Neville Rodie & Shaw Inc. Grows Position in Broadcom Inc. $AVGO

Key Points

• Neville Rodie & Shaw increased its Broadcom position by 5.1% in the third quarter, bringing its holdings to 53,631 shares valued at approximately $18.8 million. Institutional investors and hedge funds collectively own 76.43% of Broadcom’s stock.
• Broadcom reported quarterly earnings of $3.32 per share on $29.59 billion in revenue, exceeding analyst estimates, while revenue rose 85.5% year over year. The company also declared a quarterly dividend of $0.65 per share, representing a 0.7% yield.
• Analyst sentiment remains broadly positive, with 37 Buy ratings, one Strong Buy, and three Holds; the consensus rating is “Moderate Buy” with a $527.20 price target. However, insiders sold about $20.2 million of stock during the quarter.

Neville Rodie & Shaw Inc. increased its position in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 5.1% in the 3rd quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm owned 53,631 shares of the semiconductor manufacturer's stock after buying an additional 2,623 shares during the period. Broadcom accounts for approximately 1.3% of Neville Rodie & Shaw Inc.'s holdings, making the stock its 18th biggest position. Neville Rodie & Shaw Inc.'s holdings in Broadcom were worth $18,835,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors have also bought and sold shares of the company. Cornerstone Advisors LLC acquired a new position in shares of Broadcom in the 2nd quarter worth approximately $92,522,000. Bank of America Corp DE boosted its stake in Broadcom by 1.5% in the 1st quarter. Bank of America Corp DE now owns 58,737,097 shares of the semiconductor manufacturer's stock valued at $18,179,719,000 after buying an additional 894,564 shares in the last quarter. Clear Harbor Asset Management LLC acquired a new stake in Broadcom in the 2nd quarter valued at $3,302,000. Bartlett & CO. Wealth Management LLC grew its position in Broadcom by 129.3% in the first quarter. Bartlett & CO. Wealth Management LLC now owns 110,048 shares of the semiconductor manufacturer's stock valued at $34,061,000 after acquiring an additional 62,050 shares during the period. Finally, Violich Capital Management Inc. grew its position in Broadcom by 26.1% in the third quarter. Violich Capital Management Inc. now owns 21,791 shares of the semiconductor manufacturer's stock valued at $7,653,000 after acquiring an additional 4,511 shares during the period. 76.43% of the stock is currently owned by institutional investors and hedge funds.

Insider Activity

In related news, insider Mark Brazeal sold 25,000 shares of Broadcom stock in a transaction dated Friday, July 10th. The stock was sold at an average price of $401.33, for a total value of $10,033,250.00. Following the completion of the sale, the insider directly owned 194,989 shares in the company, valued at $78,254,935.37. This trade represents a 11.36% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Gayla Delly sold 1,890 shares of Broadcom stock in a transaction dated Wednesday, July 8th. The stock was sold at an average price of $385.38, for a total value of $728,368.20. Following the completion of the sale, the director owned 31,326 shares of the company's stock, valued at approximately $12,072,413.88. The trade was a 5.69% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders sold 51,890 shares of company stock worth $20,241,368. 1.90% of the stock is owned by company insiders.

Analyst Ratings Changes

Several analysts have recently weighed in on AVGO shares. Citigroup reaffirmed a "buy" rating and set a $515.00 price objective (up from $500.00) on shares of Broadcom in a report on Friday, September 4th. Truist Financial decreased their price target on Broadcom from $550.00 to $520.00 and set a "buy" rating on the stock in a research 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. BMO Capital Markets lifted their price objective on Broadcom from $455.00 to $575.00 and gave the company an "outperform" rating in a research report on Thursday, September 3rd. Finally, Erste Group Bank reissued a "hold" rating on shares of Broadcom in a research note on Tuesday, July 7th. One analyst has rated the stock with a Strong Buy rating, thirty-seven have issued a Buy rating and three have given a Hold rating to the stock. Based on data from MarketBeat, the company has an average rating of "Moderate Buy" and a consensus price target of $527.20.

Broadcom Price Performance

Shares of Broadcom stock traded up $8.16 during midday trading on Monday, reaching $363.30. The company had a trading volume of 9,394,614 shares, compared to its average volume of 25,061,176. The company has a current ratio of 2.50, a quick ratio of 2.29 and a debt-to-equity ratio of 0.57. The stock has a fifty day simple moving average of $372.74 and a 200 day simple moving average of $381.07. Broadcom Inc. has a 1-year low of $289.96 and a 1-year high of $495.00. The company has a market capitalization of $1.73 trillion, a price-to-earnings ratio of 46.40 and a beta of 1.46.

Broadcom (NASDAQ:AVGO - Get Free Report) last posted its quarterly earnings data on Wednesday, September 2nd. The semiconductor manufacturer reported $3.32 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.22 by $0.10. The firm had revenue of $29.59 billion for the quarter, compared to the consensus estimate of $29.24 billion. Broadcom had a return on equity of 48.33% and a net margin of 42.94%.The business's revenue for the quarter was up 85.5% compared to the same quarter last year. During the same quarter in the prior year, the business earned $1.69 EPS. As a group, equities research analysts forecast that Broadcom Inc. will post 10.37 earnings per share for the current year.

Broadcom Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Wednesday, September 30th. Stockholders of record on Monday, September 21st were paid a dividend of $0.65 per share. This represents a $2.60 annualized dividend and a dividend yield of 0.7%. The ex-dividend date of this dividend was Monday, September 21st. Broadcom's dividend payout ratio is 33.21%.

More Broadcom News

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Reported Anthropic financing and chip demand: Broadcom reportedly agreed to provide up to $42 billion in financing to Anthropic, potentially supporting purchases of Broadcom’s AI chips and custom silicon. The arrangement has helped fuel optimism about a major customer relationship and future revenue. Broadcom Stock Jumps Following Reported $42 Billion Financing Deal With Anthropic
• Positive Sentiment: AI revenue momentum remains exceptional: Fiscal third-quarter AI semiconductor revenue reportedly reached $16.7 billion, up 221% year over year, while management’s fourth-quarter guidance calls for $21.7 billion, or 236% growth. Investors view these figures as evidence that AI networking and custom-chip demand is still expanding rapidly. Broadcom Trades Above Its Own Average Multiple While Growth Cools
• Positive Sentiment: Long-term growth expectations are bullish: Analysts and financial commentators expect Broadcom’s AI revenue could double in both 2027 and 2028, while custom chips are becoming increasingly important to data-center operators. Morgan Stanley also reportedly considers Broadcom relatively protected from current AI power-related supply-chain constraints.
• Positive Sentiment: Cash generation and scale support shareholder returns: Broadcom’s strong cash flow is viewed as sufficient to support its dividend, while its revenue growth has significantly outpaced Intel over recent quarters. Broadcom vs. Intel: What Revenue Trends Tell Investors
• Neutral Sentiment: Upcoming industry data may drive volatility: Taiwan Semiconductor’s October 15 results are expected to provide clues about AI-chip demand, manufacturing capacity, and spending trends relevant to Broadcom ahead of its next earnings report.
• Negative Sentiment: Financing structure raises concerns: The Anthropic arrangement could create “circular financing” risk because Broadcom is reportedly both funding the customer and supplying its chips. Investors may question credit exposure, the quality of demand, and whether purchases remain sustainable without financing support. Broadcom’s Massive $42 Billion Chip-Buying Deal with Anthropic Raises Circular Financing Worries
• Negative Sentiment: Valuation and concentration risks remain: Broadcom trades at a premium earnings multiple after its AI rally, while a growing reliance on a small number of powerful customers could increase bargaining pressure and make dividend growth more dependent on continued AI spending.

About Broadcom

Broadcom Inc NASDAQ: AVGO is a global technology company that designs, develops, and supplies semiconductor and infrastructure software products. Its semiconductor solutions support wired and wireless communications, data center networking, broadband access, storage, industrial applications, and other markets.

The company's semiconductor portfolio includes networking and switching products, custom application-specific integrated circuits, wireless connectivity components, radio-frequency devices, optical components, and storage-related solutions.

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