Iyo Bank Ltd. Acquires Shares of 24,189 Broadcom Inc. $AVGO

Key Points

• Iyo Bank acquired 24,189 Broadcom shares worth approximately $9.14 million in the second quarter, making Broadcom its 16th-largest holding and 2.8% of its portfolio. Institutional investors collectively own 76.43% of AVGO.
• Broadcom reported strong fiscal third-quarter results, with revenue up 85.5% year over year to $29.59 billion and non-GAAP EPS of $3.32, while AI semiconductor revenue surged 221% to $16.7 billion.
• Analysts maintain a broadly bullish view, with 29 Buy ratings and four Holds and an average price target of $491.97. However, the company’s fourth-quarter revenue forecast came in slightly below expectations, and its elevated valuation of roughly 61 times earnings increases downside sensitivity.

Iyo Bank Ltd. bought a new position in Broadcom Inc. (NASDAQ:AVGO - Free Report) during the second quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The firm bought 24,189 shares of the semiconductor manufacturer's stock, valued at approximately $9,137,000. Broadcom accounts for about 2.8% of Iyo Bank Ltd.'s investment portfolio, making the stock its 16th largest holding.

Several other institutional investors and hedge funds have also made changes to their positions in AVGO. Cornerstone Advisors LLC purchased a new position in Broadcom during the second quarter worth approximately $92,522,000. Bank of America Corp DE raised its position in shares of Broadcom by 1.5% during the 1st quarter. Bank of America Corp DE now owns 58,737,097 shares of the semiconductor manufacturer's stock valued at $18,179,719,000 after buying an additional 894,564 shares during the period. Bartlett & CO. Wealth Management LLC increased its stake in Broadcom by 129.3% during the first quarter. Bartlett & CO. Wealth Management LLC now owns 110,048 shares of the semiconductor manufacturer's stock worth $34,061,000 after acquiring an additional 62,050 shares during the last quarter. First Bank & Trust raised its position in Broadcom by 17.2% in the second quarter. First Bank & Trust now owns 10,503 shares of the semiconductor manufacturer's stock valued at $3,968,000 after purchasing an additional 1,545 shares during the period. Finally, Fifth Lane Capital LP raised its position in Broadcom by 77.8% in the fourth quarter. Fifth Lane Capital LP now owns 4,000 shares of the semiconductor manufacturer's stock valued at $1,384,000 after purchasing an additional 1,750 shares during the period. 76.43% of the stock is currently owned by institutional investors.

Analyst Ratings Changes

AVGO has been the topic of several research analyst reports. Susquehanna restated a "positive" rating and issued a $490.00 price objective (up from $450.00) on shares of Broadcom in a report on Thursday, May 28th. KeyCorp reissued an "overweight" rating and issued a $575.00 price target (up from $500.00) on shares of Broadcom in a research note on Thursday, June 4th. Wells Fargo & Company restated an "overweight" rating and issued a $545.00 price objective (up from $430.00) on shares of Broadcom in a report on Thursday, May 14th. Benchmark boosted their target price on Broadcom from $485.00 to $545.00 and gave the company a "buy" rating in a research report on Thursday, June 4th. Finally, Morgan Stanley set a $502.00 price target on Broadcom and gave the stock an "overweight" rating in a research note on Thursday, June 4th. Twenty-nine analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company's stock. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average target price of $491.97.

Broadcom News Summary

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom reported fiscal third-quarter revenue of $29.59 billion, up 85.5% year over year, while non-GAAP EPS of $3.32 exceeded the $3.22 analyst consensus. GAAP profit rose sharply to $13.09 billion from $4.14 billion a year earlier. Broadcom third-quarter earnings report
• Positive Sentiment: AI semiconductor revenue reached $16.7 billion, increasing 221% year over year and 54% sequentially, highlighting strong demand for Broadcom’s custom AI accelerators. The company also generated $13.7 billion in free cash flow and declared a quarterly dividend of $0.65 per share. Broadcom AI semiconductor revenue and guidance
• Neutral Sentiment: Broadcom guided to approximately $34.8 billion in fourth-quarter revenue, representing 93% year-over-year growth, with non-GAAP operating margin of about 66%. The outlook still implies substantial growth, but management did not provide an EPS forecast in the reported guidance.
• Negative Sentiment: The fourth-quarter revenue forecast was below Wall Street expectations of roughly $35.0 billion to $35.03 billion. Investors viewed the shortfall as a sign that competition or execution risks could limit further gains from custom AI processors, particularly after the stock’s strong run and premium valuation. Reuters report on Broadcom guidance
• Negative Sentiment: Broadcom’s elevated valuation—approximately 61 times earnings—left little room for a merely solid outlook. Recent insider activity was also heavily weighted toward selling, although this is a secondary consideration compared with the earnings guidance.

Broadcom Stock Performance

NASDAQ:AVGO opened at $367.24 on Thursday. Broadcom Inc. has a 52 week low of $289.96 and a 52 week high of $495.00. The company has a fifty day simple moving average of $384.15 and a two-hundred day simple moving average of $377.14. The company has a quick ratio of 2.01, a current ratio of 2.24 and a debt-to-equity ratio of 0.71. The company has a market cap of $1.75 trillion, a price-to-earnings ratio of 61.21, a price-to-earnings-growth ratio of 0.71 and a beta of 1.44.

Broadcom (NASDAQ:AVGO - Get Free Report) last released its earnings results on Wednesday, September 2nd. The semiconductor manufacturer reported $3.32 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $3.22 by $0.10. Broadcom had a return on equity of 41.61% and a net margin of 38.85%.The firm had revenue of $29.59 billion during the quarter, compared to analyst estimates of $29.24 billion. During the same period last year, the business posted $1.69 earnings per share. Broadcom's revenue was up 85.5% compared to the same quarter last year. As a group, equities analysts anticipate that Broadcom Inc. will post 10.24 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, Director Gayla J. Delly sold 1,890 shares of Broadcom stock in a transaction dated Wednesday, July 8th. The stock was sold at an average price of $385.38, for a total value of $728,368.20. Following the completion of the transaction, the director owned 31,326 shares in the company, valued at approximately $12,072,413.88. This trade represents a 5.69% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, Director Justine Page sold 1,602 shares of the business's stock in a transaction dated Monday, June 29th. The stock was sold at an average price of $373.86, for a total value of $598,923.72. Following the transaction, the director directly owned 17,426 shares of the company's stock, valued at approximately $6,514,884.36. This represents a 8.42% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 61,644 shares of company stock worth $24,016,214 over the last 90 days. 1.90% of the stock is currently owned by company 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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