NBH Bank Invests $2.26 Million in Broadcom Inc. $AVGO

Key Points

• NBH Bank acquired 5,994 Broadcom shares worth approximately $2.26 million in the second quarter, making AVGO about 1% of its portfolio. Institutional investors collectively own 76.43% of the company.
• Broadcom reported quarterly EPS of $3.32 and revenue of $29.59 billion, exceeding analyst expectations, while revenue rose 85.5% year over year. The company declared a quarterly dividend of $0.65 per share, equivalent to a 0.8% annual yield.
• AVGO shares opened at $344.72 after falling 4.8%, amid concerns about valuation, customer concentration and the sustainability of AI spending. Analysts remain broadly positive, with a “Moderate Buy” consensus and an average price target of $509.04, although insiders sold roughly $22.7 million of stock over the past quarter.

NBH Bank acquired a new stake in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) in the second quarter, according to its most recent filing with the Securities and Exchange Commission. The fund acquired 5,994 shares of the semiconductor manufacturer's stock, valued at approximately $2,264,000. Broadcom accounts for approximately 1.0% of NBH Bank's portfolio, making the stock its 23rd biggest position.

Other hedge funds also recently made changes to their positions in the company. Cornerstone Advisors LLC bought a new position in shares of Broadcom during the 2nd quarter valued at about $92,522,000. Bank of America Corp DE increased its holdings in shares of Broadcom by 1.5% in the first quarter. Bank of America Corp DE now owns 58,737,097 shares of the semiconductor manufacturer's stock worth $18,179,719,000 after purchasing an additional 894,564 shares during the last quarter. Clear Harbor Asset Management LLC purchased a new stake in shares of Broadcom in the second quarter worth about $3,302,000. Bartlett & CO. Wealth Management LLC lifted its position in shares of Broadcom by 129.3% in the first quarter. Bartlett & CO. Wealth Management LLC now owns 110,048 shares of the semiconductor manufacturer's stock worth $34,061,000 after buying an additional 62,050 shares in the last quarter. Finally, First Bank & Trust boosted its stake in Broadcom by 17.2% during the second quarter. First Bank & Trust now owns 10,503 shares of the semiconductor manufacturer's stock valued at $3,968,000 after buying an additional 1,545 shares during the last quarter. 76.43% of the stock is currently owned by institutional investors.

Insider Buying and Selling at Broadcom

In other news, Director Gayla Delly sold 1,890 shares of the stock in a transaction on Wednesday, July 8th. The shares were sold at an average price of $385.38, for a total value of $728,368.20. Following the sale, the director owned 31,326 shares of the company's stock, valued at approximately $12,072,413.88. This represents a 5.69% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, insider Mark Brazeal sold 25,000 shares of the firm's stock in a transaction dated Friday, July 10th. The stock was sold at an average price of $401.33, for a total transaction of $10,033,250.00. Following the completion of the sale, the insider owned 194,989 shares of the company's stock, valued at $78,254,935.37. This trade represents a 11.36% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 58,317 shares of company stock worth $22,745,733 over the last quarter. Insiders own 1.90% of the company's stock.

Trending Headlines about Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom remains a favored way to gain exposure to AI while receiving dividend income. Its custom AI-chip business is expected to continue expanding rapidly as hyperscalers and AI companies build additional computing capacity. 3 Stocks That Offer AI Exposure and Dividends
• Positive Sentiment: CEO Hock Tan reportedly said demand already exceeds Broadcom’s $115 billion AI forecast, with AI revenue projected to double in fiscal 2027 and again in 2028. Accelerating shipments of Ironwood chips to Anthropic could further strengthen Broadcom’s custom-hardware opportunity. Broadcom CEO Hock Tan Says Demand Already Exceeds Broadcom’s $115 Billion AI Forecast
• Positive Sentiment: Mizuho analyst Vijay Rakesh expects AVGO to rally toward a new all-time high over the next 12 months, supporting the longer-term bullish case despite recent weakness. Wall Street Sets Broadcom Stock Price for the Next 12 Months
• Neutral Sentiment: Analyst commentary remains divided: Broadcom is viewed as a major beneficiary of AI demand, but Vertiv is considered better positioned on valuation, earnings momentum and near-term upside. Vertiv vs. Broadcom: Which AI Infrastructure Stock Has More Upside?
• Negative Sentiment: Investors are questioning whether AI spending can maintain its current pace. Broadcom also faces concerns about elevated valuation, customer concentration, margins and execution, while reports cite a failure to meet Wall Street’s fiscal fourth-quarter revenue expectations. Marvell Falls as AI Pacing Debate Collides With Fed Week

Analyst Ratings Changes

Several equities analysts have weighed in on AVGO shares. Cantor Fitzgerald raised their price target on Broadcom from $525.00 to $600.00 and gave the company an "overweight" rating in a report on Thursday, September 3rd. Weiss Ratings cut Broadcom from a "buy (b)" rating to a "buy (b-)" rating in a report on Thursday, July 30th. Deutsche Bank Aktiengesellschaft reiterated a "buy" rating and set a $515.00 target price (up from $430.00) on shares of Broadcom in a research report on Thursday, June 4th. Morgan Stanley reissued an "overweight" rating and issued a $505.00 target price (up from $502.00) on shares of Broadcom in a report on Thursday, September 3rd. Finally, Rosenblatt Securities began coverage on shares of Broadcom in a research report on Thursday, September 3rd. They issued a "buy" rating and a $600.00 price target on the stock. One investment analyst has rated the stock with a Strong Buy rating, twenty-eight have given a Buy rating and four have issued a Hold rating to the company. According to data from MarketBeat.com, Broadcom presently has an average rating of "Moderate Buy" and an average target price of $509.04.

Broadcom Trading Down 4.8%

Shares of NASDAQ AVGO opened at $344.72 on Tuesday. The business's 50 day moving average is $382.45 and its two-hundred day moving average is $378.79. The company has a debt-to-equity ratio of 0.57, a current ratio of 2.50 and a quick ratio of 2.29. Broadcom Inc. has a 1-year low of $289.96 and a 1-year high of $495.00. The stock has a market capitalization of $1.65 trillion, a P/E ratio of 44.03 and a beta of 1.44.

Broadcom (NASDAQ:AVGO - Get Free Report) last announced its earnings results on Wednesday, September 2nd. The semiconductor manufacturer reported $3.32 EPS for the quarter, topping analysts' consensus estimates of $3.22 by $0.10. The firm had revenue of $29.59 billion during the quarter, compared to analysts' expectations of $29.24 billion. Broadcom had a return on equity of 48.33% and a net margin of 42.94%.The company's quarterly revenue was up 85.5% on a year-over-year basis. During the same quarter in the previous year, the business earned $1.69 EPS. As a group, research analysts expect that Broadcom Inc. will post 10.36 EPS for the current year.

Broadcom Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 30th. Shareholders of record on Monday, September 21st will be paid a dividend of $0.65 per share. This represents a $2.60 annualized dividend and a yield of 0.8%. The ex-dividend date of this dividend is Monday, September 21st. Broadcom's payout ratio is presently 33.21%.

Broadcom Profile

Broadcom Inc NASDAQ: AVGO designs, develops and supplies semiconductor and infrastructure software products for businesses, telecommunications providers and other organizations worldwide. Its semiconductor portfolio includes networking and connectivity components, custom application-specific integrated circuits, broadband and wireless communications products, storage adapters, optical components, and industrial solutions.

The company also provides enterprise infrastructure software through businesses including VMware, which offers virtualization and private- and hybrid-cloud solutions; mainframe and enterprise software; and cybersecurity products.

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