Broadcom (NASDAQ:AVGO) Shares Up 4.1% – Here’s What Happened

Broadcom Inc. (NASDAQ:AVGO) shares rose 4.1% on Wednesday . The company traded as high as $359.69 and last traded at $354.42. Approximately 21,118,931 shares were traded during trading, a decline of 16% from the average daily volume of 25,290,520 shares. The stock had previously closed at $340.50.

Analysts Set New Price Targets

Several equities analysts have recently issued reports on the stock. Piper Sandler raised their price target on shares of Broadcom from $315.00 to $375.00 and gave the company an “overweight” rating in a research note on Friday, September 5th. Wall Street Zen upgraded Broadcom from a “hold” rating to a “buy” rating in a report on Saturday, November 15th. Bank of America lifted their target price on Broadcom from $300.00 to $400.00 and gave the stock a “buy” rating in a report on Friday, September 5th. Arete Research raised Broadcom to a “strong-buy” rating in a research note on Monday, July 28th. Finally, Deutsche Bank Aktiengesellschaft set a $400.00 price objective on Broadcom and gave the stock a “buy” rating in a research report on Tuesday, October 14th. Three analysts have rated the stock with a Strong Buy rating, thirty have assigned a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat, the company presently has a consensus rating of “Buy” and a consensus target price of $374.21.

Broadcom Stock Performance

The stock has a market capitalization of $1.61 trillion, a price-to-earnings ratio of 86.79, a price-to-earnings-growth ratio of 1.19 and a beta of 1.19. The company has a 50 day simple moving average of $348.15 and a 200-day simple moving average of $299.89. The company has a quick ratio of 1.37, a current ratio of 1.50 and a debt-to-equity ratio of 0.86.

Broadcom (NASDAQ:AVGO) last released its quarterly earnings data on Thursday, September 4th. The semiconductor manufacturer reported $1.69 earnings per share for the quarter, beating the consensus estimate of $1.66 by $0.03. Broadcom had a net margin of 31.59% and a return on equity of 36.60%. The company had revenue of $15.95 billion during the quarter, compared to analyst estimates of $15.82 billion. During the same quarter in the previous year, the business posted $1.24 EPS. Broadcom’s revenue for the quarter was up 22.0% compared to the same quarter last year. Broadcom has set its Q4 2025 guidance at EPS. As a group, equities research analysts expect that Broadcom Inc. will post 5.38 EPS for the current fiscal year.

Broadcom Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Tuesday, September 30th. Stockholders of record on Monday, September 22nd were given a dividend of $0.59 per share. This represents a $2.36 dividend on an annualized basis and a dividend yield of 0.7%. The ex-dividend date of this dividend was Monday, September 22nd. Broadcom’s dividend payout ratio is presently 60.20%.

Insider Activity

In related news, CFO Kirsten M. Spears sold 7,498 shares of the company’s stock in a transaction dated Wednesday, September 17th. The shares were sold at an average price of $347.66, for a total value of $2,606,754.68. Following the sale, the chief financial officer owned 313,330 shares in the company, valued at $108,932,307.80. This represents a 2.34% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Hock E. Tan sold 148,154 shares of Broadcom stock in a transaction dated Wednesday, September 10th. The shares were sold at an average price of $336.67, for a total value of $49,879,007.18. Following the transaction, the chief executive officer owned 825,998 shares of the company’s stock, valued at $278,088,746.66. This trade represents a 15.21% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders have acquired 3,550 shares of company stock valued at $1,227,869 and have sold 665,271 shares valued at $225,483,192. Corporate insiders own 2.00% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the stock. CIBC Bancorp USA Inc. bought a new stake in Broadcom during the third quarter worth $399,602,000. Bell Investment Advisors Inc boosted its holdings in Broadcom by 1.9% during the 3rd quarter. Bell Investment Advisors Inc now owns 1,638 shares of the semiconductor manufacturer’s stock worth $540,000 after acquiring an additional 30 shares during the last quarter. Tcfg Wealth Management LLC boosted its holdings in Broadcom by 9.0% during the 3rd quarter. Tcfg Wealth Management LLC now owns 6,315 shares of the semiconductor manufacturer’s stock worth $2,083,000 after acquiring an additional 521 shares during the last quarter. Sulzberger Capital Advisors Inc. grew its stake in shares of Broadcom by 1.6% in the 3rd quarter. Sulzberger Capital Advisors Inc. now owns 5,546 shares of the semiconductor manufacturer’s stock worth $1,830,000 after acquiring an additional 85 shares in the last quarter. Finally, Blue Fin Capital Inc. raised its holdings in shares of Broadcom by 118.7% in the third quarter. Blue Fin Capital Inc. now owns 27,663 shares of the semiconductor manufacturer’s stock valued at $9,126,000 after purchasing an additional 15,017 shares during the last quarter. Institutional investors own 76.43% of the company’s stock.

Broadcom Company Profile

Broadcom Inc designs, develops, and supplies various semiconductor devices with a focus on complex digital and mixed signal complementary metal oxide semiconductor based devices and analog III-V based products worldwide. The company operates in two segments, Semiconductor Solutions and Infrastructure Software.