Valeo Financial Advisors LLC Raises Holdings in Broadcom Inc. $AVGO

Key Points

• Valeo Financial Advisors LLC increased its Broadcom stake by 4.6% in the fourth quarter, buying 2,964 additional shares to bring its total to 68,051 shares valued at about $23.6 million.
• Broadcom’s fundamentals remain strong: it reported quarterly EPS of $2.05, topping estimates, on revenue of $19.31 billion, up 29.5% from a year earlier. The company also paid a quarterly dividend of $0.65 per share.
• Analysts remain bullish on AVGO, with several firms raising price targets and MarketBeat showing a consensus “Moderate Buy” rating and an average target of $441.63. Broadcom is also being highlighted as a key AI infrastructure beneficiary, though some notes warn the stock may be a crowded trade.

Valeo Financial Advisors LLC grew its position in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 4.6% during the fourth quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 68,051 shares of the semiconductor manufacturer's stock after buying an additional 2,964 shares during the period. Valeo Financial Advisors LLC's holdings in Broadcom were worth $23,553,000 at the end of the most recent reporting period.

A number of other institutional investors have also recently made changes to their positions in the company. Baring Financial LLC boosted its stake in Broadcom by 2.2% during the fourth quarter. Baring Financial LLC now owns 1,359 shares of the semiconductor manufacturer's stock valued at $470,000 after buying an additional 29 shares during the last quarter. Five Oceans Advisors boosted its stake in Broadcom by 0.4% during the fourth quarter. Five Oceans Advisors now owns 8,191 shares of the semiconductor manufacturer's stock valued at $2,835,000 after buying an additional 29 shares during the last quarter. Jackson Hole Capital Partners LLC boosted its stake in Broadcom by 1.4% during the third quarter. Jackson Hole Capital Partners LLC now owns 2,170 shares of the semiconductor manufacturer's stock valued at $716,000 after buying an additional 30 shares during the last quarter. Private Wealth Partners LLC boosted its stake in Broadcom by 0.7% during the third quarter. Private Wealth Partners LLC now owns 4,273 shares of the semiconductor manufacturer's stock valued at $1,410,000 after buying an additional 30 shares during the last quarter. Finally, Planning Alternatives Ltd. ADV boosted its stake in Broadcom by 1.4% during the third quarter. Planning Alternatives Ltd. ADV now owns 2,168 shares of the semiconductor manufacturer's stock valued at $715,000 after buying an additional 30 shares during the last quarter. Hedge funds and other institutional investors own 76.43% of the company's stock.

Broadcom Trading Down 3.3%

Shares of AVGO stock opened at $425.19 on Friday. Broadcom Inc. has a 1 year low of $221.60 and a 1 year high of $442.36. The company has a debt-to-equity ratio of 0.80, a current ratio of 1.90 and a quick ratio of 1.73. The stock's 50 day simple moving average is $365.61 and its two-hundred day simple moving average is $354.62. The company has a market cap of $2.01 trillion, a PE ratio of 83.05, a price-to-earnings-growth ratio of 0.88 and a beta of 1.43.

Broadcom (NASDAQ:AVGO - Get Free Report) last issued its quarterly earnings data on Wednesday, March 4th. The semiconductor manufacturer reported $2.05 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.03 by $0.02. Broadcom had a return on equity of 38.61% and a net margin of 36.57%.The business had revenue of $19.31 billion for the quarter, compared to the consensus estimate of $19.10 billion. During the same period in the prior year, the business posted $1.60 earnings per share. The company's quarterly revenue was up 29.5% compared to the same quarter last year. Research analysts predict that Broadcom Inc. will post 9.95 earnings per share for the current year.

Broadcom Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, March 31st. Shareholders 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 yield of 0.6%. Broadcom's dividend payout ratio is 50.78%.

Trending Headlines about Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom remains a favored way to play AI infrastructure, with multiple recent articles highlighting its growing exposure to custom AI silicon, data-center networking, and AI semiconductor revenue. Citi also raised its price target to $500, reinforcing optimism ahead of the next earnings report.
• Positive Sentiment: Wells Fargo lifted its price target to $545 and said AI semiconductor revenue is running 30% to 40% above expectations, suggesting Broadcom may still be benefiting from stronger-than-expected hyperscaler spending.
• Positive Sentiment: Recent investor interest has also been supportive, with hedge fund and prominent manager buying cited in several notes, alongside Broadcom being named among top tech stocks to own as AI optimism continues to drive the market.
• Neutral Sentiment: Broadcom was also mentioned in a broader AI rotation piece that argues the next leg of the rally may be in AI bottlenecks such as optics, networking, and memory rather than only the most obvious chip winners. Broadcom was specifically named as one of the companies positioned to benefit from optical interconnect demand.
• Negative Sentiment: UBS warned that AI stocks, including Broadcom, are increasingly crowded trades, raising the risk of a pullback if enthusiasm cools or if investors rotate out of mega-cap semiconductors.
• Negative Sentiment: Some commentary also suggests the AI chip rally may be masking broader market weakness, which can make even strong names like Broadcom vulnerable to profit-taking after a powerful advance.

Insider Buying and Selling at Broadcom

In other news, Director Gayla J. Delly sold 1,000 shares of the stock in a transaction that occurred on Thursday, April 9th. The stock was sold at an average price of $358.31, for a total value of $358,310.00. Following the sale, the director directly owned 32,352 shares in the company, valued at approximately $11,592,045.12. This represents a 3.00% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, insider S. Ram Velaga sold 8,000 shares of the stock in a transaction that occurred on Friday, April 10th. The stock was sold at an average price of $370.52, for a total value of $2,964,160.00. Following the completion of the sale, the insider owned 57,932 shares in the company, valued at approximately $21,464,964.64. The trade was a 12.13% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 324,282 shares of company stock valued at $106,425,249. Corporate insiders own 1.90% of the company's stock.

Wall Street Analysts Forecast Growth

A number of equities analysts recently commented on the company. Benchmark reissued a "buy" rating and set a $485.00 price target on shares of Broadcom in a research note on Thursday, March 5th. Wolfe Research raised Broadcom from a "peer perform" rating to an "outperform" rating and set a $400.00 price target for the company in a research note on Friday, January 30th. Mizuho reissued an "outperform" rating and set a $480.00 price target on shares of Broadcom in a research note on Thursday, April 16th. Morgan Stanley increased their price target on Broadcom from $462.00 to $470.00 and gave the company an "overweight" rating in a research note on Friday, March 6th. Finally, TD Cowen reissued a "buy" rating and set a $500.00 price target (up from $405.00) on shares of Broadcom in a research note on Friday. Two research analysts have rated the stock with a Strong Buy rating, twenty-seven have issued a Buy rating and four have given a Hold rating to the company's stock. According to data from MarketBeat.com, Broadcom currently has a consensus rating of "Moderate Buy" and an average price target of $441.63.

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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