Danica Pension Livsforsikringsaktieselskab Sells 43,428 Shares of Broadcom Inc. $AVGO

Key Points

• Danica Pension cut its Broadcom stake by 9.7% in the fourth quarter, selling 43,428 shares and leaving it with 402,426 shares worth about $139.3 million.
• Wall Street remains broadly positive on Broadcom, with analysts assigning an average “Moderate Buy” rating and a consensus target price of $435.30.
• Broadcom reported strong quarterly results, beating EPS and revenue estimates, but shares are facing some pressure after reports that its OpenAI custom-chip deal encountered financing hurdles.

Danica Pension Livsforsikringsaktieselskab lowered its stake in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 9.7% in the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 402,426 shares of the semiconductor manufacturer's stock after selling 43,428 shares during the period. Broadcom makes up approximately 2.0% of Danica Pension Livsforsikringsaktieselskab's holdings, making the stock its 15th biggest position. Danica Pension Livsforsikringsaktieselskab's holdings in Broadcom were worth $139,280,000 as of its most recent SEC filing.

Other hedge funds have also made changes to their positions in the company. Providence First Trust Co grew its holdings in Broadcom by 1,099.3% in the 3rd quarter. Providence First Trust Co now owns 8,923 shares of the semiconductor manufacturer's stock valued at $2,944,000 after buying an additional 8,179 shares during the last quarter. Whittier Trust Co. of Nevada Inc. lifted its holdings in shares of Broadcom by 3.4% during the third quarter. Whittier Trust Co. of Nevada Inc. now owns 323,587 shares of the semiconductor manufacturer's stock worth $109,492,000 after buying an additional 10,786 shares during the last quarter. Lmcg Investments LLC boosted its position in shares of Broadcom by 9.4% in the third quarter. Lmcg Investments LLC now owns 38,961 shares of the semiconductor manufacturer's stock valued at $12,854,000 after acquiring an additional 3,357 shares during the period. Wright Investors Service Inc. boosted its position in shares of Broadcom by 5.4% in the third quarter. Wright Investors Service Inc. now owns 42,159 shares of the semiconductor manufacturer's stock valued at $13,909,000 after acquiring an additional 2,178 shares during the period. Finally, Brown Brothers Harriman & Co. grew its stake in shares of Broadcom by 10.7% in the third quarter. Brown Brothers Harriman & Co. now owns 77,411 shares of the semiconductor manufacturer's stock worth $25,539,000 after acquiring an additional 7,499 shares during the last quarter. Institutional investors and hedge funds own 76.43% of the company's stock.

Wall Street Analyst Weigh In

A number of equities analysts recently issued reports on the stock. Morgan Stanley upped their target price on shares of Broadcom from $462.00 to $470.00 and gave the company an "overweight" rating in a research note on Friday, March 6th. Erste Group Bank lowered shares of Broadcom from a "buy" rating to a "hold" rating in a research report on Thursday, April 2nd. Royal Bank Of Canada dropped their price objective on shares of Broadcom from $370.00 to $340.00 and set a "sector perform" rating on the stock in a report on Monday, March 2nd. JPMorgan Chase & Co. upped their price objective on shares of Broadcom from $475.00 to $500.00 and gave the company an "overweight" rating in a research report on Thursday, March 5th. Finally, Wolfe Research upgraded shares of Broadcom from a "peer perform" rating to an "outperform" rating and set a $400.00 target price for the company in a research note on Friday, January 30th. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-seven have issued a Buy rating and four have issued a Hold rating to the company's stock. According to MarketBeat, Broadcom presently has an average rating of "Moderate Buy" and a consensus target price of $435.30.

Broadcom News Roundup

Here are the key news stories impacting Broadcom this week:

• Negative Sentiment: Broadcom shares are under pressure after reports said OpenAI’s planned $18 billion custom chip deal with the company hit a financing roadblock, creating uncertainty around a key AI revenue driver. Broadcom shares slump as OpenAI’s $18B custom chip deal hits financing snag
• Negative Sentiment: Another report framed the OpenAI issue as a major setback for Broadcom’s custom AI chip ambitions, adding concern that one of its flagship customer relationships may not be as immediately monetizable as investors hoped. Broadcom's OpenAI mega AI deal hits $18 billion wall
• Neutral Sentiment: Broadcom also announced VMware by Broadcom VCF 9.1, a product update aimed at accelerating production AI workloads in private clouds, which supports the company’s long-term enterprise AI strategy. Broadcom (AVGO) Launches VCF 9.1 to Accelerate Production AI in Private Clouds
• Neutral Sentiment: Several commentary pieces remained constructive on Broadcom’s position in the AI infrastructure stack, noting that recent hyperscaler results still support demand for chips and networking tied to AI buildouts. Big Tech earnings support Broadcom’s outlook
• Neutral Sentiment: Broadcom was also mentioned in a public-sector VMware partnership update, which could help broaden enterprise distribution but is not likely the main driver of the stock today. evoila U.S. and Carahsoft Partner to Deliver VMware by Broadcom Services to the Public Sector

Insider Buying and Selling at Broadcom

In other news, insider Charlie B. Kawwas sold 39,116 shares of the stock in a transaction that occurred on Tuesday, March 17th. The stock was sold at an average price of $321.61, for a total value of $12,580,096.76. Following the completion of the transaction, the insider directly owned 74,626 shares of the company's stock, valued at approximately $24,000,467.86. This represents a 34.39% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, insider Mark David Brazeal sold 50,488 shares of the firm'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 $16,236,940.80. Following the transaction, the insider owned 278,141 shares of the company's stock, valued at $89,450,145.60. This trade represents a 15.36% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders sold 324,282 shares of company stock worth $106,425,249. 1.90% of the stock is currently owned by company insiders.

Broadcom Stock Up 4.2%

Shares of AVGO stock opened at $430.00 on Friday. Broadcom Inc. has a one year low of $206.52 and a one year high of $437.68. The company has a debt-to-equity ratio of 0.80, a current ratio of 1.90 and a quick ratio of 1.73. The stock has a fifty day moving average price of $352.89 and a 200 day moving average price of $351.28. The stock has a market cap of $2.04 trillion, a P/E ratio of 83.98, a price-to-earnings-growth ratio of 0.85 and a beta of 1.43.

Broadcom (NASDAQ:AVGO - Get Free Report) last announced its quarterly earnings data on Wednesday, March 4th. The semiconductor manufacturer reported $2.05 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.03 by $0.02. The company had revenue of $19.31 billion during the quarter, compared to analysts' expectations of $19.10 billion. Broadcom had a net margin of 36.57% and a return on equity of 38.61%. The business's revenue was up 29.5% on a year-over-year basis. During the same quarter in the prior year, the company posted $1.60 EPS. Analysts predict that Broadcom Inc. will post 9.95 earnings per share for the current year.

Broadcom Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, March 31st. Investors of record on Monday, March 23rd were given a $0.65 dividend. This represents a $2.60 annualized dividend and a yield of 0.6%. The ex-dividend date of this dividend was Monday, March 23rd. Broadcom's dividend payout ratio is 50.78%.

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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