Zweig DiMenna Associates LLC Sells 142,780 Shares of Broadcom Inc. $AVGO

Key Points

• Zweig DiMenna Associates LLC sharply reduced its Broadcom stake by 67.2% in the first quarter, selling 142,780 shares and leaving it with 69,600 shares worth about $21.5 million.
• Wall Street sentiment remains broadly positive on Broadcom, with multiple firms raising price targets and the consensus rating staying at Moderate Buy; the average target price is $493.24.
• Broadcom is seeing both support and pressure from the market: recent earnings beat expectations and revenue rose 47.9% year over year, but the stock is also facing scrutiny over valuation, an AI-led semiconductor selloff, and an EU antitrust review tied to VMware licensing changes.

Zweig DiMenna Associates LLC cut its holdings in Broadcom Inc. (NASDAQ:AVGO - Free Report) by 67.2% during the first quarter, according to its most recent Form 13F filing with the SEC. The firm owned 69,600 shares of the semiconductor manufacturer's stock after selling 142,780 shares during the period. Broadcom accounts for approximately 3.0% of Zweig DiMenna Associates LLC's portfolio, making the stock its 9th biggest holding. Zweig DiMenna Associates LLC's holdings in Broadcom were worth $21,542,000 at the end of the most recent quarter.

Other hedge funds have also recently added to or reduced their stakes in the company. ROSS JOHNSON & Associates LLC raised its stake in Broadcom by 1,320.0% during the 4th quarter. ROSS JOHNSON & Associates LLC now owns 71 shares of the semiconductor manufacturer's stock valued at $25,000 after purchasing an additional 66 shares during the last quarter. SWAN Capital LLC grew its position in Broadcom by 261.9% in the 4th quarter. SWAN Capital LLC now owns 76 shares of the semiconductor manufacturer's stock worth $26,000 after purchasing an additional 55 shares during the last quarter. Networth Advisors LLC grew its position in Broadcom by 546.2% in the 1st quarter. Networth Advisors LLC now owns 84 shares of the semiconductor manufacturer's stock worth $26,000 after purchasing an additional 71 shares during the last quarter. Miller Global Investments LLC bought a new position in shares of Broadcom during the 4th quarter worth about $31,000. Finally, Nvest Wealth Strategies Inc. bought a new position in shares of Broadcom during the 4th quarter worth about $33,000. Institutional investors own 76.43% of the company's stock.

Wall Street Analysts Forecast Growth

Several research firms recently weighed in on AVGO. Cantor Fitzgerald reiterated an "overweight" rating and issued a $525.00 target price on shares of Broadcom in a research note on Thursday, June 4th. Benchmark boosted their price target on Broadcom from $485.00 to $545.00 and gave the company a "buy" rating in a research note on Thursday, June 4th. Weiss Ratings upgraded Broadcom from a "buy (b-)" rating to a "buy (b)" rating in a research note on Wednesday. Susquehanna reaffirmed a "positive" rating and issued a $490.00 price target (up from $450.00) on shares of Broadcom in a report on Thursday, May 28th. Finally, Mizuho raised their price objective on Broadcom from $480.00 to $530.00 and gave the stock an "outperform" rating in a research report on Thursday, June 4th. One research analyst has rated the stock with a Strong Buy rating, twenty-eight have issued a Buy rating and four have issued a Hold rating to the company. According to MarketBeat, Broadcom has a consensus rating of "Moderate Buy" and an average target price of $493.24.

Broadcom News Roundup

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Standard Chartered chose Broadcom to support a long-term modernization of its global banking infrastructure, underscoring Broadcom’s role in secure private-cloud and enterprise networking solutions. Standard Chartered Selects Broadcom to Deliver Secure, Always-On Banking Services at Global Scale
• Positive Sentiment: Wall Street commentary continues to describe Broadcom as a core AI beneficiary, and some analysts have raised price targets even after the stock pullback. As Shares Fall, Analyst Are Boosting Their Broadcom Price Targets
• Neutral Sentiment: Broadcom remains a major talking point in AI-focused market coverage, with some investors viewing it as an indicator for the broader market and semiconductor cycle. Jim Cramer Says Broadcom Will Tell You When the Market Is About to Turn
• Negative Sentiment: Broadcom is facing renewed skepticism around valuation, with one report asking whether the AI story has made the stock too expensive. Has Broadcom Become Too Expensive for Its AI Story?
• Negative Sentiment: The stock is also being hit by a broader selloff in semiconductor names as investors rotate away from AI-capex winners and worry about a slowdown in chip spending. Marvell Drops 8% as AI Capex Slowdown Fears Weigh on Chips; Broadcom, AMD, and Intel Slide
• Negative Sentiment: Broadcom is also dealing with regulatory uncertainty after reports said it faces an EU antitrust review tied to VMware licensing changes. Broadcom (AVGO) Faces EU Antitrust Review Over VMware Licensing Changes

Insider Buying and Selling

In other news, insider Mark David Brazeal sold 25,000 shares of the company's stock in a transaction that occurred on Friday, July 10th. The stock was sold at an average price of $401.33, for a total value of $10,033,250.00. Following the sale, the insider directly owned 194,989 shares in the company, valued at approximately $78,254,935.37. This represents a 11.36% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. Also, Director Harry L. You bought 1,000 shares of the company's stock in a transaction dated Thursday, June 11th. The stock was bought at an average cost of $373.57 per share, with a total value of $373,570.00. Following the completion of the acquisition, the director owned 38,466 shares in the company, valued at $14,369,743.62. This represents a 2.67% increase in their position. The SEC filing for this purchase provides additional information. In the last 90 days, insiders have sold 61,644 shares of company stock valued at $24,016,214. 1.90% of the stock is currently owned by company insiders.

Broadcom Price Performance

NASDAQ:AVGO opened at $370.83 on Friday. The company has a 50-day moving average of $401.29 and a 200-day moving average of $365.31. The company has a market capitalization of $1.76 trillion, a price-to-earnings ratio of 61.81, a PEG ratio of 0.65 and a beta of 1.45. Broadcom Inc. has a 52 week low of $273.00 and a 52 week high of $495.00. The company has a debt-to-equity ratio of 0.71, a quick ratio of 2.01 and a current ratio of 2.24.

Broadcom (NASDAQ:AVGO - Get Free Report) last issued its earnings results on Wednesday, June 3rd. The semiconductor manufacturer reported $2.44 earnings per share for the quarter, beating the consensus estimate of $2.40 by $0.04. Broadcom had a net margin of 38.85% and a return on equity of 41.61%. The business had revenue of $22.19 billion for the quarter, compared to analyst estimates of $22.13 billion. During the same period in the previous year, the business earned $1.58 EPS. The firm's revenue was up 47.9% on a year-over-year basis. As a group, equities research analysts anticipate that Broadcom Inc. will post 10.24 earnings per share for the current fiscal year.

Broadcom Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, June 30th. Shareholders of record on Monday, June 22nd were issued a dividend of $0.65 per share. This represents a $2.60 dividend on an annualized basis and a yield of 0.7%. The ex-dividend date of this dividend was Monday, June 22nd. Broadcom's payout ratio is presently 43.33%.

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.