Robocap Asset Management Ltd Purchases 10,056 Shares of Broadcom Inc. $AVGO

Key Points

• Robocap Asset Management increased its Broadcom stake by 359.1% in the fourth quarter, buying 10,056 additional shares and bringing its total to 12,856 shares worth about $4.45 million.
• Wall Street remains generally bullish on Broadcom, with a consensus Moderate Buy rating and an average price target of $435.30, though a few firms have recently trimmed or downgraded views.
• Broadcom reported strong quarterly results and continues paying a dividend, but the stock is facing pressure from reports that OpenAI’s planned $18 billion custom chip deal hit a financing snag, clouding an important AI growth driver.

Robocap Asset Management Ltd increased its position in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 359.1% in the 4th quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm owned 12,856 shares of the semiconductor manufacturer's stock after buying an additional 10,056 shares during the period. Broadcom accounts for approximately 4.0% of Robocap Asset Management Ltd's holdings, making the stock its 11th biggest position. Robocap Asset Management Ltd's holdings in Broadcom were worth $4,449,000 at the end of the most recent reporting period.

Other large investors have also modified their holdings of the company. Providence First Trust Co boosted its holdings in shares of Broadcom by 1,099.3% during the 3rd quarter. Providence First Trust Co now owns 8,923 shares of the semiconductor manufacturer's stock worth $2,944,000 after buying an additional 8,179 shares during the period. Whittier Trust Co. of Nevada Inc. boosted its holdings in Broadcom by 3.4% in the 3rd quarter. Whittier Trust Co. of Nevada Inc. now owns 323,587 shares of the semiconductor manufacturer's stock valued at $109,492,000 after purchasing an additional 10,786 shares during the period. Lmcg Investments LLC boosted its holdings in Broadcom by 9.4% in the 3rd quarter. Lmcg Investments LLC now owns 38,961 shares of the semiconductor manufacturer's stock valued at $12,854,000 after purchasing an additional 3,357 shares during the period. Wright Investors Service Inc. boosted its holdings in Broadcom by 5.4% in the 3rd quarter. Wright Investors Service Inc. now owns 42,159 shares of the semiconductor manufacturer's stock valued at $13,909,000 after purchasing an additional 2,178 shares during the period. Finally, Brown Brothers Harriman & Co. boosted its holdings in Broadcom by 10.7% in the 3rd quarter. Brown Brothers Harriman & Co. now owns 77,411 shares of the semiconductor manufacturer's stock valued at $25,539,000 after purchasing an additional 7,499 shares during the period. 76.43% of the stock is owned by institutional investors.

Wall Street Analysts Forecast Growth

A number of analysts have weighed in on AVGO shares. Morgan Stanley increased their price target on shares of Broadcom from $462.00 to $470.00 and gave the company an "overweight" rating in a report on Friday, March 6th. Weiss Ratings downgraded shares of Broadcom from a "buy (b-)" rating to a "hold (c+)" rating in a report on Friday, April 24th. Seaport Research Partners reissued a "neutral" rating on shares of Broadcom in a report on Wednesday, April 8th. JPMorgan Chase & Co. increased their price target on shares of Broadcom from $475.00 to $500.00 and gave the company an "overweight" rating in a report on Thursday, March 5th. Finally, Bank of America reduced their price target on shares of Broadcom from $500.00 to $450.00 and set a "buy" rating for the company in a report on Thursday, March 5th. Two investment analysts have rated the stock with a Strong Buy rating, twenty-seven have given a Buy rating and four have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $435.30.

Broadcom Price Performance

NASDAQ:AVGO opened at $430.00 on Friday. The company has a market capitalization of $2.04 trillion, a price-to-earnings ratio of 83.98, a PEG ratio of 0.89 and a beta of 1.43. The company has a debt-to-equity ratio of 0.80, a quick ratio of 1.73 and a current ratio of 1.90. The company has a 50-day moving average of $352.89 and a 200-day moving average of $351.28. Broadcom Inc. has a 52 week low of $206.52 and a 52 week high of $437.68.

Broadcom (NASDAQ:AVGO - Get Free Report) last announced its earnings results on Wednesday, March 4th. The semiconductor manufacturer reported $2.05 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.03 by $0.02. The business had revenue of $19.31 billion during the quarter, compared to analysts' expectations of $19.10 billion. Broadcom had a net margin of 36.57% and a return on equity of 38.61%. The firm's revenue for the quarter was up 29.5% on a year-over-year basis. During the same quarter last year, the company posted $1.60 EPS. As a group, equities research analysts anticipate that Broadcom Inc. will post 9.95 earnings per share for the current fiscal year.

Broadcom Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Tuesday, March 31st. Investors of record on Monday, March 23rd were given a dividend of $0.65 per share. The ex-dividend date was Monday, March 23rd. This represents a $2.60 dividend on an annualized basis and a dividend yield of 0.6%. Broadcom's dividend payout ratio (DPR) is 50.78%.

Key Headlines Impacting Broadcom

Here are the key news stories impacting Broadcom this week:

• Negative Sentiment: Broadcom shares are under pressure after reports said OpenAI’s planned $18 billion custom chip deal with the company hit a financing roadblock, creating uncertainty around a key AI revenue driver. Broadcom shares slump as OpenAI’s $18B custom chip deal hits financing snag
• Negative Sentiment: Another report framed the OpenAI issue as a major setback for Broadcom’s custom AI chip ambitions, adding concern that one of its flagship customer relationships may not be as immediately monetizable as investors hoped. Broadcom's OpenAI mega AI deal hits $18 billion wall
• Neutral Sentiment: Broadcom also announced VMware by Broadcom VCF 9.1, a product update aimed at accelerating production AI workloads in private clouds, which supports the company’s long-term enterprise AI strategy. Broadcom (AVGO) Launches VCF 9.1 to Accelerate Production AI in Private Clouds
• Neutral Sentiment: Several commentary pieces remained constructive on Broadcom’s position in the AI infrastructure stack, noting that recent hyperscaler results still support demand for chips and networking tied to AI buildouts. Big Tech earnings support Broadcom’s outlook
• Neutral Sentiment: Broadcom was also mentioned in a public-sector VMware partnership update, which could help broaden enterprise distribution but is not likely the main driver of the stock today. evoila U.S. and Carahsoft Partner to Deliver VMware by Broadcom Services to the Public Sector

Insider Buying and Selling at Broadcom

In related news, Director Justine Page sold 2,018 shares of the stock in a transaction dated Wednesday, April 8th. The shares were sold at an average price of $353.00, for a total transaction of $712,354.00. Following the completion of the sale, the director owned 18,164 shares in the company, valued at $6,411,892. This trade represents a 10.00% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Gayla J. Delly sold 1,000 shares of the stock in a transaction dated Thursday, April 9th. The stock was sold at an average price of $358.31, for a total transaction of $358,310.00. Following the sale, the director owned 32,352 shares of the company's stock, valued at $11,592,045.12. This trade represents a 3.00% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 324,282 shares of company stock worth $106,425,249 over the last ninety days. 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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