represents a 12.11% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CFO Kirsten M. Spears sold 7,498 shares of the stock in a transaction dated Wednesday, September 17th. The shares were sold at an average price of $347.66, for a total value of $2,606,754.68. Following the completion of the sale, the chief financial officer directly owned 313,330 shares in the company, valued at $108,932,307.80. This represents a 2.34% decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have acquired 3,550 shares of company stock worth $1,227,869 and have sold 666,071 shares worth $225,623,008. 2.00% of the stock is currently owned by company insiders.

Broadcom 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.

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