Commerce Bank Has $219.15 Million Stock Holdings in Broadcom Inc. (NASDAQ:AVGO)

Key Points

• Commerce Bank increased its holdings in Broadcom Inc. by 1.4%, acquiring an additional 17,486 shares to reach a total of 1,308,919 shares, valued at approximately $219,152,000.
• Recent analyst reports have set new price targets for Broadcom, with Mizuho raising its target from $315 to $320 and JPMorgan increasing theirs from $250 to $325, indicating strong market expectations for the company's stock.
• Broadcom has announced a $10 billion stock repurchase program, suggesting the company's board believes its shares are undervalued, and also declared a quarterly dividend of $0.59 per share.

Commerce Bank grew its stake in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 1.4% in the first quarter, according to its most recent disclosure with the SEC. The fund owned 1,308,919 shares of the semiconductor manufacturer's stock after buying an additional 17,486 shares during the period. Broadcom makes up 1.4% of Commerce Bank's investment portfolio, making the stock its 11th biggest holding. Commerce Bank's holdings in Broadcom were worth $219,152,000 as of its most recent filing with the SEC.

A number of other large investors have also made changes to their positions in AVGO. Banco Bilbao Vizcaya Argentaria S.A. increased its stake in Broadcom by 3.8% in the fourth quarter. Banco Bilbao Vizcaya Argentaria S.A. now owns 515,388 shares of the semiconductor manufacturer's stock valued at $120,070,000 after acquiring an additional 18,845 shares during the period. Nebula Research & Development LLC increased its stake in Broadcom by 1,100.8% in the fourth quarter. Nebula Research & Development LLC now owns 15,707 shares of the semiconductor manufacturer's stock valued at $3,642,000 after acquiring an additional 14,399 shares during the period. Diversify Wealth Management LLC increased its stake in Broadcom by 5.6% in the first quarter. Diversify Wealth Management LLC now owns 38,016 shares of the semiconductor manufacturer's stock valued at $6,365,000 after acquiring an additional 2,016 shares during the period. OMNI 360 Wealth Inc. increased its stake in Broadcom by 51.6% in the first quarter. OMNI 360 Wealth Inc. now owns 2,980 shares of the semiconductor manufacturer's stock valued at $499,000 after acquiring an additional 1,014 shares during the period. Finally, Coppell Advisory Solutions LLC grew its stake in Broadcom by 1,512.3% during the fourth quarter. Coppell Advisory Solutions LLC now owns 92,629 shares of the semiconductor manufacturer's stock worth $21,660,000 after buying an additional 86,884 shares during the last quarter. Institutional investors and hedge funds own 76.43% of the company's stock.

Broadcom Trading Down 1.7%

AVGO stock traded down $5.06 during midday trading on Friday, reaching $288.64. The company's stock had a trading volume of 21,405,316 shares, compared to its average volume of 15,995,794. Broadcom Inc. has a 52 week low of $128.50 and a 52 week high of $306.95. The stock has a market cap of $1.36 trillion, a PE ratio of 108.10, a price-to-earnings-growth ratio of 2.09 and a beta of 1.15. The company has a quick ratio of 0.98, a current ratio of 1.08 and a debt-to-equity ratio of 0.89. The business's 50-day simple moving average is $266.56 and its 200-day simple moving average is $224.55.

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

Broadcom Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Monday, June 30th. Shareholders of record on Friday, June 20th were paid a $0.59 dividend. The ex-dividend date of this dividend was Friday, June 20th. This represents a $2.36 dividend on an annualized basis and a yield of 0.8%. Broadcom's dividend payout ratio (DPR) is presently 88.39%.

Broadcom announced that its board has authorized a stock buyback program on Monday, April 7th that permits the company to repurchase $10.00 billion in outstanding shares. This repurchase authorization permits the semiconductor manufacturer to repurchase up to 1.4% of its stock through open market purchases. Stock repurchase programs are typically an indication that the company's board believes its stock is undervalued.

Wall Street Analyst Weigh In

Several analysts have weighed in on AVGO shares. JPMorgan Chase & Co. upped their price objective on shares of Broadcom from $250.00 to $325.00 and gave the stock an "overweight" rating in a research note on Friday, June 6th. Benchmark upped their price objective on shares of Broadcom from $255.00 to $315.00 and gave the stock a "buy" rating in a research note on Friday, June 6th. Citigroup upped their price objective on shares of Broadcom from $285.00 to $315.00 and gave the stock a "buy" rating in a research note on Monday, July 7th. KeyCorp upped their price objective on shares of Broadcom from $315.00 to $330.00 and gave the stock an "overweight" rating in a research note on Tuesday, July 8th. Finally, Seaport Res Ptn raised shares of Broadcom to a "strong-buy" rating in a research note on Wednesday, April 30th. One analyst has rated the stock with a hold rating, twenty-seven have issued a buy rating and three have assigned a strong buy rating to the stock. Based on data from MarketBeat.com, Broadcom has an average rating of "Buy" and a consensus target price of $294.92.

Insider Transactions at Broadcom

In other Broadcom news, Director Henry Samueli sold 473,898 shares of the firm's stock in a transaction that occurred on Wednesday, June 25th. The shares were sold at an average price of $265.33, for a total value of $125,739,356.34. Following the transaction, the director directly owned 38,188,575 shares of the company's stock, valued at approximately $10,132,574,604.75. This trade represents a 1.23% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Mark David Brazeal sold 50,000 shares of the firm's stock in a transaction that occurred on 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 transaction, the insider directly owned 415,956 shares in the company, valued at approximately $105,353,335.68. The trade was a 10.73% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders sold 830,516 shares of company stock valued at $217,224,641. 2.00% of the stock is currently 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.