YHB Investment Advisors Inc. Grows Holdings in Broadcom Inc. $AVGO

Key Points

• YHB Investment Advisors increased its Broadcom stake by 76.7% in the third quarter, reaching 34,023 shares valued at approximately $11.95 million. Institutional investors collectively own 76.43% of Broadcom’s outstanding stock.
• Broadcom shares fell 4.0% to $361.33, while the company reported quarterly EPS of $3.32 and revenue of $29.59 billion, exceeding analyst estimates. Broadcom also maintains a quarterly dividend of $0.65, equating to a 0.7% annualized yield.
• The company’s AI growth outlook remains strong, including potential financing exceeding $50 billion for custom chips developed with OpenAI, but investors face concerns about customer concentration, credit exposure and elevated valuation. Analysts maintain a broadly positive view, with a consensus “Moderate Buy” rating and a $527.20 price target.

YHB Investment Advisors Inc. increased its stake in shares of Broadcom Inc. (NASDAQ:AVGO - Free Report) by 76.7% in the third quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 34,023 shares of the semiconductor manufacturer's stock after acquiring an additional 14,772 shares during the quarter. YHB Investment Advisors Inc.'s holdings in Broadcom were worth $11,949,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds also recently bought and sold shares of the stock. Legal & General Group Plc purchased a new position in shares of Broadcom during the second quarter valued at about $11,998,148,000. Bank of New York Mellon Corp bought a new position in Broadcom during the second quarter valued at approximately $10,528,191,000. Jupiter Topco LLC purchased a new position in Broadcom during the 2nd quarter valued at approximately $7,396,271,000. State Street Corp grew its holdings in Broadcom by 8.7% during the 2nd quarter. State Street Corp now owns 208,031,610 shares of the semiconductor manufacturer's stock valued at $75,367,711,000 after buying an additional 16,651,378 shares in the last quarter. Finally, Deutsche Bank AG bought a new stake in Broadcom in the 2nd quarter worth approximately $5,661,216,000. 76.43% of the stock is currently owned by institutional investors.

Broadcom Trading Down 4.0%

Shares of AVGO traded down $15.18 during mid-day trading on Thursday, reaching $361.33. 12,469,466 shares of the company's stock traded hands, compared to its average volume of 25,045,338. Broadcom Inc. has a 12 month low of $289.96 and a 12 month high of $495.00. The stock has a market cap of $1.72 trillion, a P/E ratio of 46.14 and a beta of 1.46. The stock's 50-day moving average is $372.35 and its two-hundred day moving average is $382.17. The company has a debt-to-equity ratio of 0.57, a current ratio of 2.50 and a quick ratio of 2.29.

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

Broadcom Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, September 30th. Shareholders of record on Monday, September 21st were paid a $0.65 dividend. This represents a $2.60 dividend on an annualized basis and a yield of 0.7%. The ex-dividend date was Monday, September 21st. Broadcom's dividend payout ratio is currently 33.21%.

Key Stories Impacting Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom is reportedly arranging more than $50 billion in financing for custom AI chips being developed with OpenAI. The size of the proposed deal highlights strong expected demand for Broadcom’s custom accelerators and could materially expand its AI revenue opportunity. Apollo Global Management and Blackstone are among the potential lenders, although discussions remain preliminary. Broadcom seeks more than $50 billion to finance OpenAI AI chips
• Positive Sentiment: At the 2026 OCP Global Summit, Broadcom showcased networking technologies designed to support scale-up, scale-out and scale-across AI clusters. The announcements reinforce its position as a supplier of both custom AI silicon and the networking infrastructure needed by hyperscale data centers. Broadcom Redefines AI Infrastructure with Industry-Leading Networking Innovations
• Neutral Sentiment: Options activity was unusually bullish, with investors purchasing approximately 426,000 AVGO call options—about 34% above average volume. This signals speculative optimism but does not change Broadcom’s underlying financial outlook.
• Negative Sentiment: Investors are concerned that financing tens of billions of dollars for AI chips could increase credit and customer-concentration risk. Critics also warn that chips may become obsolete before long-term loans mature, potentially leaving Broadcom or its customers exposed if AI spending slows. The uncertainty is particularly significant because Broadcom trades at roughly 46 times earnings and has already delivered substantial AI-driven growth expectations.

Analyst Upgrades and Downgrades

A number of research analysts have recently commented on the company. Bank of America lowered their target price on Broadcom from $530.00 to $460.00 and set a "buy" rating for the company in a research report on Thursday, September 3rd. The Goldman Sachs Group upped their price target on shares of Broadcom from $525.00 to $540.00 and gave the company a "buy" rating in a research note on Thursday, September 3rd. Wall Street Zen lowered shares of Broadcom from a "strong-buy" rating to a "buy" rating in a research report on Saturday, July 18th. HSBC reduced their target price on shares of Broadcom from $600.00 to $560.00 and set a "buy" rating on the stock in a report on Thursday, September 3rd. Finally, KeyCorp restated an "overweight" rating and set a $575.00 target price on shares of Broadcom in a research report on Thursday, September 3rd. One investment analyst has rated the stock with a Strong Buy rating, thirty-seven have issued a Buy rating and three have given a Hold rating to the company's stock. According to MarketBeat.com, Broadcom presently has a consensus rating of "Moderate Buy" and a consensus price target of $527.20.

Insider Buying and Selling

In other news, insider Mark Brazeal sold 25,000 shares of the firm'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 transaction of $10,033,250.00. Following the transaction, the insider directly owned 194,989 shares of the company's stock, valued at approximately $78,254,935.37. This trade represents a 11.36% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. 1.90% of the stock is owned by corporate insiders.

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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