Broadcom Inc. $AVGO Stock: Penobscot Investment Management Company Inc. Lowers Holdings

Penobscot Investment Management Company Inc. lessened its position in Broadcom Inc. (NASDAQ:AVGO) by 4.7% during the 3rd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 147,001 shares of the semiconductor manufacturer’s stock after selling 7,320 shares during the quarter. Broadcom comprises about 3.6% of Penobscot Investment Management Company Inc.’s investment portfolio, making the stock its 4th biggest position. Penobscot Investment Management Company Inc.’s holdings in Broadcom were worth $51,625,000 at the end of the most recent reporting period.

A number of other large investors also recently modified their holdings of AVGO. State Street Corp boosted its holdings in Broadcom by 8.7% in 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 purchasing an additional 16,651,378 shares during the period. Bank of America Corp DE raised its holdings in shares of Broadcom by 4.6% in the 2nd 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 in the last quarter. Wellington Management Group LLP lifted its holdings in shares of Broadcom by 3.8% during 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 during the period. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its position 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 valued at $15,178,195,000 after buying an additional 1,140,598 shares in the last quarter. Finally, Legal & General Group Plc bought a new stake in Broadcom during the 2nd quarter worth approximately $11,998,148,000. 76.43% of the stock is currently owned by institutional investors and hedge funds.

Key Broadcom News

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: DA Davidson upgraded Broadcom to Buy from Neutral and raised its price target to $400 from $350. The firm cited Broadcom’s exposure to major AI customers, including Anthropic and potentially OpenAI. Broadcom Falls Despite DA Davidson Upgrade
• Positive Sentiment: A $63 billion financing arrangement is expected to fund purchases of Broadcom AI hardware for Anthropic. The deal provides a potentially large, funded customer for Broadcom’s custom-chip and networking business, although the company could face substantial obligations under the agreement’s backstop. Broadcom’s $63 Billion Anthropic Deal
• Positive Sentiment: Longer-term investment theses remain favorable: Broadcom projects AI semiconductor revenue of approximately $115 billion in fiscal 2027 and $230 billion in fiscal 2028. Meta’s planned financing for its AI expansion could also support additional demand for Broadcom’s custom silicon and networking products. Meta Financing Plan and Broadcom
• Neutral Sentiment: Broadcom is trading well below its record high and below its 50-day and 200-day moving averages. Analysts see upside, but valuation remains demanding, making execution of the AI growth forecast particularly important.
• Negative Sentiment: Intel’s weaker-than-expected forecast prompted investors to reassess semiconductor demand. Concerns were reinforced by Amazon’s results and the rising cost of building AI infrastructure, pressuring AI-exposed chip stocks broadly. Why Intel, AMD and Broadcom Are Falling
• Negative Sentiment: The Anthropic transaction also carries execution and financial-risk questions. Investors are waiting to see whether Broadcom can manufacture and deliver the required hardware at scale before fully crediting the projected revenue. Broadcom’s Anthropic Deal and Execution Risk

Wall Street Analysts Forecast Growth

Several research firms have weighed in on AVGO. HC Wainwright started coverage on shares of Broadcom in a research report on Tuesday. They issued a “buy” rating for the company. Citigroup lowered shares of Broadcom from a “buy” rating to a “neutral” rating in a report on Tuesday. William Blair cut Broadcom from an “outperform” rating to a “market perform” rating in a report on Tuesday. Arete Research increased their target price on Broadcom from $488.00 to $530.00 and gave the stock a “buy” rating in a report on Tuesday, July 21st. Finally, Erste Group Bank lowered shares of Broadcom from a “buy” rating to a “hold” rating in a research report on Tuesday, July 7th. One research analyst has rated the stock with a Strong Buy rating, thirty-nine have assigned a Buy rating and five have issued a Hold rating to the stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $530.52.

Broadcom Price Performance

Broadcom stock opened at $326.08 on Friday. 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 company has a market capitalization of $1.56 trillion, a price-to-earnings ratio of 41.65 and a beta of 1.46. The stock’s 50 day moving average is $352.81 and its 200-day moving average is $366.96. Broadcom Inc. has a 12 month low of $289.96 and a 12 month high of $495.00.

Broadcom (NASDAQ:AVGO) last posted its earnings results on Wednesday, September 2nd. The semiconductor manufacturer reported $3.32 earnings per share 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 company had revenue of $29.59 billion during the quarter, compared to the consensus estimate of $29.24 billion. During the same quarter last year, the firm earned $1.69 earnings per share. The company’s revenue was up 85.5% on a year-over-year basis. Equities research analysts expect that Broadcom Inc. will post 10.37 EPS for the current year.

Broadcom Announces Dividend

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

Broadcom Profile

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.