PFG Investments LLC Purchases 29,658 Shares of Broadcom Inc. $AVGO

Key Points

• PFG Investments increased its Broadcom stake by 85.4% in the second quarter, purchasing 29,658 shares and ending with 64,368 shares worth approximately $24.3 million. Institutional investors and hedge funds collectively own 76.43% of Broadcom.
• Broadcom reported strong quarterly results, with revenue rising 47.9% year over year to $22.19 billion and EPS of $2.44, beating estimates. Analysts maintain a “Moderate Buy” consensus, with an average price target of $491.97.
• Despite strong AI momentum, investors face risks from Broadcom’s premium valuation, potential financing needs, and competition from Marvell’s Google custom-chip agreement, which could reduce Google’s reliance on Broadcom.

PFG Investments LLC increased its position in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 85.4% during the 2nd quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor owned 64,368 shares of the semiconductor manufacturer's stock after acquiring an additional 29,658 shares during the period. Broadcom comprises 0.9% of PFG Investments LLC's holdings, making the stock its 19th largest holding. PFG Investments LLC's holdings in Broadcom were worth $24,315,000 at the end of the most recent reporting period.

Other institutional investors have also added to or reduced their stakes in the company. Fullerton Advisors LLC increased its stake in shares of Broadcom by 1.3% in the 1st quarter. Fullerton Advisors LLC now owns 1,989 shares of the semiconductor manufacturer's stock valued at $616,000 after purchasing an additional 25 shares during the last quarter. NORTHSTAR ASSET MANAGEMENT Co lifted its position in shares of Broadcom by 0.5% during the 1st quarter. NORTHSTAR ASSET MANAGEMENT Co now owns 5,350 shares of the semiconductor manufacturer's stock worth $1,656,000 after buying an additional 25 shares during the last quarter. RFG Holdings Inc. boosted its stake in Broadcom by 0.3% in the first quarter. RFG Holdings Inc. now owns 8,499 shares of the semiconductor manufacturer's stock valued at $2,631,000 after buying an additional 26 shares in the last quarter. Yukon Wealth Management Inc. boosted its stake in Broadcom by 1.1% in the first quarter. Yukon Wealth Management Inc. now owns 2,501 shares of the semiconductor manufacturer's stock valued at $774,000 after buying an additional 26 shares in the last quarter. Finally, NerdWallet Wealth Partners LLC grew its position in Broadcom by 2.6% in the second quarter. NerdWallet Wealth Partners LLC now owns 1,057 shares of the semiconductor manufacturer's stock valued at $399,000 after acquiring an additional 27 shares during the last quarter. 76.43% of the stock is currently owned by institutional investors and hedge funds.

Key Broadcom News

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom is reportedly engaging lenders to secure up to $60 billion in financing for AI-chip projects. The funding could support large-scale production and expansion, although it may also increase leverage and financing risk. Broadcom engages with lenders to secure $60B for AI chip financing
• Positive Sentiment: ARK Invest reportedly purchased approximately $20 million of Broadcom shares during the weakness, providing a vote of confidence in the long-term AI infrastructure opportunity. AVGO Stock Recovers Premarket After Marvell-Linked Selloff
• Positive Sentiment: TD Cowen reiterated a Buy rating and a $500 price target. Broadcom’s latest results also showed strong underlying momentum, including nearly 48% year-over-year revenue growth and quarterly revenue slightly above consensus. Wall Street analyst updates Broadcom stock price target
• Neutral Sentiment: Broadcom still has a Google TPU and networking agreement extending through 2031. However, the company’s upcoming guidance—especially for fiscal 2027 AI semiconductor revenue—will be important in determining whether it can offset competitive concerns. Marvell Takes a Shot at Broadcom's Throne With Google Deal
• Negative Sentiment: Marvell Technology’s agreement to develop custom silicon connected to Google’s TPU ecosystem is the main pressure on AVGO. The deal covers inference accelerators and networking-related components, raising fears that Google could diversify away from Broadcom. Google also received warrants worth roughly $12.2 billion, potentially tied to as much as $120 billion of Marvell product purchases through 2033. Marvell Just Took Custom AI Chip Work at Google
• Negative Sentiment: Analyst commentary has highlighted Broadcom’s premium valuation, financing needs, and the reported second-quarter exit by Stanley Druckenmiller’s Duquesne Family Office. These factors reinforce concerns that strong AI growth may already be heavily reflected in the stock. Druckenmiller Sold Broadcom

Broadcom Stock Up 0.4%

Shares of NASDAQ AVGO opened at $364.03 on Friday. The company has a 50 day simple moving average of $388.84 and a 200 day simple moving average of $374.84. 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 $286.17 and a 1 year high of $495.00. The firm has a market cap of $1.73 trillion, a PE ratio of 60.67, a price-to-earnings-growth ratio of 0.69 and a beta of 1.45.

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

Broadcom Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Tuesday, June 30th. Stockholders of record on Monday, June 22nd were issued a dividend of $0.65 per share. This represents a $2.60 dividend on an annualized basis and a dividend yield of 0.7%. The ex-dividend date was Monday, June 22nd. Broadcom's payout ratio is 43.33%.

Analysts Set New Price Targets

A number of equities research analysts have recently weighed in on the stock. Truist Financial raised their price target on shares of Broadcom from $545.00 to $550.00 and gave the company a "buy" rating in a research note on Thursday, June 4th. Royal Bank Of Canada increased their price objective on shares of Broadcom from $360.00 to $400.00 and gave the company a "sector perform" rating in a research note on Thursday, June 4th. Oppenheimer restated an "outperform" rating and issued a $535.00 target price (up from $450.00) on shares of Broadcom in a research report on Thursday, June 4th. BMO Capital Markets initiated coverage on shares of Broadcom in a research note on Thursday. They set an "outperform" rating and a $455.00 target price on the stock. Finally, Rosenblatt Securities reiterated a "buy" rating and set a $500.00 price target on shares of Broadcom in a report on Thursday, June 4th. Twenty-nine investment analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company. Based on data from MarketBeat.com, Broadcom presently has an average rating of "Moderate Buy" and an average target price of $491.97.

Insider Buying and Selling at Broadcom

In related news, Director Harry L. You acquired 1,000 shares of the firm's stock in a transaction that occurred on Thursday, June 11th. The stock was acquired at an average cost of $373.57 per share, for a total transaction of $373,570.00. Following the completion of the acquisition, the director directly owned 38,466 shares of the company's stock, valued at approximately $14,369,743.62. This trade represents a 2.67% increase in their position. The acquisition was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Gayla J. 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 completion of the sale, the director owned 31,326 shares of the company's stock, valued at $12,072,413.88. The trade was a 5.69% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders sold 61,644 shares of company stock worth $24,016,214. Company 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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