Broadcom (NASDAQ:AVGO) Stock Falls 1.2% – Here’s Why

Broadcom Inc. (NASDAQ:AVGO)’s stock price dropped 1.2% during trading on Monday. The stock traded as low as $321.87 and last traded at $322.23. Approximately 19,732,664 shares traded hands during mid-day trading, a decline of 21% from the average daily volume of 24,841,568 shares. The stock had previously closed at $326.08.

Analysts Set New Price Targets

A number of equities analysts recently commented on the company. Lake Street Capital upgraded Broadcom to a “buy” rating in a research report on Thursday, September 3rd. JPMorgan Chase & Co. reaffirmed a “buy” rating on shares of Broadcom in a research note on Thursday, September 3rd. KeyCorp reaffirmed an “overweight” rating and issued a $575.00 target price on shares of Broadcom in a research note on Thursday, September 3rd. HC Wainwright started coverage on Broadcom in a report on Tuesday, October 27th. They set a “buy” rating on the stock. Finally, Citigroup cut shares of Broadcom from a “buy” rating to a “neutral” rating in a research report on Tuesday, October 27th. One investment analyst has rated the stock with a Strong Buy rating, thirty-nine have issued a Buy rating and five have assigned a Hold rating to the stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $530.52.

Broadcom Stock Down 1.2%

The company has a quick ratio of 2.29, a current ratio of 2.50 and a debt-to-equity ratio of 0.57. The stock has a market cap of $1.54 trillion, a price-to-earnings ratio of 41.15 and a beta of 1.49. The business’s fifty day moving average is $352.81 and its two-hundred day moving average is $366.96.

Broadcom (NASDAQ:AVGO) last announced its quarterly earnings data on Wednesday, September 2nd. The semiconductor manufacturer reported $3.32 EPS for the quarter, topping analysts’ consensus estimates of $3.22 by $0.10. Broadcom had a return on equity of 48.33% and a net margin of 42.94%. The business had revenue of $29.59 billion during the quarter, compared to the consensus estimate of $29.24 billion. During the same period in the previous year, the company posted $1.69 earnings per share. The business’s revenue for the quarter was up 85.5% on a year-over-year basis. Equities analysts forecast that Broadcom Inc. will post 10.37 earnings per share for the current fiscal year.

Broadcom Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, September 30th. Shareholders of record on Monday, September 21st were issued a dividend of $0.65 per share. The ex-dividend date of this dividend was Monday, September 21st. This represents a $2.60 dividend on an annualized basis and a yield of 0.8%. Broadcom’s dividend payout ratio (DPR) is presently 33.21%.

Hedge Funds Weigh In On Broadcom

Large investors have recently bought and sold shares of the stock. Genesis Private Wealth LLC raised its holdings in Broadcom by 3.6% during the third quarter. Genesis Private Wealth LLC now owns 4,548 shares of the semiconductor manufacturer’s stock worth $1,597,000 after purchasing an additional 158 shares in the last quarter. Gutierrez Wealth Advisory LLC grew its holdings in shares of Broadcom by 141.8% in the 3rd quarter. Gutierrez Wealth Advisory LLC now owns 2,643 shares of the semiconductor manufacturer’s stock worth $928,000 after acquiring an additional 1,550 shares during the period. QTR Family Wealth LLC increased its position in shares of Broadcom by 1.4% in the third quarter. QTR Family Wealth LLC now owns 12,525 shares of the semiconductor manufacturer’s stock valued at $4,399,000 after buying an additional 173 shares in the last quarter. Platform Technology Partners raised its position in Broadcom by 8.9% during the third quarter. Platform Technology Partners now owns 6,022 shares of the semiconductor manufacturer’s stock worth $2,115,000 after acquiring an additional 490 shares during the last quarter. Finally, Capstone Wealth Management LLC lifted its holdings in shares of Broadcom by 18.5% in the third quarter. Capstone Wealth Management LLC now owns 3,358 shares of the semiconductor manufacturer’s stock valued at $1,179,000 after purchasing an additional 525 shares in the last quarter. Institutional investors and hedge funds own 76.43% of the company’s stock.

About Broadcom

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

The company’s semiconductor portfolio includes networking and switching components, custom accelerators, connectivity and wireless devices, broadband equipment, optical products, storage controllers and related infrastructure technologies.