Saudi Central Bank Has $118.94 Million Holdings in Broadcom Inc. $AVGO

Key Points

• Saudi Central Bank increased its Broadcom stake by 89.4% in the second quarter, owning 314,856 shares valued at approximately $118.94 million. Broadcom now represents about 1.5% of the bank’s portfolio, while institutional investors collectively own 76.43% of the company.
• Broadcom reported quarterly EPS of $3.32 and revenue of $29.59 billion, exceeding estimates, with revenue up 85.5% year over year. The company also declared a quarterly dividend of $0.65 per share, equivalent to an annualized yield of about 0.8%.
• Despite the stock’s 4.8% decline to $344.72, analysts remain broadly positive, with a “Moderate Buy” consensus and an average price target of $509.04. Investors continue to focus on Broadcom’s AI-chip growth, though valuation, customer concentration and the sustainability of AI spending remain risks.

Saudi Central Bank increased its holdings in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 89.4% during the second quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 314,856 shares of the semiconductor manufacturer's stock after acquiring an additional 148,600 shares during the quarter. Broadcom comprises about 1.5% of Saudi Central Bank's investment portfolio, making the stock its 17th largest holding. Saudi Central Bank's holdings in Broadcom were worth $118,937,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also bought and sold shares of the business. Asset Allocation Strategies LLC bought a new stake in Broadcom during the second quarter worth about $201,000. Angeles Wealth Management LLC increased its holdings in Broadcom by 4.8% in the 2nd quarter. Angeles Wealth Management LLC now owns 44,949 shares of the semiconductor manufacturer's stock valued at $16,979,000 after buying an additional 2,065 shares during the period. Unique Wealth LLC increased its holdings in Broadcom by 6.6% in the 2nd quarter. Unique Wealth LLC now owns 4,603 shares of the semiconductor manufacturer's stock valued at $1,739,000 after buying an additional 283 shares during the period. Advisory Solutions Group LLC acquired a new position in shares of Broadcom in the 2nd quarter valued at approximately $481,000. Finally, XP Advisory US Inc. acquired a new position in shares of Broadcom in the 2nd quarter valued at approximately $232,000. Institutional investors and hedge funds own 76.43% of the company's stock.

Key Stories Impacting Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom remains a favored way to gain exposure to AI while receiving dividend income. Its custom AI-chip business is expected to continue expanding rapidly as hyperscalers and AI companies build additional computing capacity. 3 Stocks That Offer AI Exposure and Dividends
• Positive Sentiment: CEO Hock Tan reportedly said demand already exceeds Broadcom’s $115 billion AI forecast, with AI revenue projected to double in fiscal 2027 and again in 2028. Accelerating shipments of Ironwood chips to Anthropic could further strengthen Broadcom’s custom-hardware opportunity. Broadcom CEO Hock Tan Says Demand Already Exceeds Broadcom’s $115 Billion AI Forecast
• Positive Sentiment: Mizuho analyst Vijay Rakesh expects AVGO to rally toward a new all-time high over the next 12 months, supporting the longer-term bullish case despite recent weakness. Wall Street Sets Broadcom Stock Price for the Next 12 Months
• Neutral Sentiment: Analyst commentary remains divided: Broadcom is viewed as a major beneficiary of AI demand, but Vertiv is considered better positioned on valuation, earnings momentum and near-term upside. Vertiv vs. Broadcom: Which AI Infrastructure Stock Has More Upside?
• Negative Sentiment: Investors are questioning whether AI spending can maintain its current pace. Broadcom also faces concerns about elevated valuation, customer concentration, margins and execution, while reports cite a failure to meet Wall Street’s fiscal fourth-quarter revenue expectations. Marvell Falls as AI Pacing Debate Collides With Fed Week

Insiders Place Their Bets

In related news, insider Mark Brazeal sold 25,000 shares of the firm's stock in a transaction on Friday, July 10th. The stock was 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 trade represents a 11.36% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, Director Justine Page sold 1,602 shares of the business's stock in a transaction on Monday, June 29th. The stock was sold at an average price of $373.86, for a total value of $598,923.72. Following the sale, the director owned 17,426 shares in the company, valued at $6,514,884.36. This represents a 8.42% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 58,317 shares of company stock valued at $22,745,733. 1.90% of the stock is currently owned by insiders.

Wall Street Analysts Forecast Growth

Several analysts recently issued reports on AVGO shares. Fox Advisors upgraded shares of Broadcom to an "outperform" rating in a research report on Thursday, September 3rd. Morgan Stanley reissued an "overweight" rating and issued a $505.00 price objective (up from $502.00) on shares of Broadcom in a research note on Thursday, September 3rd. Rosenblatt Securities assumed coverage on shares of Broadcom in a research report on Thursday, September 3rd. They set a "buy" rating and a $600.00 price objective for the company. Deutsche Bank Aktiengesellschaft restated a "buy" rating and set a $515.00 target price (up from $430.00) on shares of Broadcom in a research note on Thursday, June 4th. Finally, Bank of America raised their target price on Broadcom from $450.00 to $530.00 and gave the company a "buy" rating in a report on Thursday, June 4th. One analyst has rated the stock with a Strong Buy rating, twenty-eight have given a Buy rating and four have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, Broadcom presently has a consensus rating of "Moderate Buy" and a consensus price target of $509.04.

Broadcom Trading Down 4.8%

AVGO opened at $344.72 on Tuesday. The company's 50 day moving average is $382.45 and its 200-day moving average is $378.79. Broadcom Inc. has a 1-year low of $289.96 and a 1-year high of $495.00. The company has a current ratio of 2.50, a quick ratio of 2.29 and a debt-to-equity ratio of 0.57. The company has a market cap of $1.65 trillion, a P/E ratio of 44.03 and a beta of 1.44.

Broadcom (NASDAQ:AVGO - Get Free Report) last announced its quarterly earnings results on Wednesday, September 2nd. The semiconductor manufacturer reported $3.32 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.22 by $0.10. The company had revenue of $29.59 billion for the quarter, compared to analyst estimates of $29.24 billion. Broadcom had a net margin of 42.94% and a return on equity of 48.33%. The firm's revenue was up 85.5% on a year-over-year basis. During the same period in the previous year, the firm posted $1.69 EPS. Equities research analysts predict that Broadcom Inc. will post 10.36 earnings per share for the current fiscal year.

Broadcom Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, September 30th. Shareholders of record on Monday, September 21st will be paid a dividend of $0.65 per share. This represents a $2.60 dividend on an annualized basis and a dividend yield of 0.8%. The ex-dividend date of this dividend is Monday, September 21st. Broadcom's payout ratio is presently 33.21%.

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.

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