RFG Advisory LLC Acquires 6,845 Shares of Broadcom Inc. $AVGO

Key Points

• RFG Advisory increased its Broadcom stake by 18% in the second quarter, adding 6,845 shares to own 44,874 shares valued at approximately $16.95 million. Institutional investors collectively own 76.43% of AVGO.
• Broadcom reported quarterly EPS of $3.32 and revenue of $29.59 billion, exceeding analyst expectations, while revenue rose 85.5% year over year. The company also declared a quarterly dividend of $0.65 per share, equivalent to a 0.7% annual yield.
• Analysts maintain a broadly positive view, with a consensus “Moderate Buy” rating and a $509.04 price target, supported by optimism over custom AI chips and infrastructure demand. However, concerns about a potential slowdown in hyperscaler AI spending and recent insider selling remain risks.

RFG Advisory LLC lifted its holdings in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 18.0% during the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 44,874 shares of the semiconductor manufacturer's stock after buying an additional 6,845 shares during the quarter. RFG Advisory LLC's holdings in Broadcom were worth $16,951,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds also recently bought and sold shares of AVGO. Cornerstone Advisors LLC purchased a new position in Broadcom during the 2nd quarter valued at about $92,522,000. Bank of America Corp DE lifted its holdings in shares of Broadcom by 1.5% in the first quarter. Bank of America Corp DE now owns 58,737,097 shares of the semiconductor manufacturer's stock worth $18,179,719,000 after buying an additional 894,564 shares in the last quarter. Clear Harbor Asset Management LLC bought a new position in shares of Broadcom in the second quarter valued at approximately $3,302,000. Bartlett & CO. Wealth Management LLC boosted its position in shares of 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, First Bank & Trust grew its stake in Broadcom by 17.2% during the second quarter. First Bank & Trust now owns 10,503 shares of the semiconductor manufacturer's stock valued at $3,968,000 after acquiring an additional 1,545 shares in the last quarter. 76.43% of the stock is owned by institutional investors.

Broadcom Stock Up 2.3%

AVGO opened at $347.30 on Friday. The business's fifty day simple moving average is $379.76 and its 200 day simple moving average is $379.16. Broadcom Inc. has a 52 week low of $289.96 and a 52 week high of $495.00. The company has a quick ratio of 2.29, a current ratio of 2.50 and a debt-to-equity ratio of 0.57. The stock has a market cap of $1.66 trillion, a PE ratio of 44.36 and a beta of 1.44.

Broadcom (NASDAQ:AVGO - Get Free Report) last posted its quarterly earnings results on Wednesday, September 2nd. The semiconductor manufacturer reported $3.32 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 net margin of 42.94% and a return on equity of 48.33%. The business's revenue was up 85.5% compared to the same quarter last year. During the same period last year, the firm posted $1.69 earnings per share. As a group, research analysts expect that Broadcom Inc. will post 10.36 earnings per share for the current fiscal year.

Broadcom Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, September 30th. Stockholders of record on Monday, September 21st will be issued a $0.65 dividend. The ex-dividend date is Monday, September 21st. This represents a $2.60 annualized dividend and a dividend yield of 0.7%. Broadcom's dividend payout ratio (DPR) is currently 33.21%.

Broadcom News Roundup

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom’s custom-chip opportunity remains the main bullish catalyst. Management forecasts AI semiconductor revenue of approximately $115 billion in fiscal 2027 and $230 billion in fiscal 2028, while recent reports say AI chip orders are tripling. Investors are looking for evidence that these orders will translate into revenue and earnings growth. Investors Want to Know When Broadcom’s Custom Hyperscaler Chips Will Move Share Prices
• Positive Sentiment: Analysts and market commentators see substantial upside after the summer selloff. Jim Cramer called AVGO potentially “too cheap to ignore,” while other coverage points to a wide gap between the current share price and Wall Street price targets. Jim Cramer on Broadcom: The Stock May Be Too Cheap to Ignore
• Positive Sentiment: Broadcom is viewed as a key supplier to the next phase of AI infrastructure, including custom accelerators, networking and inference hardware. Industry commentary also highlights potential growth in enterprise AI and VMware private-cloud demand, although the evidence for that software trend is mixed. Enterprise AI to Boost Broadcom’s Software Business
• Neutral Sentiment: The broader semiconductor rebound helped lift AVGO, but the stock’s performance is still being driven more by expectations than by newly announced company-specific results. Investors are waiting for custom-hyperscaler chip deployments to produce visible financial impact.
• Negative Sentiment: Shares have faced pressure after Anthropic and OpenAI leaders urged caution around rapidly scaling advanced AI models. That has raised concerns that hyperscalers could slow infrastructure spending, even though Broadcom’s CEO has reportedly maintained the company’s AI revenue targets. Broadcom Shares Fell as Slower AI Development Raised Demand Concerns

Analyst Upgrades and Downgrades

AVGO has been the topic of several recent analyst reports. Erste Group Bank reiterated a "hold" rating on shares of Broadcom in a research note on Tuesday, July 7th. Evercore set a $578.00 price objective on Broadcom in a research report on Thursday, September 3rd. UBS Group lowered Broadcom from a "buy" rating to a "hold" rating in a research note on Thursday, September 3rd. BMO Capital Markets upped their target price on Broadcom from $455.00 to $575.00 and gave the stock an "outperform" rating in a research note on Thursday, September 3rd. Finally, Oppenheimer reaffirmed an "outperform" rating and issued a $535.00 price target (up from $450.00) on shares of Broadcom in a report on Thursday, June 4th. One analyst has rated the stock with a Strong Buy rating, twenty-eight have issued a Buy rating and four have assigned a Hold rating to the stock. According to data from MarketBeat.com, Broadcom presently has an average rating of "Moderate Buy" and a consensus price target of $509.04.

Insider Buying and Selling

In related news, Director Gayla Delly sold 1,890 shares of the company's stock in a transaction on Wednesday, July 8th. The shares were sold at an average price of $385.38, for a total transaction of $728,368.20. Following the completion of the sale, the director directly owned 31,326 shares in the company, valued at $12,072,413.88. This represents a 5.69% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, insider Mark Brazeal sold 25,000 shares of the company's stock in a transaction on Friday, July 10th. The shares were sold at an average price of $401.33, for a total transaction of $10,033,250.00. Following the sale, the insider owned 194,989 shares of the company's stock, valued at $78,254,935.37. This represents a 11.36% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 53,492 shares of company stock valued at $20,840,292 over the last three months. 1.90% of the stock is owned by company insiders.

Broadcom Company Profile

Broadcom Inc NASDAQ: AVGO designs, develops and supplies semiconductor and infrastructure software products for businesses, telecommunications providers and other organizations worldwide. Its semiconductor portfolio includes networking and connectivity components, custom application-specific integrated circuits, broadband and wireless communications products, storage adapters, optical components, and industrial solutions.

The company also provides enterprise infrastructure software through businesses including VMware, which offers virtualization and private- and hybrid-cloud solutions; mainframe and enterprise software; and cybersecurity products.

Want to see what other hedge funds are holding AVGO? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Broadcom Inc. (NASDAQ:AVGO - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.