Darwin Wealth Management LLC Reduces Stake in Broadcom Inc. $AVGO

Key Points

• Darwin Wealth Management cut its Broadcom stake by 16.1% in Q4, selling 1,438 shares and now holding 7,518 shares worth about $2.60 million.
• Broadcom beat Q1 estimates (EPS $2.05 vs. $2.03; revenue $19.31B), secured multi‑year AI deals with Meta, Google and Anthropic that boost long‑term visibility, but faces recent heavy insider selling (~324,282 shares, ~$106M over 90 days) and customer‑concentration risks despite a consensus "Moderate Buy" target of $435.30.

Darwin Wealth Management LLC lowered its position in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 16.1% during the fourth quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 7,518 shares of the semiconductor manufacturer's stock after selling 1,438 shares during the period. Darwin Wealth Management LLC's holdings in Broadcom were worth $2,602,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other large investors have also recently bought and sold shares of AVGO. Brighton Jones LLC boosted its position in Broadcom by 21.8% in the fourth quarter. Brighton Jones LLC now owns 29,683 shares of the semiconductor manufacturer's stock valued at $6,882,000 after buying an additional 5,322 shares during the last quarter. Revolve Wealth Partners LLC boosted its position in Broadcom by 10.4% in the fourth quarter. Revolve Wealth Partners LLC now owns 7,997 shares of the semiconductor manufacturer's stock valued at $1,854,000 after buying an additional 756 shares during the last quarter. United Bank boosted its position in Broadcom by 76.5% in the first quarter. United Bank now owns 2,339 shares of the semiconductor manufacturer's stock valued at $392,000 after buying an additional 1,014 shares during the last quarter. Sivia Capital Partners LLC boosted its position in Broadcom by 10.1% in the second quarter. Sivia Capital Partners LLC now owns 12,693 shares of the semiconductor manufacturer's stock valued at $3,499,000 after buying an additional 1,160 shares during the last quarter. Finally, Capital & Planning LLC boosted its position in Broadcom by 10.5% in the second quarter. Capital & Planning LLC now owns 3,983 shares of the semiconductor manufacturer's stock valued at $1,098,000 after buying an additional 378 shares during the last quarter. Hedge funds and other institutional investors own 76.43% of the company's stock.

Broadcom Trading Up 0.2%

Shares of AVGO stock opened at $380.50 on Wednesday. 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 company has a market cap of $1.80 trillion, a price-to-earnings ratio of 74.32, a PEG ratio of 0.79 and a beta of 1.24. The stock has a 50 day simple moving average of $328.36 and a 200-day simple moving average of $343.78. Broadcom Inc. has a 1-year low of $161.61 and a 1-year high of $414.61.

Broadcom (NASDAQ:AVGO - Get Free Report) last announced its earnings results on Wednesday, March 4th. The semiconductor manufacturer reported $2.05 earnings per share for the quarter, topping the consensus estimate of $2.03 by $0.02. The business had revenue of $19.31 billion during the quarter, compared to the consensus estimate of $19.10 billion. Broadcom had a return on equity of 38.61% and a net margin of 36.57%.The business's quarterly revenue was up 29.5% on a year-over-year basis. During the same period in the prior year, the company posted $1.60 EPS. On average, equities research analysts expect that Broadcom Inc. will post 5.38 EPS for the current fiscal year.

Broadcom Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Tuesday, March 31st. Stockholders of record on Monday, March 23rd were paid a dividend of $0.65 per share. This represents a $2.60 annualized dividend and a dividend yield of 0.7%. The ex-dividend date of this dividend was Monday, March 23rd. Broadcom's dividend payout ratio is presently 50.78%.

Analyst Upgrades and Downgrades

AVGO has been the topic of several recent research reports. DA Davidson upgraded Broadcom to a "hold" rating in a research report on Friday, February 13th. Erste Group Bank lowered Broadcom from a "buy" rating to a "hold" rating in a research report on Thursday, April 2nd. Wells Fargo & Company upgraded Broadcom from an "equal weight" rating to an "overweight" rating and upped their price objective for the stock from $410.00 to $430.00 in a research report on Thursday, January 15th. Bank of America lowered their price objective on Broadcom from $500.00 to $450.00 and set a "buy" rating on the stock in a research report on Thursday, March 5th. Finally, Citigroup upped their price objective on Broadcom from $458.00 to $475.00 and gave the stock a "buy" rating in a research report on Thursday, March 5th. Two analysts have rated the stock with a Strong Buy rating, twenty-eight have given a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat, Broadcom currently has a consensus rating of "Moderate Buy" and a consensus price target of $435.30.

Key Headlines Impacting Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Landmark multi-year agreement with Meta (multi‑generation through 2029) commits an initial >1GW of MTIA custom silicon and pairs Broadcom’s XPU and Ethernet networking to scale multi‑gigawatt AI clusters — this materially increases long‑term AI revenue visibility. Broadcom Announces Extended Partnership with Meta (GlobeNewswire)
• Positive Sentiment: Deals with Google and Anthropic broaden major‑customer exposure beyond hyperscalers and suggest sustained demand for Broadcom’s custom AI infrastructure over several generations. Google and Anthropic deal strengthen Broadcom (MSN)
• Positive Sentiment: Macro tailwind for AI hardware: analysts and commentators highlight Broadcom’s strong Q1 results and secular AI growth thesis, supporting higher revenue and margin expectations for custom accelerators and high‑speed networking. Broadcom: AI Is Here To Stay (Seeking Alpha)
• Neutral Sentiment: Momentum and analyst upgrades are attracting flows — multiple firms have raised targets, which can amplify short‑term upside but also increase volatility on profit‑taking. Meta, Broadcom Extend Multi-Year AI Chip Partnership (Benzinga)
• Negative Sentiment: Insider selling continues (recent sales by S. Ram Velaga and director Gayla Delly among others), which can weigh on near‑term sentiment despite strategic rationale for transactions. S. Ram Velaga insider sale (InsiderTrades)
• Negative Sentiment: Analyst caution remains: firms like UBS note customer concentration and competitive risks (NVIDIA and others) that could limit upside if hyperscalers change sourcing or pricing dynamics. Broadcom deal with Google signals stronger AI demand but long-term risks remain: UBS

Insiders Place Their Bets

In other news, CFO Kirsten M. Spears sold 36,292 shares of the company'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 $11,671,507.20. Following the completion of the transaction, the chief financial officer directly owned 327,760 shares of the company's stock, valued at $105,407,616. This represents a 9.97% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through this link. Also, insider Charlie B. Kawwas sold 39,116 shares of the company's 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 transaction, the insider directly owned 74,626 shares of the company's stock, valued at approximately $24,000,467.86. The trade was a 34.39% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders sold 324,282 shares of company stock valued at $106,425,249. Corporate insiders own 1.90% of the company's stock.

Broadcom 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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