Integrated Investment Consultants LLC Raises Stake in Broadcom Inc. (NASDAQ:AVGO)

Key Points

• Integrated Investment Consultants LLC has significantly increased its holdings in Broadcom Inc. by 213.4%, now owning a stake worth $2.83 million after purchasing additional shares in the first quarter.
• Broadcom's stock buyback program authorizes the company to repurchase up to $10 billion in stock, indicating the board's belief that its shares are currently undervalued.
• The company recently declared a quarterly dividend of $0.59 per share, representing an annualized yield of 0.81% and a payout ratio of 88.39%.

Integrated Investment Consultants LLC increased its stake in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 213.4% in the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm owned 16,898 shares of the semiconductor manufacturer's stock after purchasing an additional 11,506 shares during the period. Integrated Investment Consultants LLC's holdings in Broadcom were worth $2,829,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other institutional investors and hedge funds have also recently added to or reduced their stakes in AVGO. Brighton Jones LLC raised its holdings in shares of 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 purchasing an additional 5,322 shares during the last quarter. Revolve Wealth Partners LLC increased its holdings in Broadcom by 10.4% during the fourth quarter. Revolve Wealth Partners LLC now owns 7,997 shares of the semiconductor manufacturer's stock worth $1,854,000 after buying an additional 756 shares during the last quarter. Bank Pictet & Cie Europe AG increased its holdings in Broadcom by 16.4% during the fourth quarter. Bank Pictet & Cie Europe AG now owns 221,199 shares of the semiconductor manufacturer's stock worth $51,283,000 after buying an additional 31,225 shares during the last quarter. Highview Capital Management LLC DE increased its holdings in Broadcom by 1.3% during the fourth quarter. Highview Capital Management LLC DE now owns 25,522 shares of the semiconductor manufacturer's stock worth $5,917,000 after buying an additional 322 shares during the last quarter. Finally, Providence Capital Advisors LLC increased its holdings in shares of Broadcom by 5.6% in the fourth quarter. Providence Capital Advisors LLC now owns 1,404 shares of the semiconductor manufacturer's stock valued at $326,000 after purchasing an additional 74 shares during the last quarter. 76.43% of the stock is owned by institutional investors and hedge funds.

Insiders Place Their Bets

In related news, Director Justine Page sold 800 shares of Broadcom stock in a transaction dated Monday, July 14th. The stock was sold at an average price of $274.30, for a total value of $219,440.00. Following the completion of the sale, the director owned 24,582 shares of the company's stock, valued at approximately $6,742,842.60. This trade represents a 3.15% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, CEO Hock E. Tan sold 40,000 shares of Broadcom stock in a transaction dated Thursday, June 26th. The stock was sold at an average price of $268.29, for a total value of $10,731,600.00. Following the completion of the sale, the chief executive officer directly owned 482,836 shares of the company's stock, valued at approximately $129,540,070.44. This trade represents a 7.65% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 830,516 shares of company stock worth $217,224,641 in the last quarter. Insiders own 2.00% of the company's stock.

Broadcom Trading Up 0.9%

Shares of Broadcom stock traded up $2.51 on Tuesday, reaching $296.81. 9,327,395 shares of the company's stock were exchanged, compared to its average volume of 26,933,074. The firm's 50-day moving average is $261.32 and its two-hundred day moving average is $222.57. Broadcom Inc. has a 52 week low of $128.50 and a 52 week high of $302.19. The company has a debt-to-equity ratio of 0.89, a quick ratio of 0.98 and a current ratio of 1.08. The company has a market capitalization of $1.40 trillion, a P/E ratio of 111.05, a price-to-earnings-growth ratio of 2.06 and a beta of 1.12.

Broadcom (NASDAQ:AVGO - Get Free Report) last posted its quarterly earnings results on Thursday, June 5th. The semiconductor manufacturer reported $1.58 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.57 by $0.01. Broadcom had a net margin of 22.64% and a return on equity of 35.49%. The business had revenue of $15 billion during the quarter, compared to the consensus estimate of $14.98 billion. During the same quarter last year, the firm posted $10.96 EPS. Broadcom's revenue was up 20.2% compared to the same quarter last year. Sell-side analysts predict that Broadcom Inc. will post 5.38 EPS for the current fiscal year.

Broadcom declared that its Board of Directors has approved a stock buyback program on Monday, April 7th that allows the company to buyback $10.00 billion in shares. This buyback authorization allows the semiconductor manufacturer to reacquire up to 1.4% of its shares through open market purchases. Shares buyback programs are usually a sign that the company's management believes its shares are undervalued.

Broadcom Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Monday, June 30th. Investors of record on Friday, June 20th were given a $0.59 dividend. This represents a $2.36 annualized dividend and a yield of 0.80%. The ex-dividend date of this dividend was Friday, June 20th. Broadcom's payout ratio is currently 88.39%.

Analyst Ratings Changes

Several equities analysts have commented on the stock. Barclays upped their price objective on shares of Broadcom from $215.00 to $265.00 and gave the company an "overweight" rating in a report on Monday, June 9th. Susquehanna upped their price objective on shares of Broadcom from $280.00 to $300.00 and gave the company a "positive" rating in a report on Friday, June 6th. The Goldman Sachs Group assumed coverage on shares of Broadcom in a research report on Thursday, July 10th. They issued a "buy" rating and a $315.00 target price for the company. UBS Group boosted their target price on shares of Broadcom from $270.00 to $290.00 and gave the company a "buy" rating in a research report on Friday, June 6th. Finally, JPMorgan Chase & Co. boosted their target price on shares of Broadcom from $250.00 to $325.00 and gave the company an "overweight" rating in a research report on Friday, June 6th. One investment analyst has rated the stock with a hold rating, twenty-seven have issued a buy rating and two have issued a strong buy rating to the company's stock. According to data from MarketBeat, the stock has a consensus rating of "Buy" and an average price target of $292.08.

Broadcom Profile

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.