Oarsman Capital Inc. Cuts Position in Broadcom Inc. $AVGO

Key Points

• Oarsman Capital Inc. decreased its holdings in Broadcom Inc. by 13.4%, selling 3,605 shares during the 1st quarter, bringing its total to 23,278 shares valued at approximately $3.9 million.
• Insider selling activity includes Director Henry Samueli, who sold 473,898 shares for over $125 million, resulting in a 1.23% decrease in his ownership, while other insiders sold a total of 830,516 shares within the last 90 days.
• Broadcom has received positive ratings from analysts with an average price target of $300.96, while its stock has been influenced by strong quarterly earnings and a recent dividend announcement.

Oarsman Capital Inc. trimmed its stake in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 13.4% in the first quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 23,278 shares of the semiconductor manufacturer's stock after selling 3,605 shares during the period. Broadcom comprises approximately 0.7% of Oarsman Capital Inc.'s investment portfolio, making the stock its 25th biggest position. Oarsman Capital Inc.'s holdings in Broadcom were worth $3,897,000 as of its most recent SEC filing.

A number of other large investors have also recently bought and sold shares of the business. Cape ANN Savings Bank grew its holdings in Broadcom by 5.8% during the 1st quarter. Cape ANN Savings Bank now owns 1,791 shares of the semiconductor manufacturer's stock worth $300,000 after acquiring an additional 98 shares during the period. Cascade Investment Group Inc. grew its holdings in Broadcom by 11.2% during the 1st quarter. Cascade Investment Group Inc. now owns 6,812 shares of the semiconductor manufacturer's stock worth $1,141,000 after acquiring an additional 685 shares during the period. Truvestments Capital LLC grew its holdings in Broadcom by 12.0% during the 1st quarter. Truvestments Capital LLC now owns 56,758 shares of the semiconductor manufacturer's stock worth $9,503,000 after acquiring an additional 6,084 shares during the period. Wealth Preservation Advisors LLC acquired a new stake in Broadcom during the 1st quarter worth about $211,000. Finally, B. Metzler seel. Sohn & Co. AG grew its holdings in Broadcom by 13.0% during the 1st quarter. B. Metzler seel. Sohn & Co. AG now owns 651,964 shares of the semiconductor manufacturer's stock worth $109,158,000 after acquiring an additional 74,797 shares during the period. 76.43% of the stock is currently owned by institutional investors and hedge funds.

Insider Buying and Selling at Broadcom

In other Broadcom news, CEO Hock E. Tan sold 117,758 shares of Broadcom stock in a transaction dated Thursday, June 12th. The stock was sold at an average price of $252.91, for a total transaction of $29,782,175.78. Following the completion of the transaction, the chief executive officer owned 1,014,152 shares in the company, valued at approximately $256,489,182.32. The trade was a 10.40% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Mark David Brazeal sold 50,000 shares of Broadcom stock in a transaction dated Monday, June 23rd. The shares were sold at an average price of $253.28, for a total value of $12,664,000.00. Following the transaction, the insider owned 415,956 shares of the company's stock, valued at $105,353,335.68. This trade represents a 10.73% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders have sold 830,516 shares of company stock worth $217,286,457. 2.00% of the stock is currently owned by corporate insiders.

Analysts Set New Price Targets

A number of brokerages have weighed in on AVGO. UBS Group increased their price target on Broadcom from $290.00 to $345.00 and gave the stock a "buy" rating in a report on Monday, August 25th. Cantor Fitzgerald reiterated an "overweight" rating and set a $300.00 price target on shares of Broadcom in a report on Friday, June 6th. Redburn Atlantic assumed coverage on Broadcom in a report on Wednesday, May 28th. They set a "buy" rating and a $301.00 price target for the company. Citigroup raised their target price on Broadcom from $285.00 to $315.00 and gave the company a "buy" rating in a research note on Monday, July 7th. Finally, Piper Sandler upped their price target on Broadcom from $300.00 to $315.00 and gave the stock an "overweight" rating in a research note on Friday, August 22nd. Three research analysts have rated the stock with a Strong Buy rating, twenty-six have given a Buy rating and one has assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Buy" and a consensus price target of $301.79.

Broadcom Stock Down 3.6%

AVGO stock traded down $11.26 during mid-day trading on Friday, reaching $297.39. 21,581,160 shares of the company traded hands, compared to its average volume of 17,621,516. The stock has a market cap of $1.40 trillion, a price-to-earnings ratio of 111.38, a P/E/G ratio of 2.11 and a beta of 1.15. The company has a quick ratio of 0.98, a current ratio of 1.08 and a debt-to-equity ratio of 0.89. Broadcom Inc. has a fifty-two week low of $134.90 and a fifty-two week high of $317.35. The firm's 50 day moving average price is $287.74 and its 200 day moving average price is $234.67.

Broadcom (NASDAQ:AVGO - Get Free Report) last released its quarterly earnings results on Thursday, June 5th. The semiconductor manufacturer reported $1.58 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.57 by $0.01. The business had revenue of $15 billion during the quarter, compared to the consensus estimate of $14.98 billion. Broadcom had a return on equity of 35.49% and a net margin of 22.64%.The company's quarterly revenue was up 20.2% on a year-over-year basis. During the same quarter in the previous year, the business earned $10.96 EPS. Broadcom has set its Q3 2025 guidance at EPS. As a group, equities research analysts predict that Broadcom Inc. will post 5.38 EPS for the current fiscal year.

Broadcom Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, June 30th. Shareholders of record on Friday, June 20th were paid a dividend of $0.59 per share. The ex-dividend date was Friday, June 20th. This represents a $2.36 dividend on an annualized basis and a yield of 0.8%. Broadcom's payout ratio is 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.