Sapient Capital LLC Reduces Stake in Broadcom Inc. $AVGO

Key Points

• Sapient Capital LLC cut its Broadcom stake by 12.3% in the fourth quarter, selling 83,687 shares and ending with 595,009 shares valued at about $208 million. Broadcom remained its 6th largest holding, accounting for 2.9% of the portfolio.
• Broadcom reported strong quarterly results, with earnings per share of $2.05 beating estimates and revenue of $19.31 billion topping expectations. Revenue jumped 29.5% year over year, and analysts now expect full-year EPS of 9.91.
• Analysts remain broadly positive on AVGO, with a consensus rating of “Moderate Buy” and an average price target of $448.10. Recent commentary highlights Broadcom’s growth in AI semiconductors, though some notes warn the stock may be crowded and face regulatory scrutiny in Europe.

Sapient Capital LLC lessened its position in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 12.3% during the 4th quarter, according to the company in its most recent Form 13F filing with the SEC. The institutional investor owned 595,009 shares of the semiconductor manufacturer's stock after selling 83,687 shares during the period. Broadcom comprises 2.9% of Sapient Capital LLC's portfolio, making the stock its 6th largest holding. Sapient Capital LLC's holdings in Broadcom were worth $208,019,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also recently made changes to their positions in the company. Miller Global Investments LLC bought a new position in shares of Broadcom in the fourth quarter worth approximately $31,000. JCIC Asset Management Inc. bought a new position in shares of Broadcom in the third quarter worth approximately $31,000. Nvest Wealth Strategies Inc. bought a new position in shares of Broadcom in the fourth quarter worth approximately $33,000. Family CFO Inc bought a new position in shares of Broadcom in the fourth quarter worth approximately $35,000. Finally, PayPay Securities Corp lifted its stake in shares of Broadcom by 88.9% in the fourth quarter. PayPay Securities Corp now owns 119 shares of the semiconductor manufacturer's stock worth $41,000 after buying an additional 56 shares in the last quarter. Institutional investors own 76.43% of the company's stock.

Insider Buying and Selling at Broadcom

In other Broadcom news, Director Justine Page sold 2,018 shares of the company's stock in a transaction that occurred on 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 directly 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 sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider S. Ram Velaga sold 8,000 shares of the company's stock in a transaction that occurred on Friday, April 10th. The shares were sold at an average price of $370.52, for a total transaction of $2,964,160.00. Following the sale, the insider directly owned 57,932 shares of the company's stock, valued at approximately $21,464,964.64. This represents a 12.13% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 324,282 shares of company stock valued at $106,425,249 in the last quarter. Insiders own 1.90% of the company's stock.

Analyst Ratings Changes

A number of brokerages recently weighed in on AVGO. Benchmark restated a "buy" rating and set a $485.00 price objective on shares of Broadcom in a research report on Thursday, March 5th. Bank of America lowered their price objective on shares of Broadcom from $500.00 to $450.00 and set a "buy" rating on the stock in a research report on Thursday, March 5th. Zacks Research upgraded shares of Broadcom from a "hold" rating to a "strong-buy" rating in a research report on Thursday, April 2nd. Morgan Stanley increased their price objective on shares of Broadcom from $462.00 to $470.00 and gave the company an "overweight" rating in a research report on Friday, March 6th. Finally, Erste Group Bank downgraded shares of Broadcom from a "buy" rating to a "hold" rating in a research report on Thursday, April 2nd. Two investment analysts have rated the stock with a Strong Buy rating, twenty-seven have assigned a Buy rating and four have issued a Hold rating to the company's stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $448.10.

Broadcom Stock Down 0.1%

Shares of AVGO stock opened at $414.14 on Friday. Broadcom Inc. has a 12 month low of $226.18 and a 12 month high of $442.36. The stock has a market cap of $1.96 trillion, a P/E ratio of 80.89, a P/E/G ratio of 0.86 and a beta of 1.43. The company has a current ratio of 1.90, a quick ratio of 1.73 and a debt-to-equity ratio of 0.80. The company has a 50 day simple moving average of $373.30 and a two-hundred day simple moving average of $356.09.

Broadcom (NASDAQ:AVGO - Get Free Report) last announced its earnings results on Wednesday, March 4th. The semiconductor manufacturer reported $2.05 EPS for the quarter, beating analysts' consensus estimates of $2.03 by $0.02. Broadcom had a net margin of 36.57% and a return on equity of 38.61%. The business had revenue of $19.31 billion during the quarter, compared to analysts' expectations of $19.10 billion. During the same period in the prior year, the company earned $1.60 earnings per share. The firm's revenue was up 29.5% on a year-over-year basis. On average, research analysts expect that Broadcom Inc. will post 9.91 earnings per share for the current year.

Broadcom Dividend Announcement

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

Key Stories Impacting Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom’s AI semiconductor business is showing rapid growth, with AI revenue more than doubling and stronger Q2 expectations tied to hyperscale demand. Broadcom Rides on Accelerating Semiconductor Revenues: What's Ahead?
• Positive Sentiment: Analysts continue to highlight Broadcom as one of Goldman Sachs’ strongest AI infrastructure bets, reinforcing optimism around its role in AI chips and networking. Why Broadcom (AVGO) Remains One of Goldman’s Strongest AI Infrastructure Bets
• Positive Sentiment: Broadcom is expanding its AI ecosystem through a $125 million research and talent hub with Meta and UCLA, plus packaging work with Applied Materials, which could support long-term growth. Broadcom’s AI Research Push Links Chip Packaging Advances To Growth Story
• Positive Sentiment: Several articles and analyst notes point to strong long-term upside, with Broadcom repeatedly described as a durable AI winner and a solid growth stock. Is Broadcom Inc. (AVGO) a Solid Growth Stock? 3 Reasons to Think "Yes"
• Neutral Sentiment: Commentary about Broadcom’s stock price in 2030 reflects bullish long-term AI expectations, but it does not appear to be a near-term catalyst. This Will be Broadcom’s Stock Price In 2030
• Neutral Sentiment: Broader market commentary and inflation worries have also been mentioned, but these articles do not identify a Broadcom-specific problem. Inflation Fears Weighed on Broadcom (AVGO) in Q1
• Negative Sentiment: One recent note says Broadcom remains “overcrowded,” suggesting valuation or positioning risk after a strong rally. Broadcom Is Far Too Overcrowded
• Negative Sentiment: Broadcom has also faced some regulatory scrutiny in the EU, which could create headline risk even as AI sentiment stays positive. Broadcom Inc. (AVGO) Challenges EU Regulators While Barclays Sees AI Upside

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.

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