Graphene Investments SAS Sells 2,900 Shares of Broadcom Inc. $AVGO

Key Points

• Graphene Investments SAS cut its Broadcom stake by 15.1% in the second quarter, selling 2,900 shares and retaining 16,300 shares valued at approximately $6.16 million. Broadcom remains the fund’s fifth-largest holding and represents 3.6% of its portfolio.
• Broadcom reported quarterly EPS of $2.44 and revenue of $22.19 billion, surpassing analyst estimates, while revenue increased 47.9% year over year. The company also pays a quarterly dividend of $0.65 per share, implying a 0.6% annual yield.
• Analysts maintain a generally positive outlook, with 28 Buy ratings and four Holds and an average price target of $493.24, but elevated valuation and institutional profit-taking remain risks. Shares recently opened at $416.05, with a market capitalization near $1.98 trillion.

Graphene Investments SAS decreased its position in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 15.1% during the 2nd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 16,300 shares of the semiconductor manufacturer's stock after selling 2,900 shares during the quarter. Broadcom comprises approximately 3.6% of Graphene Investments SAS's investment portfolio, making the stock its 5th biggest holding. Graphene Investments SAS's holdings in Broadcom were worth $6,157,000 at the end of the most recent reporting period.

A number of other institutional investors have also recently bought and sold shares of the company. West Paces Advisors Inc. increased its stake in Broadcom by 1.4% in the second quarter. West Paces Advisors Inc. now owns 10,071 shares of the semiconductor manufacturer's stock valued at $3,804,000 after purchasing an additional 140 shares in the last quarter. Alpha Zero LLC raised its holdings in Broadcom by 26.4% in the second quarter. Alpha Zero LLC now owns 3,315 shares of the semiconductor manufacturer's stock worth $1,241,000 after purchasing an additional 693 shares during the period. AA Financial Advisors LLC boosted its position in shares of Broadcom by 0.4% during the second quarter. AA Financial Advisors LLC now owns 17,415 shares of the semiconductor manufacturer's stock worth $6,579,000 after purchasing an additional 73 shares in the last quarter. Boyer Financial Services Inc. boosted its position in shares of Broadcom by 7.3% during the second quarter. Boyer Financial Services Inc. now owns 1,161 shares of the semiconductor manufacturer's stock worth $418,000 after purchasing an additional 79 shares in the last quarter. Finally, FSA Investment Group LLC grew its holdings in shares of Broadcom by 48.8% in the 2nd quarter. FSA Investment Group LLC now owns 3,654 shares of the semiconductor manufacturer's stock valued at $1,380,000 after buying an additional 1,199 shares during the period. Institutional investors and hedge funds own 76.43% of the company's stock.

Broadcom Price Performance

Shares of NASDAQ AVGO opened at $416.05 on Thursday. The company has a fifty day moving average price of $389.67 and a 200 day moving average price of $372.47. The firm has a market cap of $1.98 trillion, a PE ratio of 69.34, a PEG ratio of 0.79 and a beta of 1.45. 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 $281.87 and a 1-year high of $495.00.

Broadcom (NASDAQ:AVGO - Get Free Report) last released its quarterly earnings results on Wednesday, June 3rd. The semiconductor manufacturer reported $2.44 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.40 by $0.04. The firm had revenue of $22.19 billion for the quarter, compared to the consensus estimate 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 quarter last year, the business posted $1.58 EPS. Research analysts predict that Broadcom Inc. will post 10.24 earnings per share for the current fiscal year.

Broadcom Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Tuesday, June 30th. Investors of record on Monday, June 22nd were given a $0.65 dividend. This represents a $2.60 dividend on an annualized basis and a yield of 0.6%. The ex-dividend date of this dividend was Monday, June 22nd. Broadcom's dividend payout ratio (DPR) is currently 43.33%.

Key Broadcom News

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: AI growth remains the primary bullish catalyst. Broadcom’s AI semiconductor revenue increased 143% year over year to $10.8 billion in fiscal second quarter, and CEO Hock Tan reaffirmed his forecast for fiscal 2027 AI semiconductor revenue to exceed $100 billion. Hock Tan Reaffirmed Broadcom's $100 Billion AI Forecast
• Positive Sentiment: Investors continue to view Broadcom as a diversified AI infrastructure play because its custom accelerators and networking products can benefit across competing AI architectures, rather than depending on a single chip design. Broadcom Wins If AI Wins So I Keep Buying
• Positive Sentiment: AMD’s planned Helios rack-scale AI systems could create additional demand for Broadcom components and networking technology, potentially expanding its ecosystem opportunity beyond direct customer programs. AMD’s Helios Launch Could Create Winners Beyond AMD Stock
• Positive Sentiment: Broadcom’s software division joining the Open Secure AI Alliance adds a longer-term cybersecurity and software angle to the company’s AI strategy. Is Broadcom’s Next Big Bet Hidden in Plain Sight?
• Neutral Sentiment: Analysts and investors are comparing Broadcom’s custom-chip and networking model with NVIDIA’s more vertically integrated approach. The comparison supports Broadcom’s differentiation but highlights intense competition for AI infrastructure spending. This Is Where Nvidia Beats Broadcom
• Negative Sentiment: Valuation is the main restraint on the stock. Broadcom trades at a substantial premium to historical earnings levels, with reports citing roughly 71 times trailing earnings and 27 times projected earnings. Continued appreciation therefore depends on rapid AI earnings growth catching up with the share price. Broadcom Trades at 71 Times Earnings
• Negative Sentiment: Crake Asset Management reportedly reduced its Broadcom position by 330,000 shares, providing a modest signal of profit-taking or caution among some institutional investors. Crake Asset Management Trims Broadcom Stake

Wall Street Analyst Weigh In

AVGO has been the subject of a number of recent analyst reports. Wall Street Zen cut shares of Broadcom from a "strong-buy" rating to a "buy" rating in a research report on Saturday, July 18th. Zacks Research lowered Broadcom from a "strong-buy" rating to a "hold" rating in a report on Thursday, May 21st. DA Davidson boosted their target price on Broadcom from $375.00 to $400.00 and gave the company a "neutral" rating in a research note on Thursday, June 4th. Truist Financial increased their price target on Broadcom from $545.00 to $550.00 and gave the stock a "buy" rating in a report on Thursday, June 4th. Finally, Cantor Fitzgerald reaffirmed an "overweight" rating and set a $525.00 price target on shares of Broadcom in a research report on Thursday, June 4th. Twenty-eight analysts have rated the stock with a Buy rating and four have given a Hold rating to the company's stock. Based on data from MarketBeat, Broadcom presently has an average rating of "Moderate Buy" and an average price target of $493.24.

Insider Transactions at Broadcom

In other news, Director Justine Page sold 1,602 shares of Broadcom stock in a transaction that occurred on Monday, June 29th. The shares were sold at an average price of $373.86, for a total value of $598,923.72. Following the sale, the director directly owned 17,426 shares in the company, valued at $6,514,884.36. This trade represents a 8.42% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Harry L. You purchased 1,000 shares of the stock in a transaction on Thursday, June 11th. The stock was acquired at an average price of $373.57 per share, for a total transaction of $373,570.00. Following the completion of the purchase, the director directly owned 38,466 shares in the company, valued at approximately $14,369,743.62. The trade was a 2.67% increase in their position. The SEC filing for this purchase provides additional information. Over the last quarter, insiders have sold 61,644 shares of company stock worth $24,016,214. 1.90% of the stock is currently owned by 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.

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