Cypress Asset Management Inc. TX Sells 1,816 Shares of Broadcom Inc. $AVGO

Key Points

• Cypress Asset Management reduced its Broadcom position by 2.6%, selling 1,816 shares and retaining 66,951 shares valued at approximately $25.3 million. Broadcom remains the firm’s fourth-largest holding, representing 4.9% of its portfolio.
• Wall Street remains broadly positive on Broadcom, with 29 analysts rating it a Buy and four a Hold; the stock carries a “Moderate Buy” consensus and an average price target of $491.97.
• Broadcom exceeded quarterly expectations with $2.44 in EPS and $22.19 billion in revenue, up 47.9% year over year. Investors still face risks from hyperscalers developing in-house chips, elevated valuation, and potential debt financing for an AI-related transaction.

Cypress Asset Management Inc. TX reduced its position in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 2.6% in the 2nd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 66,951 shares of the semiconductor manufacturer's stock after selling 1,816 shares during the period. Broadcom comprises about 4.9% of Cypress Asset Management Inc. TX's portfolio, making the stock its 4th biggest holding. Cypress Asset Management Inc. TX's holdings in Broadcom were worth $25,291,000 at the end of the most recent reporting period.

A number of other hedge funds have also recently added to or reduced their stakes in AVGO. ROSS JOHNSON & Associates LLC raised its holdings in shares of Broadcom by 1,320.0% during the fourth quarter. ROSS JOHNSON & Associates LLC now owns 71 shares of the semiconductor manufacturer's stock valued at $25,000 after acquiring an additional 66 shares during the last quarter. SWAN Capital LLC grew its stake in Broadcom by 261.9% during the 4th quarter. SWAN Capital LLC now owns 76 shares of the semiconductor manufacturer's stock valued at $26,000 after acquiring an additional 55 shares in the last quarter. Networth Advisors LLC raised its holdings in Broadcom by 546.2% in the 1st quarter. Networth Advisors LLC now owns 84 shares of the semiconductor manufacturer's stock valued at $26,000 after acquiring an additional 71 shares during the last quarter. Nvest Wealth Strategies Inc. purchased a new position in Broadcom in the 4th quarter worth approximately $33,000. Finally, Harborfront Financial Group LLC acquired a new position in shares of Broadcom during the 2nd quarter worth approximately $38,000. 76.43% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

Several research analysts have recently commented on AVGO shares. BMO Capital Markets assumed coverage on Broadcom in a report on Thursday, August 20th. They set an "outperform" rating and a $455.00 price target on the stock. Evercore reaffirmed an "outperform" rating and set a $582.00 target price on shares of Broadcom in a research note on Tuesday, May 19th. DA Davidson increased their price target on shares of Broadcom from $375.00 to $400.00 and gave the company a "neutral" rating in a research note on Thursday, June 4th. Oppenheimer reaffirmed an "outperform" rating and set a $535.00 price target (up from $450.00) on shares of Broadcom in a research report on Thursday, June 4th. Finally, Truist Financial upped their price objective on Broadcom from $545.00 to $550.00 and gave the company a "buy" rating in a report on Thursday, June 4th. Twenty-nine research analysts have rated the stock with a Buy rating and four have given a Hold rating to the company. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average price target of $491.97.

Broadcom Price Performance

Shares of NASDAQ AVGO opened at $368.79 on Friday. The stock's 50-day moving average is $385.07 and its two-hundred day moving average is $376.26. The company has a debt-to-equity ratio of 0.71, a current ratio of 2.24 and a quick ratio of 2.01. Broadcom Inc. has a 1-year low of $287.17 and a 1-year high of $495.00. The company has a market cap of $1.75 trillion, a price-to-earnings ratio of 61.47, a price-to-earnings-growth ratio of 0.71 and a beta of 1.45.

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

Broadcom Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, June 30th. Shareholders of record on Monday, June 22nd were issued a dividend of $0.65 per share. The ex-dividend date of this dividend was Monday, June 22nd. This represents a $2.60 annualized dividend and a dividend yield of 0.7%. Broadcom's dividend payout ratio (DPR) is presently 43.33%.

Broadcom News Summary

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Mizuho remains bullish ahead of earnings, citing Broadcom’s nearly uninterrupted 30-quarter earnings track record, deeply negative investor sentiment, and the possibility that CEO Hock Tan will directly address concerns about custom ASIC competition and Google’s in-house chips. Mizuho is bullish on Broadcom ahead of Sept. 2 earnings
• Positive Sentiment: Broadcom’s partnership with OpenAI on the Jalapeño inference chip highlights demand for specialized AI infrastructure. OpenAI says the chip can deliver substantially better performance per watt than comparison systems, potentially supporting Broadcom’s custom-chip and networking growth. Why BNP thinks Jalapeño could benefit Broadcom stock
• Positive Sentiment: Analysts argue Broadcom offers a better AI risk-reward profile than AMD because of its broader exposure across custom accelerators, networking, and infrastructure software, along with a comparatively lower valuation. Broadcom vs. AMD: Which AI Chip Stock Has the Better Risk-Reward?
• Positive Sentiment: A new Kyndryl collaboration expands VMware Cloud Foundation’s reach among enterprise customers, reinforcing Broadcom’s private-cloud and software modernization strategy. Broadcom Kyndryl partnership
• Neutral Sentiment: Royal Bank of Canada reiterated its “Sector Perform” rating, suggesting balanced expectations rather than a strong near-term catalyst. Royal Bank of Canada reiterates Sector Perform
• Negative Sentiment: Broadcom is reportedly considering $70 billion to $80 billion of debt financing for an AI chip-related transaction involving companies including Anthropic. The potential borrowing could accelerate growth but raises leverage, execution, and repayment risks. Broadcom nears $70B debt financing deal
• Negative Sentiment: Investors remain concerned that Google’s and other hyperscalers’ internally designed chips could pressure Broadcom’s custom-silicon revenue. Competition from Marvell, NVIDIA, and AMD adds to the risk, while Broadcom’s elevated earnings multiple leaves less room for disappointment. Marvell and Google custom silicon deal

Insider Transactions at Broadcom

In other news, Director Harry L. You bought 1,000 shares of the firm's stock in a transaction that occurred on Thursday, June 11th. The stock was purchased at an average cost of $373.57 per share, with a total value of $373,570.00. Following the transaction, the director directly owned 38,466 shares in the company, valued at $14,369,743.62. This trade represents a 2.67% increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, Director Justine Page sold 1,602 shares of the company's stock in a transaction on Monday, June 29th. The shares were sold at an average price of $373.86, for a total transaction of $598,923.72. Following the completion of the sale, the director owned 17,426 shares of the company's stock, valued at approximately $6,514,884.36. This trade represents a 8.42% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 61,644 shares of company stock worth $24,016,214 over the last three months. 1.90% of the stock is currently owned by company insiders.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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