Wealth Enhancement Trust Services Inc. Sells 3,648 Shares of Broadcom Inc. $AVGO

Key Points

• Wealth Enhancement Trust Services reduced its Broadcom holdings by 15.2%, selling 3,648 shares and retaining 20,356 shares valued at approximately $7.15 million. Institutional investors collectively own 76.43% of Broadcom.
• Broadcom reported quarterly revenue of $29.59 billion, up 85.5% year over year, and earnings of $3.32 per share, exceeding analyst expectations. The company also maintains a quarterly dividend of $0.65 per share.
• Analysts remain bullish, with a consensus “Moderate Buy” rating and an average price target of $527.20, driven by strong AI-chip demand. However, investors remain concerned about elevated valuation and potential credit or “circular financing” risks tied to AI customer financing arrangements.

Wealth Enhancement Trust Services Inc. decreased its holdings in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 15.2% in the 3rd quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 20,356 shares of the semiconductor manufacturer's stock after selling 3,648 shares during the quarter. Wealth Enhancement Trust Services Inc.'s holdings in Broadcom were worth $7,149,000 at the end of the most recent reporting period.

Other large investors have also recently added to or reduced their stakes in the company. State Street Corp grew its stake in Broadcom by 8.7% during the 2nd quarter. State Street Corp now owns 208,031,610 shares of the semiconductor manufacturer's stock worth $75,367,711,000 after purchasing an additional 16,651,378 shares in the last quarter. Bank of America Corp DE increased its stake in shares of Broadcom by 4.6% during the second quarter. Bank of America Corp DE now owns 61,423,013 shares of the semiconductor manufacturer's stock worth $23,202,543,000 after buying an additional 2,685,916 shares during the period. Wellington Management Group LLP raised its holdings in Broadcom by 3.8% in the second quarter. Wellington Management Group LLP now owns 51,580,703 shares of the semiconductor manufacturer's stock valued at $19,484,611,000 after acquiring an additional 1,892,721 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its stake in Broadcom by 2.9% in the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 40,180,530 shares of the semiconductor manufacturer's stock worth $15,178,195,000 after acquiring an additional 1,140,598 shares during the last quarter. Finally, Legal & General Group Plc acquired a new position in shares of Broadcom during the second quarter worth $11,998,148,000. 76.43% of the stock is owned by hedge funds and other institutional investors.

Insider Activity at Broadcom

In other news, insider Mark Brazeal sold 25,000 shares of the business's stock in a transaction that occurred on Friday, July 10th. The shares were sold at an average price of $401.33, for a total value of $10,033,250.00. Following the completion of the transaction, the insider owned 194,989 shares of the company's stock, valued at $78,254,935.37. The trade was a 11.36% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. 1.90% of the stock is currently owned by company insiders.

Analysts Set New Price Targets

Several brokerages have commented on AVGO. Piper Sandler initiated coverage on shares of Broadcom in a research note on Wednesday, September 9th. They issued an "overweight" rating and a $460.00 price target on the stock. DA Davidson set a $350.00 target price on Broadcom and gave the stock a "neutral" rating in a research report on Friday, September 4th. Citigroup reissued a "buy" rating and issued a $515.00 target price (up from $500.00) on shares of Broadcom in a report on Friday, September 4th. JPMorgan Chase & Co. restated a "buy" rating on shares of Broadcom in a research note on Thursday, September 3rd. Finally, Arete Research increased their price objective on Broadcom from $488.00 to $530.00 and gave the company a "buy" rating in a report on Tuesday, July 21st. One investment analyst has rated the stock with a Strong Buy rating, thirty-seven have assigned a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat.com, Broadcom presently has an average rating of "Moderate Buy" and an average target price of $527.20.

Trending Headlines about Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom’s AI growth narrative remains the primary catalyst. Reports highlighted projected AI semiconductor revenue of approximately $58 billion in 2026, $115 billion in 2027, and $230 billion in 2028, supported by custom accelerators and networking demand from major cloud customers. Broadcom AI financing plan article
• Positive Sentiment: The company’s reported financing plans for Anthropic—including potentially tens of billions of dollars in loans and chip-leasing arrangements—could help customers fund large AI deployments and expand Broadcom’s future chip sales. Separate reporting that Oracle, Broadcom, and SpaceX are seeking multibillion-dollar debt deals underscores the scale of AI infrastructure demand. AI chip debt financing article
• Positive Sentiment: CEO Hock Tan defended Broadcom’s roughly $350 billion AI opportunity, arguing that inference-focused customer relationships support continued demand even as some industry participants call for slower frontier-AI development. Analysts and bullish investors also point to potential earnings growth of 71% in fiscal 2026 and 66% in fiscal 2027. Broadcom CEO AI outlook article
• Positive Sentiment: Unusually heavy call-option activity and Cathie Wood’s reported $13 million purchase provided additional bullish sentiment. Marvell Technology’s aggressive custom-chip outlook also reinforces the broader market case for custom AI silicon, an area where Broadcom is a leading supplier. Cathie Wood Broadcom purchase article
• Neutral Sentiment: Technical analysts describe a bullish reversal with a possible path toward the prior $495 high, but this is market commentary rather than a fundamental change in Broadcom’s business. Broadcom price forecast article
• Negative Sentiment: Investors remain concerned that Broadcom’s AI financing arrangements could create “circular financing” or credit exposure if customers rely on debt and leasing to purchase its chips. The stock’s elevated valuation also leaves limited room for weaker AI spending or execution.

Broadcom Stock Performance

Shares of Broadcom stock traded up $0.70 during trading hours on Wednesday, hitting $376.51. 17,978,078 shares of the company were exchanged, compared to its average volume of 25,119,090. Broadcom Inc. has a 1 year low of $289.96 and a 1 year high of $495.00. The stock has a market capitalization of $1.80 trillion, a price-to-earnings ratio of 48.09 and a beta of 1.46. 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 business has a 50-day moving average of $372.35 and a 200-day moving average of $382.17.

Broadcom (NASDAQ:AVGO - Get Free Report) last issued its earnings results on Wednesday, September 2nd. The semiconductor manufacturer reported $3.32 earnings per share for the quarter, topping the consensus estimate of $3.22 by $0.10. Broadcom had a net margin of 42.94% and a return on equity of 48.33%. The company had revenue of $29.59 billion for the quarter, compared to analyst estimates of $29.24 billion. During the same period in the prior year, the business posted $1.69 earnings per share. The firm's revenue for the quarter was up 85.5% compared to the same quarter last year. As a group, analysts expect that Broadcom Inc. will post 10.37 EPS for the current fiscal year.

Broadcom Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, September 30th. Shareholders of record on Monday, September 21st were paid a dividend of $0.65 per share. This represents a $2.60 annualized dividend and a dividend yield of 0.7%. The ex-dividend date of this dividend was Monday, September 21st. Broadcom's dividend payout ratio (DPR) is currently 33.21%.

Broadcom Company Profile

Broadcom Inc NASDAQ: AVGO is a global technology company that designs, develops, and supplies semiconductor and infrastructure software products. Its semiconductor solutions support wired and wireless communications, data center networking, broadband access, storage, industrial applications, and other markets.

The company's semiconductor portfolio includes networking and switching products, custom application-specific integrated circuits, wireless connectivity components, radio-frequency devices, optical components, and storage-related solutions.

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