Vanguard Group Inc. Boosts Position in Broadcom Inc. (NASDAQ:AVGO)

Key Points

• Vanguard Group Inc. increased its position in Broadcom Inc. by 0.4%, owning over 477 million shares, which represents 1.4% of its portfolio and makes Broadcom its 7th largest holding.
• Several institutional investors, including Goldman Sachs Group Inc., have also increased their stakes in Broadcom, indicating strong institutional interest in the semiconductor manufacturer.
• Analysts are bullish on Broadcom, with multiple firms raising their target prices, and the stock currently has an average rating of "Buy" with a consensus target price of $294.92.

Vanguard Group Inc. increased its position in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 0.4% during the first quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 477,220,137 shares of the semiconductor manufacturer's stock after purchasing an additional 2,085,534 shares during the period. Broadcom makes up 1.4% of Vanguard Group Inc.'s investment portfolio, making the stock its 7th largest holding. Vanguard Group Inc. owned about 10.15% of Broadcom worth $79,900,968,000 at the end of the most recent quarter.

A number of other large investors also recently modified their holdings of the company. Banco Bilbao Vizcaya Argentaria S.A. raised its stake in shares of Broadcom by 3.8% during the 4th quarter. Banco Bilbao Vizcaya Argentaria S.A. now owns 515,388 shares of the semiconductor manufacturer's stock worth $120,070,000 after purchasing an additional 18,845 shares during the period. PARUS FINANCE UK Ltd grew its holdings in shares of Broadcom by 175.3% during the first quarter. PARUS FINANCE UK Ltd now owns 100,578 shares of the semiconductor manufacturer's stock worth $16,840,000 after purchasing an additional 64,038 shares in the last quarter. Nebula Research & Development LLC boosted its stake in Broadcom by 1,100.8% in the fourth quarter. Nebula Research & Development LLC now owns 15,707 shares of the semiconductor manufacturer's stock worth $3,642,000 after buying an additional 14,399 shares in the last quarter. Keener Financial Planning LLC boosted its stake in Broadcom by 34.8% in the first quarter. Keener Financial Planning LLC now owns 890 shares of the semiconductor manufacturer's stock worth $149,000 after buying an additional 230 shares in the last quarter. Finally, Diversify Wealth Management LLC boosted its stake in Broadcom by 5.6% in the first quarter. Diversify Wealth Management LLC now owns 38,016 shares of the semiconductor manufacturer's stock worth $6,365,000 after buying an additional 2,016 shares in the last quarter. 76.43% of the stock is currently owned by institutional investors.

Insider Activity at Broadcom

In other Broadcom news, Director Henry Samueli sold 473,898 shares of the stock in a transaction dated Wednesday, June 25th. The stock was sold at an average price of $265.33, for a total value of $125,739,356.34. Following the transaction, the director owned 38,188,575 shares of the company's stock, valued at approximately $10,132,574,604.75. This represents a 1.23% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Gayla J. Delly sold 3,000 shares of the stock in a transaction dated Thursday, June 26th. The shares were sold at an average price of $265.13, for a total value of $795,390.00. Following the completion of the transaction, the director directly owned 33,352 shares in the company, valued at approximately $8,842,615.76. This represents a 8.25% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 830,516 shares of company stock valued at $217,224,641 over the last three months. 2.00% of the stock is owned by insiders.

Broadcom Stock Up 3.0%

Shares of NASDAQ AVGO traded up $8.74 during trading on Wednesday, reaching $301.67. The company had a trading volume of 17,275,421 shares, compared to its average volume of 17,267,806. Broadcom Inc. has a 12-month low of $134.90 and a 12-month high of $306.95. The stock has a market cap of $1.42 trillion, a PE ratio of 112.99, a P/E/G ratio of 2.08 and a beta of 1.15. The business's 50-day moving average is $270.33 and its 200 day moving average is $225.92. The company has a quick ratio of 0.98, a current ratio of 1.08 and a debt-to-equity ratio of 0.89.

Broadcom (NASDAQ:AVGO - Get Free Report) last released its earnings results on Thursday, June 5th. The semiconductor manufacturer reported $1.58 EPS for the quarter, topping analysts' consensus estimates of $1.57 by $0.01. Broadcom had a return on equity of 35.49% and a net margin of 22.64%. The firm had revenue of $15 billion for the quarter, compared to analysts' expectations of $14.98 billion. During the same period in the prior year, the firm posted $10.96 earnings per share. The company's quarterly revenue was up 20.2% on a year-over-year basis. As a group, equities analysts forecast that Broadcom Inc. will post 5.38 earnings per share for the current fiscal year.

Broadcom Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Monday, June 30th. Investors of record on Friday, June 20th were given a dividend of $0.59 per share. The ex-dividend date of this dividend was Friday, June 20th. This represents a $2.36 annualized dividend and a dividend yield of 0.8%. Broadcom's dividend payout ratio (DPR) is 88.39%.

Wall Street Analysts Forecast Growth

AVGO has been the subject of several research reports. Redburn Atlantic initiated coverage on Broadcom in a research note on Wednesday, May 28th. They issued a "buy" rating and a $301.00 target price for the company. KeyCorp upped their target price on Broadcom from $315.00 to $330.00 and gave the stock an "overweight" rating in a research note on Tuesday, July 8th. Oppenheimer upped their target price on Broadcom from $265.00 to $305.00 and gave the stock an "outperform" rating in a research note on Tuesday, July 15th. The Goldman Sachs Group began coverage on Broadcom in a research note on Thursday, July 10th. They issued a "buy" rating and a $315.00 target price for the company. Finally, JPMorgan Chase & Co. boosted their price objective on Broadcom from $250.00 to $325.00 and gave the company an "overweight" rating in a research report on Friday, June 6th. One equities research analyst has rated the stock with a hold rating, twenty-seven have issued a buy rating and three have issued a strong buy rating to the company's stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Buy" and a consensus price target of $294.92.

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.