Cornerstone Wealth Group LLC Reduces Holdings in Broadcom Inc. $AVGO

Key Points

• Cornerstone Wealth Group LLC cut its Broadcom stake by 2.2% in the first quarter, selling 2,025 shares and ending with 89,006 shares valued at about $27.5 million.
• Broadcom remains heavily owned by institutions, with institutional investors holding 76.43% of the stock; several large funds, including Vanguard, State Street, and Geode, also added to their positions recently.
• Analysts are still largely bullish on AVGO despite mixed sentiment, with the consensus rating at “Moderate Buy” and an average price target of $493.24, while Broadcom also beat earnings estimates in its latest quarterly report.

Cornerstone Wealth Group LLC lowered its position in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 2.2% in the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 89,006 shares of the semiconductor manufacturer's stock after selling 2,025 shares during the quarter. Broadcom makes up about 1.8% of Cornerstone Wealth Group LLC's investment portfolio, making the stock its 9th largest holding. Cornerstone Wealth Group LLC's holdings in Broadcom were worth $27,548,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors also recently modified their holdings of the company. Vanguard Group Inc. raised its holdings in shares of Broadcom by 0.8% in the 4th quarter. Vanguard Group Inc. now owns 482,707,302 shares of the semiconductor manufacturer's stock valued at $167,064,997,000 after purchasing an additional 3,919,715 shares during the period. State Street Corp grew its holdings in Broadcom by 2.7% during the fourth quarter. State Street Corp now owns 190,084,351 shares of the semiconductor manufacturer's stock worth $65,788,194,000 after purchasing an additional 5,040,801 shares during the period. Geode Capital Management LLC increased its position in Broadcom by 1.4% during the fourth quarter. Geode Capital Management LLC now owns 111,277,280 shares of the semiconductor manufacturer's stock worth $38,396,634,000 after buying an additional 1,548,699 shares during the last quarter. Price T Rowe Associates Inc. MD increased its position in Broadcom by 3.0% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 85,546,083 shares of the semiconductor manufacturer's stock worth $29,607,500,000 after buying an additional 2,491,644 shares during the last quarter. Finally, Norges Bank bought a new stake in Broadcom in the fourth quarter valued at approximately $24,252,196,000. Institutional investors own 76.43% of the company's stock.

Analyst Upgrades and Downgrades

A number of research firms have recently issued reports on AVGO. Evercore reaffirmed an "outperform" rating and issued a $582.00 price objective on shares of Broadcom in a research report on Tuesday, May 19th. Oppenheimer reissued an "outperform" rating and set a $535.00 target price (up from $450.00) on shares of Broadcom in a report on Thursday, June 4th. Seaport Research Partners restated a "neutral" rating on shares of Broadcom in a research note on Wednesday, April 8th. Mizuho raised their price target on Broadcom from $480.00 to $530.00 and gave the company an "outperform" rating in a report on Thursday, June 4th. Finally, Zacks Research cut shares of Broadcom from a "strong-buy" rating to a "hold" rating in a research report on Thursday, May 21st. One investment analyst has rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat, Broadcom has a consensus rating of "Moderate Buy" and an average price target of $493.24.

Insiders Place Their Bets

In other Broadcom news, Director Justine Page sold 2,018 shares of the business's stock in a transaction dated Wednesday, April 8th. The shares were sold at an average price of $353.00, for a total value of $712,354.00. Following the completion of the sale, the director owned 18,164 shares of the company's stock, valued at $6,411,892. The trade was a 10.00% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, insider Charlie B. Kawwas sold 10,000 shares of the business's stock in a transaction dated Wednesday, April 8th. The shares were sold at an average price of $345.23, for a total transaction of $3,452,300.00. Following the completion of the sale, the insider directly owned 787,184 shares of the company's stock, valued at $271,759,532.32. This represents a 1.25% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 59,385 shares of company stock valued at $21,301,057 in the last three months. Insiders own 1.90% of the company's stock.

Broadcom Stock Performance

NASDAQ:AVGO opened at $377.75 on Wednesday. The stock has a market cap of $1.80 trillion, a P/E ratio of 62.96, a PEG ratio of 0.65 and a beta of 1.41. The stock has a 50 day simple moving average of $410.61 and a 200 day simple moving average of $362.60. The company has a current ratio of 2.24, a quick ratio of 2.01 and a debt-to-equity ratio of 0.71. Broadcom Inc. has a 1-year low of $262.66 and a 1-year high of $495.00.

Broadcom (NASDAQ:AVGO - Get Free Report) last issued its quarterly earnings data on Wednesday, June 3rd. The semiconductor manufacturer reported $2.44 EPS for the quarter, beating analysts' consensus estimates of $2.40 by $0.04. The firm had revenue of $22.19 billion for the quarter, compared to analyst estimates of $22.13 billion. Broadcom had a return on equity of 41.61% and a net margin of 38.85%.The company's revenue for the quarter was up 47.9% on a year-over-year basis. During the same period in the prior year, the firm posted $1.58 EPS. Research analysts anticipate that Broadcom Inc. will post 10.24 earnings per share for the current year.

Broadcom Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, June 30th. Stockholders of record on Monday, June 22nd were given a $0.65 dividend. This represents a $2.60 dividend on an annualized basis and a dividend yield of 0.7%. The ex-dividend date of this dividend was Monday, June 22nd. Broadcom's payout ratio is presently 43.33%.

More Broadcom News

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Jefferies reiterated its Buy rating on Broadcom and kept a $550 price target, suggesting substantial upside from current levels. Analyst updates Broadcom (AVGO) stock price target
• Positive Sentiment: Erste Group raised its earnings estimates for Broadcom, including higher FY2026 and FY2027 EPS forecasts, reinforcing the view that earnings growth remains strong. Broadcom estimate update
• Positive Sentiment: Coverage around Broadcom’s partnership with OpenAI on the Jalapeño AI accelerator continues to support the company’s AI growth story and long-term demand outlook. What Broadcom (AVGO)'s Jalapeño AI Accelerator Partnership With OpenAI Means For Shareholders
• Neutral Sentiment: Several articles highlighted Broadcom’s recent weakness and “buy the dip” debate, indicating that investor sentiment is cautious but not turning bearish on fundamentals. Broadcom's Stock Has Slumped Over 20% From Its Highs. These Experts Say They Would Buy the Dip
• Negative Sentiment: Reports of heavy insider selling over the past two weeks may weigh on sentiment, as investors often view large insider sales as a cautionary signal. Monster insider trading alert for Broadcom (AVGO) stock

About Broadcom

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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