Hendley & Co. Inc. Makes New Investment in Broadcom Inc. $AVGO

Key Points

• Hendley & Co. Inc. has made a new investment in Broadcom Inc., acquiring 1,070 shares valued at approximately $295,000 during the 2nd quarter.
• Broadcom reported a quarterly earnings per share of $1.69, exceeding analysts' expectations of $1.66, and its revenue for the quarter was $15.95 billion, up 22.0% year-over-year.
• The company recently announced a quarterly dividend of $0.59 per share, reflecting an annualized dividend yield of 0.7% and a payout ratio of 60.20%.

Hendley & Co. Inc. bought a new position in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) during the 2nd quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The institutional investor bought 1,070 shares of the semiconductor manufacturer's stock, valued at approximately $295,000.

Several other institutional investors have also recently made changes to their positions in AVGO. Nuveen LLC purchased a new stake in shares of Broadcom during the first quarter worth $6,649,117,000. Price T Rowe Associates Inc. MD lifted its position in shares of Broadcom by 37.8% during the first quarter. Price T Rowe Associates Inc. MD now owns 65,509,579 shares of the semiconductor manufacturer's stock worth $10,968,270,000 after acquiring an additional 17,985,046 shares in the last quarter. Goldman Sachs Group Inc. raised its position in shares of Broadcom by 16.7% in the first quarter. Goldman Sachs Group Inc. now owns 31,854,414 shares of the semiconductor manufacturer's stock worth $5,333,384,000 after buying an additional 4,550,647 shares in the last quarter. Deutsche Bank AG raised its position in shares of Broadcom by 36.9% in the first quarter. Deutsche Bank AG now owns 15,758,895 shares of the semiconductor manufacturer's stock worth $2,638,512,000 after buying an additional 4,245,345 shares in the last quarter. Finally, Alliancebernstein L.P. raised its position in shares of Broadcom by 16.0% in the first quarter. Alliancebernstein L.P. now owns 29,513,814 shares of the semiconductor manufacturer's stock worth $4,941,498,000 after buying an additional 4,077,910 shares in the last quarter. Hedge funds and other institutional investors own 76.43% of the company's stock.

Broadcom Stock Down 5.9%

AVGO opened at $324.63 on Monday. The stock has a market cap of $1.53 trillion, a PE ratio of 82.81, a P/E/G ratio of 1.80 and a beta of 1.20. The company has a quick ratio of 1.37, a current ratio of 1.50 and a debt-to-equity ratio of 0.86. Broadcom Inc. has a 52 week low of $138.10 and a 52 week high of $374.23. The business's fifty day simple moving average is $322.64 and its 200 day simple moving average is $263.58.

Broadcom (NASDAQ:AVGO - Get Free Report) last announced its quarterly earnings data on Thursday, September 4th. The semiconductor manufacturer reported $1.69 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.66 by $0.03. Broadcom had a return on equity of 36.60% and a net margin of 31.59%.The firm had revenue of $15.95 billion for the quarter, compared to analysts' expectations of $15.82 billion. During the same period last year, the firm earned $1.24 earnings per share. The company's revenue for the quarter was up 22.0% compared to the same quarter last year. Broadcom has set its Q4 2025 guidance at EPS. As a group, research analysts expect that Broadcom Inc. will post 5.38 earnings per share for the current fiscal year.

Broadcom Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, September 30th. Stockholders of record on Monday, September 22nd were paid a dividend of $0.59 per share. This represents a $2.36 dividend on an annualized basis and a dividend yield of 0.7%. The ex-dividend date of this dividend was Monday, September 22nd. Broadcom's dividend payout ratio (DPR) is 60.20%.

Wall Street Analysts Forecast Growth

AVGO has been the topic of a number of recent analyst reports. KeyCorp reiterated an "overweight" rating and issued a $420.00 price objective (up previously from $400.00) on shares of Broadcom in a research report on Tuesday, September 30th. Piper Sandler increased their price objective on Broadcom from $315.00 to $375.00 and gave the stock an "overweight" rating in a research report on Friday, September 5th. Morgan Stanley increased their price objective on Broadcom from $338.00 to $357.00 and gave the stock an "overweight" rating in a research report on Tuesday, September 2nd. Deutsche Bank Aktiengesellschaft increased their price objective on Broadcom from $300.00 to $350.00 and gave the stock a "buy" rating in a research report on Friday, September 5th. Finally, Argus increased their price objective on Broadcom from $285.00 to $375.00 and gave the stock a "buy" rating in a research report on Monday, September 8th. Three investment analysts have rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating and two have assigned a Hold rating to the company's stock. According to MarketBeat.com, the stock currently has a consensus rating of "Buy" and a consensus price target of $357.22.

Insider Activity

In other news, CFO Kirsten M. Spears sold 7,498 shares of the firm's stock in a transaction dated Wednesday, September 17th. The stock was sold at an average price of $347.66, for a total transaction of $2,606,754.68. Following the transaction, the chief financial officer directly owned 313,330 shares of the company's stock, valued at approximately $108,932,307.80. This trade represents a 2.34% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Mark David Brazeal sold 16,558 shares of the firm's stock in a transaction dated Wednesday, September 17th. The shares were sold at an average price of $347.61, for a total value of $5,755,726.38. Following the transaction, the insider directly owned 329,302 shares in the company, valued at $114,468,668.22. This trade represents a 4.79% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders purchased 3,550 shares of company stock valued at $1,227,869 and sold 664,471 shares valued at $225,184,128. 2.00% of the stock is owned by corporate insiders.

About Broadcom

Broadcom Inc designs, develops, and supplies various semiconductor devices with a focus on complex digital and mixed signal complementary metal oxide semiconductor based devices and analog III-V based products worldwide. The company operates in two segments, Semiconductor Solutions and Infrastructure Software.

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