Mill Capital Management LLC Takes $706,000 Position in Broadcom Inc. $AVGO

Key Points

• Mill Capital Management acquired a new Broadcom position of 1,868 shares valued at approximately $706,000 during the second quarter. Institutional investors collectively own 76.43% of Broadcom’s outstanding stock.
• Broadcom reported stronger-than-expected quarterly results, including $2.44 in EPS and $22.19 billion in revenue, with revenue up 47.9% year over year. The company also pays a quarterly dividend of $0.65, equivalent to a 0.7% yield.
• Analysts remain broadly bullish, with 29 Buy ratings and four Holds producing a “Moderate Buy” consensus and an average price target of $491.97. However, potential debt-funded AI expansion and increasing competition from Marvell in custom AI chips present notable risks.

Mill Capital Management LLC acquired a new position in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) in the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund acquired 1,868 shares of the semiconductor manufacturer's stock, valued at approximately $706,000.

Other institutional investors and hedge funds have also bought and sold shares of the company. ROSS JOHNSON & Associates LLC increased its holdings in shares of Broadcom by 1,320.0% in the 4th quarter. ROSS JOHNSON & Associates LLC now owns 71 shares of the semiconductor manufacturer's stock worth $25,000 after buying an additional 66 shares during the last quarter. Networth Advisors LLC raised its position in shares of Broadcom by 546.2% during the 1st quarter. Networth Advisors LLC now owns 84 shares of the semiconductor manufacturer's stock valued at $26,000 after buying an additional 71 shares in the last quarter. SWAN Capital LLC lifted its holdings in shares of Broadcom by 261.9% during the 4th quarter. SWAN Capital LLC now owns 76 shares of the semiconductor manufacturer's stock worth $26,000 after acquiring an additional 55 shares during the last quarter. Nvest Wealth Strategies Inc. bought a new stake in shares of Broadcom during the 4th quarter worth $33,000. Finally, Camelot Portfolios LLC purchased a new position in Broadcom in the fourth quarter worth $45,000. 76.43% of the stock is owned by hedge funds and other institutional investors.

Broadcom Price Performance

AVGO opened at $368.45 on Monday. The stock's 50 day simple moving average is $388.57 and its 200 day simple moving average is $375.10. The company has a debt-to-equity ratio of 0.71, a current ratio of 2.24 and a quick ratio of 2.01. Broadcom Inc. has a 1 year low of $287.17 and a 1 year high of $495.00. The firm has a market cap of $1.75 trillion, a price-to-earnings ratio of 61.41, a PEG ratio of 0.70 and a beta of 1.45.

Broadcom (NASDAQ:AVGO - Get Free Report) last announced its quarterly earnings results on Wednesday, June 3rd. The semiconductor manufacturer reported $2.44 EPS for the quarter, topping analysts' consensus estimates of $2.40 by $0.04. Broadcom had a return on equity of 41.61% and a net margin of 38.85%.The business had revenue of $22.19 billion for the quarter, compared to analysts' expectations of $22.13 billion. During the same period in the previous year, the firm earned $1.58 EPS. The business's quarterly revenue was up 47.9% on a year-over-year basis. As a group, analysts predict that Broadcom Inc. will post 10.24 earnings per share for the current year.

Broadcom Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Tuesday, June 30th. Stockholders of record on Monday, June 22nd were issued a $0.65 dividend. The ex-dividend date was Monday, June 22nd. This represents a $2.60 annualized dividend and a dividend yield of 0.7%. Broadcom's dividend payout ratio (DPR) is currently 43.33%.

Broadcom News Roundup

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: AI financing deal could expand Broadcom’s growth opportunity: Broadcom is reportedly discussing $70 billion to $80 billion of debt financing—potentially approaching $100 billion—to provide AI chips to Anthropic and other companies. The arrangement could support substantial future chip demand, although the financing remains under discussion. Broadcom debt deal expected to reach upwards of $70 billion
• Positive Sentiment: Analysts remain constructive: BMO initiated coverage with an “outperform” rating and a $455 price target, implying meaningful upside from recent levels. Other recent commentary also argues that Broadcom’s AI cycle and long-term custom-chip position could support further gains. Broadcom Stock Picks Up Another Lofty Bull Note
• Positive Sentiment: Strong AI demand underpins the bullish case: Reports cite approximately $30 billion in quarterly AI bookings and management’s goal of exceeding $100 billion in AI sales by 2027. Broadcom’s latest reported quarter also showed 47.9% year-over-year revenue growth, reinforcing the company’s momentum. Broadcom's AI Boom: Is a 2x Stock Gain Still Within Reach?
• Neutral Sentiment: Debt-funded expansion introduces execution and balance-sheet risk: Borrowing tens of billions of dollars could accelerate AI infrastructure growth, but it would also increase leverage and financing costs if customer demand or deal economics disappoint. Broadcom reportedly eyes nearly $100 billion debt package
• Negative Sentiment: Marvell’s Google partnership threatens Broadcom’s custom AI-chip dominance: Marvell’s agreement covers products connected to Google’s TPU ecosystem, including inference accelerators and networking components. Google also received warrants that could align it more closely with Marvell, raising concerns about future share loss for Broadcom despite Broadcom’s existing multiyear Google partnership. Marvell Constructs an AI Moat With Alphabet Warrants

Analyst Ratings Changes

A number of equities research analysts have weighed in on the company. Truist Financial raised their price target on Broadcom from $545.00 to $550.00 and gave the company a "buy" rating in a research report on Thursday, June 4th. Royal Bank Of Canada upped their price objective on Broadcom from $360.00 to $400.00 and gave the stock a "sector perform" rating in a report on Thursday, June 4th. DA Davidson increased their price objective on Broadcom from $375.00 to $400.00 and gave the company a "neutral" rating in a research report on Thursday, June 4th. Susquehanna reissued a "positive" rating and set a $490.00 price objective (up from $450.00) on shares of Broadcom in a report on Thursday, May 28th. Finally, Evercore restated an "outperform" rating and issued a $582.00 target price on shares of Broadcom in a research report on Tuesday, May 19th. Twenty-nine analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average price target of $491.97.

Insider Activity

In related news, Director Gayla J. Delly sold 1,890 shares of the company's stock in a transaction on Wednesday, July 8th. The shares were sold at an average price of $385.38, for a total transaction of $728,368.20. Following the completion of the sale, the director directly owned 31,326 shares in the company, valued at $12,072,413.88. This represents a 5.69% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, Director Harry L. You purchased 1,000 shares of the stock in a transaction that occurred on Thursday, June 11th. The shares were purchased at an average price of $373.57 per share, with a total value of $373,570.00. Following the completion of the acquisition, the director directly owned 38,466 shares in the company, valued at $14,369,743.62. The trade was a 2.67% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders sold 61,644 shares of company stock valued at $24,016,214 in the last three months. Corporate insiders own 1.90% of the company's stock.

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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