Shearwater Capital LLC Invests $234,000 in Broadcom Inc. $AVGO

Key Points

• Shearwater Capital LLC invested approximately $234,000 in Broadcom Inc. by acquiring 850 shares during the second quarter.
• Broadcom recently reported earnings per share of $1.69, exceeding analyst expectations, and a revenue of $15.95 billion, a 22% increase compared to the previous year.
• The company has declared a quarterly dividend of $0.59 per share, which will be paid to shareholders on September 30.

Shearwater Capital LLC acquired a new stake in Broadcom Inc. (NASDAQ:AVGO - Free Report) during the 2nd quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The institutional investor acquired 850 shares of the semiconductor manufacturer's stock, valued at approximately $234,000.

Several other large investors have also bought and sold shares of the business. Matrix Trust Co lifted its holdings in Broadcom by 6.1% in the second quarter. Matrix Trust Co now owns 14,486 shares of the semiconductor manufacturer's stock valued at $3,993,000 after buying an additional 833 shares during the period. Sowell Financial Services LLC lifted its holdings in Broadcom by 7.0% in the second quarter. Sowell Financial Services LLC now owns 84,136 shares of the semiconductor manufacturer's stock valued at $23,192,000 after buying an additional 5,525 shares during the period. Physician Wealth Advisors Inc. lifted its holdings in Broadcom by 2.2% in the second quarter. Physician Wealth Advisors Inc. now owns 2,919 shares of the semiconductor manufacturer's stock valued at $805,000 after buying an additional 63 shares during the period. Westfuller Advisors LLC acquired a new position in Broadcom in the second quarter valued at approximately $215,000. Finally, Quad Cities Investment Group LLC lifted its holdings in Broadcom by 4.0% in the second quarter. Quad Cities Investment Group LLC now owns 7,017 shares of the semiconductor manufacturer's stock valued at $1,934,000 after buying an additional 272 shares during the period. 76.43% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several brokerages recently weighed in on AVGO. KeyCorp increased their price objective on shares of Broadcom from $330.00 to $400.00 and gave the company an "overweight" rating in a report on Friday, September 5th. Cowen reaffirmed a "buy" rating on shares of Broadcom in a research note on Friday, June 6th. Truist Financial upped their target price on shares of Broadcom from $295.00 to $365.00 and gave the company a "buy" rating in a research note on Friday, September 5th. Benchmark upped their target price on shares of Broadcom from $315.00 to $385.00 and gave the company a "buy" rating in a research note on Friday, September 5th. Finally, Redburn Atlantic started coverage on shares of Broadcom in a research note on Wednesday, May 28th. They issued a "buy" rating and a $301.00 target price for the company. Three equities research analysts have rated the stock with a Strong Buy rating, twenty-nine have issued a Buy rating and one has assigned a Hold rating to the company's stock. According to data from MarketBeat.com, Broadcom presently has a consensus rating of "Buy" and an average price target of $356.48.

Broadcom Stock Down 1.8%

Broadcom stock opened at $338.79 on Tuesday. The company has a market cap of $1.60 trillion, a P/E ratio of 86.43, a price-to-earnings-growth ratio of 1.91 and a beta of 1.16. Broadcom Inc. has a 1-year low of $138.10 and a 1-year high of $374.23. The company has a fifty day simple moving average of $309.32 and a 200 day simple moving average of $249.20. The company has a current ratio of 1.50, a quick ratio of 1.37 and a debt-to-equity ratio of 0.86.

Broadcom (NASDAQ:AVGO - Get Free Report) last released its earnings results on Thursday, September 4th. The semiconductor manufacturer reported $1.69 earnings per share for the quarter, beating analysts' consensus estimates of $1.66 by $0.03. The business had revenue of $15.95 billion during the quarter, compared to the consensus estimate of $15.82 billion. Broadcom had a net margin of 31.59% and a return on equity of 36.60%. The firm's revenue for the quarter was up 22.0% compared to the same quarter last year. During the same quarter last year, the firm earned $1.24 earnings per share. Broadcom has set its Q4 2025 guidance at EPS. Research analysts anticipate that Broadcom Inc. will post 5.38 earnings per share for the current fiscal year.

Broadcom Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, September 30th. Shareholders of record on Monday, September 22nd will be paid a $0.59 dividend. The ex-dividend date is Monday, September 22nd. This represents a $2.36 dividend on an annualized basis and a yield of 0.7%. Broadcom's dividend payout ratio (DPR) is currently 60.20%.

Insider Transactions at Broadcom

In other Broadcom news, CEO Hock E. Tan sold 148,154 shares of the stock in a transaction on Wednesday, September 10th. The shares were sold at an average price of $336.67, for a total value of $49,879,007.18. Following the completion of the sale, the chief executive officer owned 825,998 shares in the company, valued at $278,088,746.66. This trade represents a 15.21% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, insider Charlie B. Kawwas sold 3,893 shares of the stock in a transaction on Wednesday, September 17th. The shares were sold at an average price of $347.82, for a total transaction of $1,354,063.26. Following the completion of the sale, the insider owned 25,295 shares of the company's stock, valued at approximately $8,798,106.90. This represents a 13.34% decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have acquired 3,550 shares of company stock valued at $1,227,869 and have sold 714,172 shares valued at $204,311,160. 2.00% of the stock is owned by insiders.

Broadcom Profile

Broadcom Inc designs, develops, and supplies various semiconductor devices with a focus on complex digital and mixed signal complementary metal oxide semiconductor based devices and analog III-V based products worldwide. The company operates in two segments, Semiconductor Solutions and Infrastructure Software.

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