Fulcrum Asset Management LLP Sells 3,140 Shares of Broadcom Inc. $AVGO

Key Points

• Fulcrum Asset Management LLP trimmed its Broadcom stake by 5.6% in the fourth quarter, selling 3,140 shares and ending with 52,526 shares valued at about $18.4 million. Broadcom still remains one of the fund’s larger holdings at roughly 3% of its portfolio.
• Broadcom is benefiting from strong AI and enterprise software momentum, including a new five-year agreement with LSEG centered on VMware Cloud Foundation and a partnership role with Applied Materials tied to advanced packaging for next-generation AI chips.
• Analysts remain broadly positive on AVGO, with several price target hikes and a consensus rating of “Moderate Buy.” The stock also recently reported better-than-expected quarterly EPS and revenue, while insiders sold shares in the latest quarter.

Fulcrum Asset Management LLP lowered its stake in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 5.6% during the fourth quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 52,526 shares of the semiconductor manufacturer's stock after selling 3,140 shares during the quarter. Broadcom comprises approximately 3.0% of Fulcrum Asset Management LLP's investment portfolio, making the stock its 7th biggest position. Fulcrum Asset Management LLP's holdings in Broadcom were worth $18,376,000 as of its most recent SEC filing.

Other large investors have also added to or reduced their stakes in the company. Vanguard Group Inc. boosted 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 in the last quarter. Invesco Ltd. boosted its holdings in shares of Broadcom by 1.8% in the 3rd quarter. Invesco Ltd. now owns 39,149,651 shares of the semiconductor manufacturer's stock valued at $12,915,861,000 after purchasing an additional 700,021 shares in the last quarter. Legal & General Group Plc boosted its holdings in shares of Broadcom by 2.3% in the 3rd quarter. Legal & General Group Plc now owns 33,450,786 shares of the semiconductor manufacturer's stock valued at $11,035,749,000 after purchasing an additional 748,709 shares in the last quarter. Franklin Resources Inc. boosted its holdings in shares of Broadcom by 4.0% in the 3rd quarter. Franklin Resources Inc. now owns 29,511,195 shares of the semiconductor manufacturer's stock valued at $9,736,038,000 after purchasing an additional 1,124,590 shares in the last quarter. Finally, Amundi boosted its holdings in shares of Broadcom by 3.3% in the 3rd quarter. Amundi now owns 22,216,816 shares of the semiconductor manufacturer's stock valued at $7,453,320,000 after purchasing an additional 716,523 shares in the last quarter. Institutional investors and hedge funds own 76.43% of the company's stock.

Key Stories Impacting Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom deepened its relationship with the London Stock Exchange Group (LSEG) through a new five-year agreement centered on VMware Cloud Foundation, which should support recurring software revenue and highlights demand for Broadcom’s enterprise cloud and infrastructure products. Article Title
• Positive Sentiment: Applied Materials named Broadcom as an EPIC Innovation Partner, signaling collaboration on advanced packaging technologies that are critical for next-generation AI chips and systems. That reinforces Broadcom’s position as a key supplier in the AI infrastructure buildout. Article Title
• Positive Sentiment: Wall Street continues to view Broadcom favorably, with multiple recent analyst price targets raised or reiterated at bullish levels. Investors are still focusing on Broadcom’s AI exposure and custom chip momentum. Article Title
• Neutral Sentiment: A Zacks screen highlighted Broadcom as a high-ROE “cash cow” alongside other stocks that may hold up better during a tech slump. This is more of a relative-strength mention than a new company-specific catalyst. Article Title
• Neutral Sentiment: Another Zacks item discussed whether brokers’ opinions matter for Broadcom, but it did not add a clear new upgrade, downgrade, or earnings surprise. Article Title
• Neutral Sentiment: Broader market articles noted a selloff in major tech stocks and the Magnificent 7, which can weigh on AVGO sentiment even when company-specific news remains positive. Article Title
• Negative Sentiment: One Seeking Alpha piece argued that Broadcom’s AI visibility has improved, but the valuation multiple has not expanded as much as expected, suggesting some investor caution after the stock’s strong run. Article Title

Insider Buying and Selling

In related news, insider Mark David Brazeal sold 50,488 shares of the firm's stock in a transaction on Tuesday, March 17th. The stock was sold at an average price of $321.60, for a total transaction of $16,236,940.80. Following the completion of the transaction, the insider directly 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 sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Charlie B. Kawwas sold 39,116 shares of the firm's stock in a transaction 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. This represents a 34.39% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 324,282 shares of company stock valued at $106,425,249 in the last quarter. 1.90% of the stock is currently owned by company insiders.

Broadcom Stock Up 1.6%

Shares of AVGO opened at $417.76 on Thursday. Broadcom Inc. has a 52 week low of $226.18 and a 52 week high of $442.36. The stock has a market capitalization of $1.98 trillion, a price-to-earnings ratio of 81.59, a PEG ratio of 0.85 and a beta of 1.43. The company has a debt-to-equity ratio of 0.80, a quick ratio of 1.73 and a current ratio of 1.90. The stock has a fifty day moving average of $370.41 and a 200-day moving average of $355.37.

Broadcom (NASDAQ:AVGO - Get Free Report) last announced its earnings results on Wednesday, March 4th. The semiconductor manufacturer reported $2.05 earnings per share (EPS) 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 analyst estimates of $19.10 billion. Broadcom had a return on equity of 38.61% and a net margin of 36.57%.Broadcom's revenue for the quarter was up 29.5% compared to the same quarter last year. During the same period last year, the company earned $1.60 EPS. As a group, sell-side analysts anticipate that Broadcom Inc. will post 9.97 earnings per share for the current fiscal year.

Broadcom Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, March 31st. Investors of record on Monday, March 23rd were given a dividend of $0.65 per share. 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 (DPR) is currently 50.78%.

Analysts Set New Price Targets

A number of equities research analysts have weighed in on the company. Morgan Stanley raised their target price on Broadcom from $462.00 to $470.00 and gave the company an "overweight" rating in a report on Friday, March 6th. Erste Group Bank downgraded Broadcom from a "buy" rating to a "hold" rating in a report on Thursday, April 2nd. UBS Group reaffirmed a "buy" rating and issued a $490.00 target price (up from $475.00) on shares of Broadcom in a report on Monday. JPMorgan Chase & Co. increased their price target on Broadcom from $475.00 to $500.00 and gave the company an "overweight" rating in a research note on Thursday, March 5th. Finally, Wolfe Research upgraded Broadcom from a "peer perform" rating to an "outperform" rating and set a $400.00 price target for the company in a research note on Friday, January 30th. Two investment analysts have rated the stock with a Strong Buy rating, twenty-seven have assigned a Buy rating and four have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average target price of $448.10.

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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