Midwest Trust Co Sells 2,573 Shares of Broadcom Inc. $AVGO

Key Points

• Midwest Trust Co trimmed its Broadcom stake by 2,573 shares in the fourth quarter, leaving it with 529,528 shares valued at about $183.3 million. Broadcom still makes up 2.3% of the firm’s portfolio and is its 7th-largest holding.
• Broadcom continues to draw strong institutional and analyst support, with institutions owning 76.43% of the stock and analysts maintaining a Moderate Buy consensus. Several firms recently reiterated or raised price targets, including moves up to $500 and $545.
• The company posted solid quarterly results, beating earnings and revenue estimates with $2.05 EPS and $19.31 billion in revenue, up 29.5% year over year. Broadcom also paid a quarterly dividend of $0.65 per share, reflecting an annualized yield of about 0.6%.

Midwest Trust Co lessened its holdings in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 0.5% during the fourth quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 529,528 shares of the semiconductor manufacturer's stock after selling 2,573 shares during the period. Broadcom comprises 2.3% of Midwest Trust Co's holdings, making the stock its 7th largest holding. Midwest Trust Co's holdings in Broadcom were worth $183,269,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also recently made changes to their positions in AVGO. JCIC Asset Management Inc. acquired a new position in shares of Broadcom during the 3rd quarter worth approximately $31,000. Miller Global Investments LLC acquired a new stake in shares of Broadcom during the 4th quarter worth $31,000. Nvest Wealth Strategies Inc. acquired a new stake in shares of Broadcom during the 4th quarter worth $33,000. Manning & Napier Advisors LLC acquired a new stake in shares of Broadcom during the 3rd quarter worth $34,000. Finally, Family CFO Inc acquired a new stake in shares of Broadcom during the 4th quarter worth $35,000. Institutional investors and hedge funds own 76.43% of the company's stock.

Insider Transactions at Broadcom

In other Broadcom news, insider Mark David Brazeal sold 50,488 shares of the firm's stock in a transaction that occurred on Tuesday, March 17th. The shares were sold at an average price of $321.60, for a total value of $16,236,940.80. Following the sale, the insider owned 278,141 shares in the company, valued at $89,450,145.60. This trade represents a 15.36% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. Also, insider S. Ram Velaga sold 8,000 shares of the firm's stock in a transaction that occurred on Friday, April 10th. The shares were sold at an average price of $370.52, for a total transaction of $2,964,160.00. Following the completion of the sale, the insider owned 57,932 shares in the company, valued at $21,464,964.64. This represents a 12.13% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders have sold 324,282 shares of company stock valued at $106,425,249. Corporate insiders own 1.90% of the company's stock.

Broadcom Stock Performance

NASDAQ AVGO opened at $425.19 on Friday. The company has a current ratio of 1.90, a quick ratio of 1.73 and a debt-to-equity ratio of 0.80. The firm has a market capitalization of $2.01 trillion, a price-to-earnings ratio of 83.05, a P/E/G ratio of 0.91 and a beta of 1.43. The firm's 50 day simple moving average is $365.61 and its 200 day simple moving average is $354.62. Broadcom Inc. has a 1 year low of $221.60 and a 1 year high of $442.36.

Broadcom (NASDAQ:AVGO - Get Free Report) last posted its quarterly earnings results on Wednesday, March 4th. The semiconductor manufacturer reported $2.05 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.03 by $0.02. The business had revenue of $19.31 billion for the quarter, compared to analyst estimates of $19.10 billion. Broadcom had a net margin of 36.57% and a return on equity of 38.61%. The firm's revenue for the quarter was up 29.5% on a year-over-year basis. During the same quarter last year, the business posted $1.60 EPS. As a group, research analysts expect that Broadcom Inc. will post 9.95 earnings per share for the current fiscal year.

Broadcom Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Tuesday, March 31st. Shareholders of record on Monday, March 23rd were given a $0.65 dividend. The ex-dividend date was Monday, March 23rd. This represents a $2.60 dividend on an annualized basis and a yield of 0.6%. Broadcom's dividend payout ratio (DPR) is currently 50.78%.

Analysts Set New Price Targets

AVGO has been the topic of several analyst reports. Rosenblatt Securities reissued a "buy" rating and set a $500.00 target price on shares of Broadcom in a report on Tuesday, April 7th. TD Cowen reissued a "buy" rating and set a $500.00 target price (up from $405.00) on shares of Broadcom in a report on Friday. Erste Group Bank lowered Broadcom from a "buy" rating to a "hold" rating in a report on Thursday, April 2nd. JPMorgan Chase & Co. increased their price target on shares of Broadcom from $475.00 to $500.00 and gave the stock an "overweight" rating in a research report on Thursday, March 5th. Finally, Mizuho reiterated an "outperform" rating and set a $480.00 price target on shares of Broadcom in a research report on Thursday, April 16th. Two analysts have rated the stock with a Strong Buy rating, twenty-seven have assigned a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat.com, Broadcom presently has a consensus rating of "Moderate Buy" and an average target price of $441.63.

Trending Headlines about Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom remains a favored way to play AI infrastructure, with multiple recent articles highlighting its growing exposure to custom AI silicon, data-center networking, and AI semiconductor revenue. Citi also raised its price target to $500, reinforcing optimism ahead of the next earnings report.
• Positive Sentiment: Wells Fargo lifted its price target to $545 and said AI semiconductor revenue is running 30% to 40% above expectations, suggesting Broadcom may still be benefiting from stronger-than-expected hyperscaler spending.
• Positive Sentiment: Recent investor interest has also been supportive, with hedge fund and prominent manager buying cited in several notes, alongside Broadcom being named among top tech stocks to own as AI optimism continues to drive the market.
• Neutral Sentiment: Broadcom was also mentioned in a broader AI rotation piece that argues the next leg of the rally may be in AI bottlenecks such as optics, networking, and memory rather than only the most obvious chip winners. Broadcom was specifically named as one of the companies positioned to benefit from optical interconnect demand.
• Negative Sentiment: UBS warned that AI stocks, including Broadcom, are increasingly crowded trades, raising the risk of a pullback if enthusiasm cools or if investors rotate out of mega-cap semiconductors.
• Negative Sentiment: Some commentary also suggests the AI chip rally may be masking broader market weakness, which can make even strong names like Broadcom vulnerable to profit-taking after a powerful advance.

Broadcom Company Profile

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.

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