Van Hulzen Asset Management LLC Invests $39.10 Million in Broadcom Inc. $AVGO

Key Points

• Van Hulzen Asset Management purchased 103,516 Broadcom shares worth approximately $39.1 million, making AVGO its fourth-largest holding at 2.8% of the portfolio. Institutional investors collectively own 76.43% of the stock.
• Broadcom exceeded quarterly expectations with adjusted EPS of $3.32 and revenue of $29.59 billion, up 85.5% year over year. AI semiconductor revenue surged 221% to $16.7 billion, though supply constraints and customer concentration remain concerns.
• Analysts maintain a broadly positive outlook, with a “Moderate Buy” consensus and average price target of $500.60, but the company’s slightly light fourth-quarter revenue guidance and valuation have fueled volatility. Broadcom also declared a quarterly dividend of $0.65 per share.

Van Hulzen Asset Management LLC purchased a new stake in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) during the second quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The firm purchased 103,516 shares of the semiconductor manufacturer's stock, valued at approximately $39,103,000. Broadcom makes up about 2.8% of Van Hulzen Asset Management LLC's investment portfolio, making the stock its 4th largest position.

Other hedge funds and other institutional investors have also added to or reduced their stakes in the company. Cornerstone Advisors LLC purchased a new position in shares of Broadcom in the 2nd quarter worth about $92,522,000. Bank of America Corp DE grew its position in Broadcom by 1.5% during the first quarter. Bank of America Corp DE now owns 58,737,097 shares of the semiconductor manufacturer's stock valued at $18,179,719,000 after buying an additional 894,564 shares during the period. Clear Harbor Asset Management LLC purchased a new stake in Broadcom during the second quarter worth about $3,302,000. Bartlett & CO. Wealth Management LLC raised its position in Broadcom by 129.3% in the first quarter. Bartlett & CO. Wealth Management LLC now owns 110,048 shares of the semiconductor manufacturer's stock worth $34,061,000 after acquiring an additional 62,050 shares during the period. Finally, First Bank & Trust raised its position in Broadcom by 17.2% in the second quarter. First Bank & Trust now owns 10,503 shares of the semiconductor manufacturer's stock worth $3,968,000 after acquiring an additional 1,545 shares during the period. 76.43% of the stock is currently owned by hedge funds and other institutional investors.

Key Broadcom News

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Investor interest in Broadcom’s AI opportunity remains strong. AI semiconductor revenue surged 221% year over year to $16.7 billion, while management raised its AI revenue outlook to approximately $115 billion for fiscal 2027 and $230 billion for fiscal 2028. Several analysts and commentators view the selloff as a buying opportunity. The Path to $230 Billion: Broadcom Outlines the Next Phase of Its AI Growth Story
• Positive Sentiment: Analysts continue to see substantial upside despite some target reductions. Truist maintained a buy rating with a $520 target, while other firms cited targets ranging from $575 to $600. Macquarie upgraded Broadcom to Outperform, citing strong custom-chip growth and reduced concerns about customers developing chips internally. These Analysts Increase Their Forecasts On Broadcom Following Upbeat Q3 Earnings
• Positive Sentiment: Unusual options activity provided another bullish trading signal: investors purchased roughly 373,000 call options, about 26% above average call volume. Broadcom also declared a quarterly dividend of $0.65 per share, payable September 30 to eligible shareholders.
• Neutral Sentiment: Broadcom beat quarterly expectations with adjusted earnings of $3.32 per share versus a $3.22 consensus and revenue of $29.59 billion. The company’s long-term AI demand commentary was strong, but investors are focused on whether supply, power, land and data-center construction constraints can limit near-term shipments. Broadcom CEO Says AI Demand Could Be Significantly Higher
• Negative Sentiment: The main pressure remains Broadcom’s fourth-quarter revenue outlook of $34.8 billion, slightly below Wall Street’s roughly $35.0 billion expectation. The modest guidance miss, concerns about margin compression and customer concentration—including major AI customers—caused the initial sell-the-news reaction despite excellent AI growth.
• Negative Sentiment: Third Point disclosed that it exited its remaining Broadcom position during the second quarter. Although the holding was relatively small, the sale adds to caution around elevated valuation and expectations for the AI-chip cycle.

Insider Activity at Broadcom

In related news, Director Gayla Delly sold 1,890 shares of the firm's stock in a transaction that occurred on Wednesday, July 8th. The shares were sold at an average price of $385.38, for a total value of $728,368.20. Following the sale, the director directly owned 31,326 shares of the company's stock, valued at $12,072,413.88. This trade represents a 5.69% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Justine Page sold 1,602 shares of Broadcom stock in a transaction that occurred on Monday, June 29th. The shares were sold at an average price of $373.86, for a total transaction of $598,923.72. Following the sale, the director owned 17,426 shares of the company's stock, valued at approximately $6,514,884.36. The trade was a 8.42% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 61,644 shares of company stock valued at $24,016,214 in the last ninety days. 1.90% of the stock is currently owned by company insiders.

Broadcom Trading Up 0.2%

NASDAQ:AVGO opened at $357.89 on Friday. The company has a market cap of $1.70 trillion, a P/E ratio of 45.71, a P/E/G ratio of 0.68 and a beta of 1.44. The stock's fifty day moving average price is $383.57 and its two-hundred day moving average price is $377.23. Broadcom Inc. has a 1 year low of $289.96 and a 1 year high of $495.00. The company has a debt-to-equity ratio of 0.57, a current ratio of 2.50 and a quick ratio of 2.01.

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 for the quarter, beating the consensus estimate of $3.22 by $0.10. Broadcom had a return on equity of 48.33% and a net margin of 42.94%.The firm had revenue of $29.59 billion for the quarter, compared to analysts' expectations of $29.24 billion. During the same period in the prior year, the business posted $1.69 earnings per share. The company's revenue was up 85.5% on a year-over-year basis. As a group, analysts expect that Broadcom Inc. will post 10.25 EPS for the current year.

Broadcom Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 30th. Investors of record on Monday, September 21st will be given a $0.65 dividend. This represents a $2.60 annualized dividend and a dividend yield of 0.7%. The ex-dividend date is Monday, September 21st. Broadcom's dividend payout ratio is 43.33%.

Analysts Set New Price Targets

A number of research analysts have weighed in on the stock. Citigroup reiterated a "buy" rating and issued a $515.00 target price (up from $500.00) on shares of Broadcom in a research note on Friday. Raymond James Financial restated an "outperform" rating and set a $475.00 price target (up from $450.00) on shares of Broadcom in a research note on Thursday. Royal Bank Of Canada initiated coverage on Broadcom in a research note on Thursday. They issued an "outperform" rating on the stock. TD Cowen reissued a "buy" rating and set a $475.00 price objective (down from $500.00) on shares of Broadcom in a report on Thursday. Finally, Zacks Research downgraded Broadcom from a "strong-buy" rating to a "hold" rating in a research report on Thursday, May 21st. Thirty-one research analysts have rated the stock with a Buy rating and four have given a Hold rating to the company's stock. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $500.60.

Broadcom 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.

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.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source