Kirtland Hills Capital Management LLC Has $1.06 Million Position in Broadcom Inc. (NASDAQ:AVGO)

Key Points

• Kirtland Hills Capital Management LLC increased its stake in Broadcom Inc. by 39.5% during the first quarter, owning a total of 6,168 shares valued at approximately $1.06 million.
• Broadcom recently announced a $10 billion stock buyback program, which indicates the company's view that its shares are currently undervalued.
• The semiconductor manufacturer achieved $15 billion in revenue in the last quarter, surpassing analysts' expectations and marking a 20.2% increase year-over-year.

Kirtland Hills Capital Management LLC increased its position in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 39.5% during the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 6,168 shares of the semiconductor manufacturer's stock after buying an additional 1,748 shares during the quarter. Kirtland Hills Capital Management LLC's holdings in Broadcom were worth $1,055,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Barnes Dennig Private Wealth Management LLC acquired a new stake in shares of Broadcom during the first quarter worth approximately $25,000. Inlight Wealth Management LLC bought a new stake in Broadcom during the 1st quarter worth about $26,000. Sunbeam Capital Management LLC acquired a new position in Broadcom in the fourth quarter valued at approximately $28,000. Vermillion Wealth Management Inc. bought a new position in shares of Broadcom in the 4th quarter worth $30,000. Finally, Wood Tarver Financial Group LLC grew its position in shares of Broadcom by 342.5% during the 1st quarter. Wood Tarver Financial Group LLC now owns 177 shares of the semiconductor manufacturer's stock worth $30,000 after buying an additional 137 shares during the period. 76.43% of the stock is currently owned by institutional investors.

Analyst Upgrades and Downgrades

AVGO has been the topic of several recent analyst reports. Erste Group Bank raised shares of Broadcom from a "hold" rating to a "buy" rating in a research note on Thursday, June 5th. Citigroup upped their price objective on Broadcom from $285.00 to $315.00 and gave the stock a "buy" rating in a research report on Monday, July 7th. Benchmark increased their target price on shares of Broadcom from $255.00 to $315.00 and gave the stock a "buy" rating in a report on Friday, June 6th. Mizuho boosted their price target on Broadcom from $315.00 to $320.00 and gave the stock an "outperform" rating in a research report on Wednesday, July 16th. Finally, The Goldman Sachs Group started coverage on shares of Broadcom in a research note on Thursday, July 10th. They set a "buy" rating and a $315.00 price objective on the stock. One investment analyst has rated the stock with a hold rating, twenty-seven have assigned a buy rating and three have issued a strong buy rating to the company's stock. According to data from MarketBeat, the stock currently has an average rating of "Buy" and a consensus price target of $294.92.

Broadcom Price Performance

NASDAQ:AVGO traded down $4.25 during mid-day trading on Friday, reaching $289.45. The stock had a trading volume of 13,075,833 shares, compared to its average volume of 26,824,303. The stock has a 50-day simple moving average of $265.36 and a two-hundred day simple moving average of $224.11. The company has a debt-to-equity ratio of 0.89, a current ratio of 1.08 and a quick ratio of 0.98. Broadcom Inc. has a 12 month low of $128.50 and a 12 month high of $306.95. The stock has a market capitalization of $1.36 trillion, a PE ratio of 108.61, a P/E/G ratio of 2.15 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 EPS for the quarter, topping analysts' consensus estimates of $1.57 by $0.01. The company had revenue of $15 billion during the quarter, compared to analysts' expectations of $14.98 billion. Broadcom had a return on equity of 35.49% and a net margin of 22.64%. Broadcom's revenue was up 20.2% on a year-over-year basis. During the same quarter in the previous year, the firm earned $10.96 EPS. On average, equities analysts anticipate that Broadcom Inc. will post 5.38 earnings per share for the current year.

Broadcom Dividend Announcement

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

Broadcom declared that its Board of Directors has initiated a share repurchase plan on Monday, April 7th that allows the company to repurchase $10.00 billion in outstanding shares. This repurchase authorization allows the semiconductor manufacturer to purchase up to 1.4% of its shares through open market purchases. Shares repurchase plans are generally a sign that the company's board of directors believes its shares are undervalued.

Insider Activity at Broadcom

In related news, insider Charlie B. Kawwas sold 10,000 shares of the business's stock in a transaction on Wednesday, June 11th. The stock was sold at an average price of $252.88, for a total transaction of $2,528,800.00. Following the sale, the insider owned 789,784 shares in the company, valued at $199,720,577.92. The trade was a 1.25% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, insider Mark David Brazeal sold 50,000 shares of the firm's stock in a transaction that occurred on Monday, June 23rd. The shares were 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 owned 415,956 shares of the company's stock, valued at approximately $105,353,335.68. This trade represents a 10.73% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 830,516 shares of company stock valued at $217,224,641. 2.00% of the stock is owned by company insiders.

Broadcom Company 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.