One Wealth Capital Management LLC Acquires 12,542 Shares of Broadcom Inc. $AVGO

Key Points

• One Wealth Capital Management increased its Broadcom stake by 54.6% in the third quarter, adding 12,542 shares for a total of 35,532 shares valued at approximately $12.5 million. Institutional investors collectively own 76.43% of Broadcom.
• Broadcom’s outlook is being supported by strong AI infrastructure demand, including a reported $63 billion Anthropic financing arrangement that could generate substantial equipment revenue. Analysts remain broadly bullish, with a “Moderate Buy” consensus and an average price target of $530.52.
• Risks include customer concentration, supply constraints, margin pressure and potential obligations tied to AI equipment leasing arrangements. Broadcom recently reported 85.5% year-over-year quarterly revenue growth, $3.32 in adjusted EPS and a $0.65 quarterly dividend.

One Wealth Capital Management LLC raised its stake in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 54.6% during the 3rd quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 35,532 shares of the semiconductor manufacturer's stock after buying an additional 12,542 shares during the period. Broadcom makes up about 4.7% of One Wealth Capital Management LLC's investment portfolio, making the stock its 4th largest holding. One Wealth Capital Management LLC's holdings in Broadcom were worth $12,478,000 as of its most recent filing with the SEC.

Other institutional investors and hedge funds also recently modified their holdings of the company. Networth Advisors LLC lifted its holdings in shares of Broadcom by 546.2% during the first quarter. Networth Advisors LLC now owns 84 shares of the semiconductor manufacturer's stock valued at $26,000 after purchasing an additional 71 shares during the last quarter. Core Capital Management & Research inc. acquired a new position in shares of Broadcom in the 2nd quarter valued at $31,000. Harborfront Financial Group LLC purchased a new position in Broadcom in the 2nd quarter worth about $38,000. Align Financial LLC increased its stake in Broadcom by 67.2% in the 3rd quarter. Align Financial LLC now owns 112 shares of the semiconductor manufacturer's stock worth $38,000 after purchasing an additional 45 shares in the last quarter. Finally, Curry Webb Wealth Management LLC acquired a new stake in Broadcom during the 3rd quarter worth about $41,000. Institutional investors and hedge funds own 76.43% of the company's stock.

Broadcom News Roundup

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: D.A. Davidson upgraded Broadcom to Buy from Neutral and raised its price target from $350 to $400. The firm cited continued AI spending and potential public offerings by major AI developers, improving sentiment toward Broadcom’s custom-chip and networking outlook. D.A. Davidson upgrades Broadcom to buy from neutral
• Positive Sentiment: A $63 billion financing structure for Anthropic’s AI infrastructure is the main business catalyst. Banks and Blackstone reportedly committed financing for a special-purpose vehicle to purchase and lease Broadcom accelerators and networking equipment. Truist estimates the arrangement could generate as much as $30 billion in revenue, while the deal signals strong demand for Broadcom’s AI systems. Broadcom Anthropic financing structure
• Positive Sentiment: Credit-quality support also improved. Fitch affirmed Broadcom’s A- rating with a positive outlook, citing strong cash generation and operating momentum. Rosenblatt separately reaffirmed a Buy rating with a $600 target, underscoring the bullish view of long-term AI demand. Fitch affirms Broadcom rating
• Neutral Sentiment: Broadcom may participate in a potential investment in Meta, alongside other chip suppliers. The move could deepen customer ties and provide exposure to Meta’s AI expansion, but investing in a major customer also raises concerns about circular financing and customer concentration. Chip suppliers may invest in Meta
• Negative Sentiment: The Anthropic arrangement introduces meaningful risk. Banks reportedly considered withdrawing, and Broadcom’s potentially large AI-rack lease backstop could create off-balance-sheet obligations. Analysts also cite rising AI-related margin pressure, supply constraints, dependence on a concentrated customer base and competition from Credo. Higher interest rates could further pressure the valuation of high-growth technology shares.

Wall Street Analyst Weigh In

A number of analysts have commented on the stock. William Blair lowered shares of Broadcom from an "outperform" rating to a "market perform" rating in a research note on Tuesday. President Capital lifted their target price on shares of Broadcom from $520.00 to $546.00 and gave the stock a "buy" rating in a research report on Thursday, September 3rd. Weiss Ratings raised shares of Broadcom from a "buy (b-)" rating to a "buy (b)" rating in a research report on Thursday, October 8th. Raymond James Financial restated an "outperform" rating and set a $475.00 price target (up from $450.00) on shares of Broadcom in a report on Thursday, September 3rd. Finally, Morgan Stanley restated an "overweight" rating and issued a $505.00 price target (up from $502.00) on shares of Broadcom in a research report on Thursday, September 3rd. One investment analyst has rated the stock with a Strong Buy rating, thirty-nine have assigned a Buy rating and five have issued a Hold rating to the company's stock. According to MarketBeat, the stock has an average rating of "Moderate Buy" and an average price target of $530.52.

Broadcom Stock Up 2.8%

Shares of Broadcom stock opened at $351.81 on Thursday. The stock has a 50-day moving average price of $353.92 and a 200 day moving average price of $367.09. The company has a market cap of $1.68 trillion, a P/E ratio of 44.93 and a beta of 1.46. The company has a current ratio of 2.50, a quick ratio of 2.29 and a debt-to-equity ratio of 0.57. Broadcom Inc. has a 1 year low of $289.96 and a 1 year high of $495.00.

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

Broadcom Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Wednesday, September 30th. Stockholders of record on Monday, September 21st were given a $0.65 dividend. This represents a $2.60 dividend on an annualized basis 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%.

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 data center, networking, broadband, wireless communications, storage, industrial and other electronic applications.

The company's semiconductor portfolio includes networking and switching components, custom accelerators, connectivity and wireless devices, broadband equipment, optical products, storage controllers and related infrastructure technologies.

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