Indie Asset Partners LLC Sells 1,242 Shares of Broadcom Inc. (NASDAQ:AVGO)

Key Points

• Indie Asset Partners LLC reduced its stake in Broadcom Inc. by 23.2%, owning 4,108 shares worth approximately $688,000, making it the 27th largest position in their portfolio.
• Despite the trimming of holdings by some investors, analysts have issued strong ratings with a consensus rating of "Buy" and a price target of $292.08 for Broadcom.
• Broadcom has announced a $10 billion share buyback program, indicating confidence from the Board of Directors in the company's valuation.

Indie Asset Partners LLC trimmed its stake in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 23.2% in the first quarter, according to the company in its most recent disclosure with the SEC. The firm owned 4,108 shares of the semiconductor manufacturer's stock after selling 1,242 shares during the quarter. Broadcom comprises 0.6% of Indie Asset Partners LLC's portfolio, making the stock its 27th largest position. Indie Asset Partners LLC's holdings in Broadcom were worth $688,000 as of its most recent filing with the SEC.

Other institutional investors have also recently bought and sold shares of the company. GAMMA Investing LLC raised its holdings in Broadcom by 18,179.3% in the first quarter. GAMMA Investing LLC now owns 17,276,164 shares of the semiconductor manufacturer's stock valued at $2,892,548,000 after acquiring an additional 17,181,652 shares in the last quarter. Price T Rowe Associates Inc. MD increased its stake in Broadcom by 46.9% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 47,524,533 shares of the semiconductor manufacturer's stock valued at $11,018,089,000 after purchasing an additional 15,171,849 shares during the last quarter. Franklin Resources Inc. increased its stake in Broadcom by 27.4% during the fourth quarter. Franklin Resources Inc. now owns 26,897,909 shares of the semiconductor manufacturer's stock valued at $6,236,011,000 after purchasing an additional 5,783,988 shares during the last quarter. Northern Trust Corp increased its stake in Broadcom by 12.0% during the fourth quarter. Northern Trust Corp now owns 49,087,351 shares of the semiconductor manufacturer's stock valued at $11,380,411,000 after purchasing an additional 5,258,925 shares during the last quarter. Finally, APG Asset Management N.V. increased its stake in Broadcom by 609.4% during the fourth quarter. APG Asset Management N.V. now owns 4,379,348 shares of the semiconductor manufacturer's stock valued at $980,500,000 after purchasing an additional 3,762,034 shares during the last quarter. 76.43% of the stock is currently owned by hedge funds and other institutional investors.

Insider Activity at Broadcom

In other news, insider Mark David Brazeal sold 50,000 shares of the business's stock in a transaction dated Monday, June 23rd. The stock was sold at an average price of $253.28, for a total transaction of $12,664,000.00. Following the completion of the transaction, the insider directly owned 415,956 shares in the company, valued at approximately $105,353,335.68. The trade was a 10.73% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Charlie B. Kawwas sold 10,000 shares of the business's stock in a transaction dated Wednesday, June 11th. The stock was sold at an average price of $252.88, for a total value of $2,528,800.00. Following the transaction, the insider owned 789,784 shares of the company's stock, valued at $199,720,577.92. The trade was a 1.25% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 830,516 shares of company stock worth $217,224,641. 2.00% of the stock is owned by company insiders.

Broadcom Trading Down 1.3%

AVGO stock traded down $3.94 during midday trading on Friday, reaching $289.76. The stock had a trading volume of 13,075,833 shares, compared to its average volume of 26,824,303. The business has a fifty day simple moving average of $265.36 and a two-hundred day simple moving average of $224.11. The company has a quick ratio of 0.98, a current ratio of 1.08 and a debt-to-equity ratio of 0.89. The firm has a market cap of $1.36 trillion, a price-to-earnings ratio of 108.61, a PEG ratio of 2.15 and a beta of 1.12. Broadcom Inc. has a twelve month low of $128.50 and a twelve month high of $306.95.

Broadcom (NASDAQ:AVGO - Get Free Report) last posted its earnings results on Thursday, June 5th. The semiconductor manufacturer reported $1.58 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.57 by $0.01. The company had revenue of $15 billion during the quarter, compared to analyst estimates of $14.98 billion. Broadcom had a return on equity of 35.49% and a net margin of 22.64%. The company's revenue for the quarter was up 20.2% compared to the same quarter last year. During the same period in the previous year, the company earned $10.96 EPS. As a group, research analysts expect that Broadcom Inc. will post 5.38 EPS for the current fiscal year.

Broadcom declared that its board has authorized a stock buyback plan on Monday, April 7th that allows the company to buyback $10.00 billion in outstanding shares. This buyback authorization allows the semiconductor manufacturer to reacquire up to 1.4% of its stock through open market purchases. Stock buyback plans are often a sign that the company's board of directors believes its stock is undervalued.

Broadcom Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Monday, June 30th. Stockholders of record on Friday, June 20th were given a dividend of $0.59 per share. This represents a $2.36 annualized dividend and a dividend yield of 0.8%. The ex-dividend date was Friday, June 20th. Broadcom's payout ratio is presently 88.39%.

Wall Street Analysts Forecast Growth

Several analysts have weighed in on AVGO shares. Arete Research upgraded shares of Broadcom to a "strong-buy" rating in a research note on Monday. Mizuho upped their price target on shares of Broadcom from $315.00 to $320.00 and gave the stock an "outperform" rating in a research report on Wednesday, July 16th. Evercore ISI restated an "outperform" rating and set a $304.00 price target (up previously from $267.00) on shares of Broadcom in a research report on Friday, June 6th. Erste Group Bank upgraded shares of Broadcom from a "hold" rating to a "buy" rating in a research report on Thursday, June 5th. Finally, Cowen reissued a "buy" rating on shares of Broadcom in a report on Friday, June 6th. One research analyst has rated the stock with a hold rating, twenty-seven have given a buy rating and three have issued a strong buy rating to the stock. According to data from MarketBeat, Broadcom presently has a consensus rating of "Buy" and a consensus price target of $294.92.

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.