Broadcom Inc. (NASDAQ:AVGO) Shares Acquired by Mengis Capital Management Inc.

Key Points

• Mengis Capital Management Inc. increased its stake in Broadcom Inc. by 36.8%, owning 5,889 shares valued at approximately $986,000 after acquiring an additional 1,585 shares in the first quarter.
• Broadcom disclosed a quarterly dividend of $0.59 per share, representing an annualized yield of 0.8% and a payout ratio of 88.39%.
• Broadcom's recent earnings report showed a revenue of $15 billion for the quarter, beating expectations, and the company has received positive upgrades from multiple analysts with target prices over $300.

Mengis Capital Management Inc. raised its stake in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 36.8% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 5,889 shares of the semiconductor manufacturer's stock after purchasing an additional 1,585 shares during the quarter. Mengis Capital Management Inc.'s holdings in Broadcom were worth $986,000 at the end of the most recent reporting period.

A number of other hedge funds have also bought and sold shares of the stock. Brighton Jones LLC increased its stake 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 worth $6,882,000 after acquiring an additional 5,322 shares during the period. Revolve Wealth Partners LLC boosted 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 in the last quarter. Bank Pictet & Cie Europe AG boosted 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 in the last quarter. Highview Capital Management LLC DE boosted 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 in the last quarter. Finally, Massachusetts Financial Services Co. MA boosted its holdings in Broadcom by 170.0% during the fourth quarter. Massachusetts Financial Services Co. MA now owns 2,525,614 shares of the semiconductor manufacturer's stock worth $585,538,000 after buying an additional 1,590,203 shares in the last quarter. Institutional investors and hedge funds own 76.43% of the company's stock.

Insider Activity

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

Analysts Set New Price Targets

AVGO has been the topic of a number of recent analyst reports. Truist Financial set a $295.00 price target on shares of Broadcom and gave the stock a "buy" rating in a report on Friday, June 6th. HSBC raised shares of Broadcom from a "hold" rating to a "buy" rating and set a $400.00 price objective on the stock in a report on Tuesday, June 24th. Wells Fargo & Company increased their price objective on shares of Broadcom from $230.00 to $255.00 and gave the company an "equal weight" rating in a report on Friday, June 6th. Barclays increased 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. Finally, Benchmark increased their price objective on shares of Broadcom from $255.00 to $315.00 and gave the company a "buy" rating in a report on Friday, June 6th. One research analyst has rated the stock with a hold rating, twenty-seven have issued a buy rating and three have given a strong buy rating to the stock. According to data from MarketBeat, the company currently has an average rating of "Buy" and an average price target of $294.92.

Broadcom Price Performance

Shares of NASDAQ:AVGO traded down $5.06 during midday trading on Friday, hitting $288.64. The company's stock had a trading volume of 21,405,316 shares, compared to its average volume of 15,995,794. Broadcom Inc. has a 12-month low of $128.50 and a 12-month high of $306.95. The company has a market cap of $1.36 trillion, a P/E ratio of 108.10, a price-to-earnings-growth ratio of 2.09 and a beta of 1.15. The business's 50 day simple moving average is $266.56 and its 200 day simple moving average is $224.55. The company has a debt-to-equity ratio of 0.89, a quick ratio of 0.98 and a current ratio of 1.08.

Broadcom (NASDAQ:AVGO - Get Free Report) last released its quarterly earnings data 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. Broadcom had a net margin of 22.64% and a return on equity of 35.49%. The firm had revenue of $15 billion during the quarter, compared to analysts' expectations of $14.98 billion. During the same period last year, the business earned $10.96 earnings per share. Broadcom's revenue was up 20.2% compared to the same quarter last year. On average, analysts forecast that Broadcom Inc. will post 5.38 EPS for the current year.

Broadcom announced that its Board of Directors has authorized a share repurchase plan on Monday, April 7th that authorizes the company to buyback $10.00 billion in shares. This buyback authorization authorizes the semiconductor manufacturer to repurchase up to 1.4% of its stock through open market purchases. Stock buyback plans are typically an indication that the company's board of directors believes its shares are undervalued.

Broadcom Dividend Announcement

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

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.