Root Financial Partners LLC Buys 12,016 Shares of Broadcom Inc. $AVGO

Key Points

• Root Financial Partners LLC increased its Broadcom stake by 56.5% in the fourth quarter, buying 12,016 additional shares and bringing its total holdings to 33,295 shares valued at about $11.5 million.
• Broadcom reported better-than-expected quarterly results, with EPS of $2.44 versus $2.40 expected and revenue of $22.19 billion versus $22.13 billion expected. Revenue jumped 47.9% year over year, driven by strong AI semiconductor demand.
• Despite the strong earnings, the stock was under pressure and was down about 7.9% as investors wanted a bigger AI outlook surprise. Broadcom also announced a quarterly dividend of $0.65 per share, and analysts still hold a consensus Moderate Buy rating.

Root Financial Partners LLC boosted its stake in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 56.5% in the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund owned 33,295 shares of the semiconductor manufacturer's stock after purchasing an additional 12,016 shares during the quarter. Broadcom comprises about 0.6% of Root Financial Partners LLC's investment portfolio, making the stock its 22nd largest holding. Root Financial Partners LLC's holdings in Broadcom were worth $11,523,000 as of its most recent filing with the Securities and Exchange Commission.

Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Brown Brothers Harriman & Co. raised 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 worth $25,539,000 after purchasing an additional 7,499 shares in the last quarter. Dana Investment Advisors Inc. raised its holdings in Broadcom by 2.6% in the 3rd quarter. Dana Investment Advisors Inc. now owns 173,759 shares of the semiconductor manufacturer's stock worth $57,325,000 after purchasing an additional 4,442 shares in the last quarter. Guinness Atkinson Asset Management Inc raised its holdings in Broadcom by 248.2% in the 3rd quarter. Guinness Atkinson Asset Management Inc now owns 26,238 shares of the semiconductor manufacturer's stock worth $8,603,000 after purchasing an additional 18,703 shares in the last quarter. Sovran Advisors LLC raised its holdings in Broadcom by 121.3% in the 4th quarter. Sovran Advisors LLC now owns 30,631 shares of the semiconductor manufacturer's stock worth $10,507,000 after purchasing an additional 16,789 shares in the last quarter. Finally, Thurston Springer Miller Herd & Titak Inc. raised its holdings in Broadcom by 406.1% in the 4th quarter. Thurston Springer Miller Herd & Titak Inc. now owns 11,994 shares of the semiconductor manufacturer's stock worth $4,151,000 after purchasing an additional 9,624 shares in the last quarter. 76.43% of the stock is owned by institutional investors and hedge funds.

Trending Headlines about Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom posted record quarterly revenue, beat earnings estimates, and said AI semiconductor demand remains strong, supporting the long-term growth story. Broadcom Q2 Earnings Surpasses Estimates, Revenues Surge Y/Y
• Positive Sentiment: Several analysts remain bullish and raised price targets after the pullback, arguing the market is overreacting to expectations rather than fundamentals. Goldman Sachs urges investors to buy Broadcom dip with still AI revenue trajectory intact
• Positive Sentiment: Management still expects AI revenue to reach $56 billion in fiscal 2026 and more than $100 billion in fiscal 2027, keeping the longer-term AI thesis intact. AVGO Shares Drop 13% Post Q2 Results: Buy, Sell or Hold on the Dip?
• Neutral Sentiment: Broadcom also declared a quarterly dividend, which is supportive for income investors but not a major near-term stock driver.
• Negative Sentiment: The stock is under pressure because the AI outlook, while strong, was not upgraded enough to satisfy investors who had priced in an even bigger upside surprise. Broadcom's sales and AI chip forecast comes in below expectations, shares tumble
• Negative Sentiment: The disappointment has spilled over into the semiconductor sector, pressuring peers such as AMD, Intel, Micron, and Marvell as investors reassess AI trade valuations. Intel, AMD stocks slide again in aftermath of Broadcom's weak outlook

Broadcom Stock Down 7.9%

NASDAQ:AVGO opened at $385.73 on Friday. The firm has a market cap of $1.83 trillion, a P/E ratio of 64.29, a P/E/G ratio of 0.86 and a beta of 1.41. The company has a debt-to-equity ratio of 0.71, a quick ratio of 1.73 and a current ratio of 2.24. Broadcom Inc. has a fifty-two week low of $241.11 and a fifty-two week high of $495.00. The firm has a 50-day simple moving average of $396.22 and a two-hundred day simple moving average of $361.90.

Broadcom (NASDAQ:AVGO - Get Free Report) last released its quarterly earnings data on Wednesday, June 3rd. The semiconductor manufacturer reported $2.44 earnings per share for the quarter, beating analysts' consensus estimates of $2.40 by $0.04. The business had revenue of $22.19 billion during the quarter, compared to analyst estimates of $22.13 billion. Broadcom had a net margin of 38.85% and a return on equity of 41.61%. Broadcom's revenue was up 47.9% compared to the same quarter last year. During the same period last year, the business earned $1.58 EPS. Analysts predict that Broadcom Inc. will post 9.97 earnings per share for the current fiscal year.

Broadcom Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, June 30th. Shareholders of record on Monday, June 22nd will be paid a dividend of $0.65 per share. This represents a $2.60 dividend on an annualized basis and a yield of 0.7%. The ex-dividend date is Monday, June 22nd. Broadcom's dividend payout ratio (DPR) is currently 43.33%.

Wall Street Analysts Forecast Growth

AVGO has been the subject of several research reports. Evercore restated an "outperform" rating and issued a $582.00 price objective on shares of Broadcom in a report on Tuesday, May 19th. Rosenblatt Securities reiterated a "buy" rating and issued a $500.00 price target on shares of Broadcom in a research note on Thursday. Wall Street Zen lowered shares of Broadcom from a "buy" rating to a "hold" rating in a research note on Saturday, May 30th. Zacks Research lowered shares of Broadcom from a "strong-buy" rating to a "hold" rating in a research note on Thursday, May 21st. Finally, Erste Group Bank upgraded shares of Broadcom from a "hold" rating to a "buy" rating in a research note on Friday. One analyst has rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $490.13.

Insider Buying and Selling at Broadcom

In other Broadcom news, Director Gayla J. Delly sold 1,000 shares of the firm's stock in a transaction dated Thursday, April 9th. The shares were sold at an average price of $358.31, for a total transaction of $358,310.00. Following the completion of the sale, the director directly owned 32,352 shares in the company, valued at approximately $11,592,045.12. This trade represents a 3.00% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Justine Page sold 2,018 shares of the firm's 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 sale, the director owned 18,164 shares of the company's stock, valued at approximately $6,411,892. This represents a 10.00% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 324,282 shares of company stock worth $106,425,249 in the last 90 days. Insiders own 1.90% of the company's stock.

About Broadcom

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.

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.