Colton Groome Financial Advisors LLC Grows Stock Position in Broadcom Inc. $AVGO

Key Points

• Colton Groome Financial Advisors increased its Broadcom stake by 11.4% in the fourth quarter, buying 1,779 shares to bring its total to 17,400 shares valued at about $6.0 million.
• Broadcom’s latest quarterly results were strong, with EPS of $2.44 and revenue of $22.19 billion, both slightly above Wall Street estimates. Revenue also jumped 47.9% from a year earlier.
• Despite the solid earnings beat, the stock has faced pressure after AI revenue guidance came in below lofty expectations, even as analysts largely remain positive with a consensus rating of Moderate Buy and a price target around $490.

Colton Groome Financial Advisors LLC raised its stake in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 11.4% in the fourth quarter, according to its most recent 13F filing with the SEC. The fund owned 17,400 shares of the semiconductor manufacturer's stock after buying an additional 1,779 shares during the period. Broadcom comprises about 1.7% of Colton Groome Financial Advisors LLC's portfolio, making the stock its 12th largest holding. Colton Groome Financial Advisors LLC's holdings in Broadcom were worth $6,022,000 as of its most recent filing with the SEC.

A number of other institutional investors have also modified their holdings of the stock. Brown Brothers Harriman & Co. grew its position in shares of Broadcom by 10.7% during the 3rd quarter. Brown Brothers Harriman & Co. now owns 77,411 shares of the semiconductor manufacturer's stock valued at $25,539,000 after acquiring an additional 7,499 shares during the period. Dana Investment Advisors Inc. grew its position in shares of Broadcom by 2.6% during the 3rd quarter. Dana Investment Advisors Inc. now owns 173,759 shares of the semiconductor manufacturer's stock valued at $57,325,000 after acquiring an additional 4,442 shares during the period. Guinness Atkinson Asset Management Inc grew its position in shares of Broadcom by 248.2% during the 3rd quarter. Guinness Atkinson Asset Management Inc now owns 26,238 shares of the semiconductor manufacturer's stock valued at $8,603,000 after acquiring an additional 18,703 shares during the period. Sovran Advisors LLC grew its position in shares of Broadcom by 121.3% during the 4th quarter. Sovran Advisors LLC now owns 30,631 shares of the semiconductor manufacturer's stock valued at $10,507,000 after acquiring an additional 16,789 shares during the period. Finally, Thurston Springer Miller Herd & Titak Inc. grew its position in shares of Broadcom by 406.1% during the 4th quarter. Thurston Springer Miller Herd & Titak Inc. now owns 11,994 shares of the semiconductor manufacturer's stock valued at $4,151,000 after acquiring an additional 9,624 shares during the period. Hedge funds and other institutional investors own 76.43% of the company's stock.

Wall Street Analysts Forecast Growth

A number of research firms have recently commented on AVGO. UBS Group set a $485.00 target price on Broadcom and gave the company a "buy" rating in a research report on Thursday. The Goldman Sachs Group reiterated a "buy" rating and issued a $525.00 price objective on shares of Broadcom in a report on Thursday. Morgan Stanley set a $502.00 target price on Broadcom and gave the company an "overweight" rating in a report on Thursday. Erste Group Bank downgraded Broadcom from a "buy" rating to a "hold" rating in a research report on Thursday, April 2nd. Finally, Zacks Research downgraded Broadcom from a "strong-buy" rating to a "hold" rating in a research report on Thursday, May 21st. One analyst has rated the stock with a Strong Buy rating, twenty-eight have assigned a Buy rating and four have assigned a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $490.13.

Broadcom News Roundup

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom still delivered record second-quarter revenue of $22.19 billion, topped EPS estimates, and generated strong free cash flow, showing underlying business strength. Broadcom Inc. Announces Second Quarter Fiscal Year 2026 Financial Results and Quarterly Dividend
• Positive Sentiment: AI semiconductor revenue surged 143% year over year to $10.8 billion, and management signaled continued demand from hyperscale customers. Broadcom's sales and AI chip forecast comes in below expectations, shares tumble
• Positive Sentiment: Several analysts raised price targets after the report, including JPMorgan, Bank of America, Mizuho, and Benchmark, indicating Street optimism remains intact despite the selloff. Benzinga analyst target updates
• Neutral Sentiment: Broadcom declared a quarterly dividend of $0.65 per share, reinforcing its shareholder-return profile but not enough to offset the earnings-driven volatility.
• Negative Sentiment: The stock sold off because third-quarter AI revenue guidance came in below elevated expectations, raising concerns that AI growth may be normalizing faster than investors hoped. Broadcom: AI guidance gap reveals the cost of sky-high expectations
• Negative Sentiment: Broadcom’s disappointment sparked a broader semiconductor retreat, pressuring chip stocks and contributing to weakness in the Nasdaq. Micron, Marvell, and Broadcom lead chipmakers' premarket losses

Insider Buying and Selling

In other news, insider S. Ram Velaga sold 38,841 shares of the business's stock in a transaction that occurred on Tuesday, March 17th. The stock was sold at an average price of $321.60, for a total transaction of $12,491,265.60. Following the transaction, the insider directly owned 96,147 shares in the company, valued at $30,920,875.20. The trade was a 28.77% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CFO Kirsten M. Spears sold 36,292 shares of the business's stock in a transaction that occurred on Tuesday, March 17th. The stock was sold at an average price of $321.60, for a total value of $11,671,507.20. Following the transaction, the chief financial officer owned 327,760 shares in the company, valued at approximately $105,407,616. This represents a 9.97% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders have sold 324,282 shares of company stock valued at $106,425,249. 1.90% of the stock is currently owned by company insiders.

Broadcom Stock Performance

NASDAQ AVGO opened at $418.91 on Friday. The company has a market cap of $1.98 trillion, a PE ratio of 69.82, a price-to-earnings-growth ratio of 0.99 and a beta of 1.41. The stock's 50 day simple moving average is $394.88 and its 200-day simple moving average is $361.73. Broadcom Inc. has a 1-year low of $241.11 and a 1-year high of $495.00. The company has a debt-to-equity ratio of 0.80, a current ratio of 1.90 and a quick ratio of 1.73.

Broadcom (NASDAQ:AVGO - Get Free Report) last released its earnings results on Wednesday, June 3rd. The semiconductor manufacturer reported $2.44 earnings per share for the quarter, beating the consensus estimate of $2.40 by $0.04. The business had revenue of $22.19 billion for the quarter, compared to the consensus estimate of $22.13 billion. Broadcom had a return on equity of 42.88% and a net margin of 38.85%.The business's quarterly revenue was up 47.9% compared to the same quarter last year. During the same quarter last year, the business posted $1.58 earnings per share. As a group, equities research analysts anticipate that Broadcom Inc. will post 9.89 EPS for the current fiscal year.

Broadcom Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, June 30th. Stockholders of record on Monday, June 22nd will be issued a dividend of $0.65 per share. This represents a $2.60 annualized dividend and a dividend yield of 0.6%. The ex-dividend date is Monday, June 22nd. Broadcom's payout ratio is currently 50.78%.

Broadcom Company Profile

Broadcom Inc NASDAQ: AVGO is a global technology company that designs, develops and supplies semiconductor and infrastructure software solutions for a broad range of markets. The company's semiconductor business provides components and systems for wired and wireless communications, enterprise and cloud storage, networking and broadband access, serving original equipment manufacturers, cloud service providers, telecommunications carriers and industrial customers worldwide. Broadcom is headquartered in Irvine, California, and operates globally with research, development and sales organizations across North America, Europe and Asia.

On the semiconductor side, Broadcom's portfolio includes system-on-chip (SoC) and application-specific integrated circuit (ASIC) solutions, radio-frequency and connectivity components, Ethernet switching and PHY devices, storage adapters and controllers, optical transceivers and other networking silicon.

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