Private Advisor Group LLC Cuts Stake in Broadcom Inc. $AVGO

Key Points

• Private Advisor Group LLC reduced its stake in Broadcom by 4.2% in Q3, selling 13,877 shares and ending the quarter with 314,952 shares worth about $103.9 million.
• Broadcom beat Q1 expectations with $2.05 EPS on $19.31B revenue, reported AI semiconductor sales up ~106% (~$8.4B), provided bullish fiscal Q2 revenue guidance, unveiled a $10B buyback, and flagged AI chip sales potentially exceeding $100B by 2027.
• Despite strong results, insiders sold heavily last quarter (458,785 shares worth roughly $155.5M), while institutional ownership is ~76.4% and analysts hold a consensus “Moderate Buy” with an average price target near $435.30.

Private Advisor Group LLC reduced its position in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 4.2% in the third quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 314,952 shares of the semiconductor manufacturer's stock after selling 13,877 shares during the quarter. Private Advisor Group LLC's holdings in Broadcom were worth $103,906,000 at the end of the most recent quarter.

Several other large investors have also bought and sold shares of AVGO. Arthur M. Cohen & Associates LLC increased its position in shares of Broadcom by 0.6% during the third quarter. Arthur M. Cohen & Associates LLC now owns 4,781 shares of the semiconductor manufacturer's stock valued at $1,577,000 after acquiring an additional 30 shares in the last quarter. Jackson Hole Capital Partners LLC lifted its position in Broadcom by 1.4% in the 3rd quarter. Jackson Hole Capital Partners LLC now owns 2,170 shares of the semiconductor manufacturer's stock valued at $716,000 after acquiring an additional 30 shares in the last quarter. Private Wealth Partners LLC boosted its stake in Broadcom by 0.7% during the 3rd quarter. Private Wealth Partners LLC now owns 4,273 shares of the semiconductor manufacturer's stock valued at $1,410,000 after purchasing an additional 30 shares during the last quarter. Planning Alternatives Ltd. ADV boosted its stake in Broadcom by 1.4% during the 3rd quarter. Planning Alternatives Ltd. ADV now owns 2,168 shares of the semiconductor manufacturer's stock valued at $715,000 after purchasing an additional 30 shares during the last quarter. Finally, McHugh Group LLC increased its holdings in shares of Broadcom by 0.4% in the 3rd quarter. McHugh Group LLC now owns 8,433 shares of the semiconductor manufacturer's stock worth $2,782,000 after purchasing an additional 31 shares in the last quarter. 76.43% of the stock is owned by hedge funds and other institutional investors.

Broadcom Stock Down 0.5%

Broadcom stock opened at $331.03 on Monday. The stock has a market cap of $1.57 trillion, a PE ratio of 64.65, a price-to-earnings-growth ratio of 0.77 and a beta of 1.22. The company has a debt-to-equity ratio of 0.80, a quick ratio of 1.73 and a current ratio of 1.90. Broadcom Inc. has a one year low of $138.10 and a one year high of $414.61. The stock has a fifty day moving average of $333.75 and a 200 day moving average of $343.49.

Broadcom (NASDAQ:AVGO - Get Free Report) last posted its earnings results on Wednesday, March 4th. The semiconductor manufacturer reported $2.05 earnings per share for the quarter, beating analysts' consensus estimates of $2.03 by $0.02. The company had revenue of $19.31 billion for the quarter, compared to the consensus estimate of $19.10 billion. Broadcom had a return on equity of 38.61% and a net margin of 36.57%.Broadcom's revenue was up 29.5% on a year-over-year basis. During the same quarter in the prior year, the company earned $1.60 earnings per share. As a group, sell-side analysts predict that Broadcom Inc. will post 5.38 EPS for the current year.

Broadcom Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 31st. Stockholders of record on Monday, March 23rd will be paid a $0.65 dividend. This represents a $2.60 annualized dividend and a dividend yield of 0.8%. The ex-dividend date is Monday, March 23rd. Broadcom's dividend payout ratio is 50.78%.

Analyst Ratings Changes

A number of research analysts have recently issued reports on AVGO shares. Bank of America lowered their price target on Broadcom from $500.00 to $450.00 and set a "buy" rating on the stock in a report on Thursday. Benchmark reiterated a "buy" rating and issued a $485.00 price objective on shares of Broadcom in a report on Thursday. Royal Bank Of Canada lowered their target price on shares of Broadcom from $370.00 to $340.00 and set a "sector perform" rating on the stock in a research note on Monday, March 2nd. Raymond James Financial set a $420.00 price target on shares of Broadcom and gave the company an "outperform" rating in a report on Thursday, November 20th. Finally, UBS Group set a $475.00 price target on shares of Broadcom and gave the stock a "buy" rating in a research note on Monday, December 15th. One investment analyst has rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating and three have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $435.30.

Insider Buying and Selling

In related news, insider Mark David Brazeal sold 38,281 shares of the firm's stock in a transaction that occurred on Wednesday, December 17th. The shares were sold at an average price of $327.65, for a total value of $12,542,769.65. Following the transaction, the insider owned 266,494 shares of the company's stock, valued at approximately $87,316,759.10. This trade represents a 12.56% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, CFO Kirsten M. Spears sold 30,000 shares of the business's stock in a transaction that occurred on Wednesday, December 31st. The shares were sold at an average price of $347.82, for a total transaction of $10,434,600.00. Following the sale, the chief financial officer owned 277,237 shares of the company's stock, valued at $96,428,573.34. This trade represents a 9.76% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 458,785 shares of company stock valued at $155,508,157. 2.00% of the stock is owned by insiders.

Key Stories Impacting Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Q1 beat and blowout AI momentum — Broadcom reported $19.31B revenue and $2.05 adj. EPS, with AI semiconductor sales up ~106% to about $8.4B; management guided fiscal Q2 revenue well above consensus (~$22B) and provided aggressive AI revenue visibility. Broadcom Q1 earnings beat
• Positive Sentiment: Big-picture AI guidance — CEO Hock Tan said AI chip sales could be “significantly” above $100B in 2027, reinforcing the thesis that Broadcom is a major non‑GPU AI supplier and supporting upside expectations. Reuters: $100B AI sales guidance
• Positive Sentiment: Shareholder returns — Management unveiled a $10B buyback, which supports EPS and signals confidence in the business at current levels. Seeking Alpha: $10B buyback
• Positive Sentiment: Analyst upgrades and higher price targets — Multiple firms raised price targets and reiterated buy/overweight calls (JPMorgan, Morgan Stanley, Truist, Citi, Rosenblatt), lifting sentiment and signaling institutional confidence. Benzinga: analyst revisions
• Neutral Sentiment: Positive media and analyst write-ups — Numerous bullish pieces (Seeking Alpha, MarketBeat, CNBC, Barron’s) highlight the AI thesis and long-term upside; these help narrative but are opinion-driven. MarketBeat: analysis
• Neutral Sentiment: Short‑interest data in feeds appears anomalous (reported as 0 shares / NaN change) and is not informative for current positioning.
• Negative Sentiment: Software segment soft spot — Infrastructure software (VMware exposure) showed only ~1% revenue growth; the software business is cited as a drag on overall results and valuation. WSJ: software drag
• Negative Sentiment: Regulatory/export risk — Coverage noted potential for tougher U.S. export controls on AI chips, a macro/regulatory headwind that could limit international sales upside. Investopedia: export rules
• Negative Sentiment: Analyst downgrade/valuation concerns — Zacks trimmed its rating to “hold” and some commentary flags that Broadcom’s premium multiple could cap near-term gains despite the earnings beat. Zacks: rating change

Broadcom 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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