PDT Partners LLC Buys New Position in Broadcom Inc. $AVGO

PDT Partners LLC purchased a new position in Broadcom Inc. (NASDAQ:AVGO) in the second quarter, according to its most recent disclosure with the SEC. The institutional investor purchased 15,200 shares of the semiconductor manufacturer’s stock, valued at approximately $5,742,000.

A number of other hedge funds have also made changes to their positions in AVGO. Palisade Capital Management LP acquired a new stake in Broadcom in the second quarter worth approximately $30,300,000. Cooper Haims Advisors LLC acquired a new position in shares of Broadcom during the 2nd quarter valued at $630,000. Canada Pension Plan Investment Board bought a new stake in shares of Broadcom in the 2nd quarter worth $4,920,178,000. Castleark Management LLC bought a new stake in shares of Broadcom in the 2nd quarter worth $92,132,000. Finally, Osterweis Capital Management Inc. acquired a new stake in shares of Broadcom in the second quarter valued at $51,131,000. Institutional investors and hedge funds own 76.43% of the company’s stock.

Analyst Ratings Changes

Several brokerages recently weighed in on AVGO. DA Davidson set a $350.00 target price on Broadcom and gave the company a “neutral” rating in a research note on Friday. Deutsche Bank Aktiengesellschaft reissued a “buy” rating and issued a $515.00 price target (up from $430.00) on shares of Broadcom in a report on Thursday, June 4th. JPMorgan Chase & Co. raised their price objective on shares of Broadcom from $500.00 to $580.00 and gave the company an “overweight” rating in a research report on Thursday, June 4th. Dbs Bank raised shares of Broadcom to a “moderate buy” rating in a research note on Thursday, June 18th. Finally, UBS Group downgraded shares of Broadcom from a “buy” rating to a “hold” rating in a report on Thursday. Thirty-one analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $500.60.

Broadcom Stock Performance

Shares of NASDAQ AVGO opened at $357.89 on Friday. The stock’s fifty day simple moving average is $383.57 and its 200 day simple moving average is $377.23. The stock has a market capitalization of $1.70 trillion, a price-to-earnings ratio of 45.71, a PEG ratio of 0.68 and a beta of 1.44. The company has a quick ratio of 2.01, a current ratio of 2.50 and a debt-to-equity ratio of 0.57. Broadcom Inc. has a 52-week low of $289.96 and a 52-week high of $495.00.

Broadcom (NASDAQ:AVGO) last announced its earnings results on Wednesday, September 2nd. The semiconductor manufacturer reported $3.32 EPS for the quarter, beating the consensus estimate 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 prior year, the business posted $1.69 earnings per share. Broadcom’s revenue was up 85.5% compared to the same quarter last year. As a group, sell-side analysts forecast that Broadcom Inc. will post 10.25 earnings per share for the current fiscal year.

Broadcom Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 30th. Shareholders of record on Monday, September 21st will be paid a dividend of $0.65 per share. The ex-dividend date of this dividend is Monday, September 21st. This represents a $2.60 dividend on an annualized basis and a yield of 0.7%. Broadcom’s dividend payout ratio is currently 33.21%.

Key Headlines Impacting Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Investor interest in Broadcom’s AI opportunity remains strong. AI semiconductor revenue surged 221% year over year to $16.7 billion, while management raised its AI revenue outlook to approximately $115 billion for fiscal 2027 and $230 billion for fiscal 2028. Several analysts and commentators view the selloff as a buying opportunity. The Path to $230 Billion: Broadcom Outlines the Next Phase of Its AI Growth Story
• Positive Sentiment: Analysts continue to see substantial upside despite some target reductions. Truist maintained a buy rating with a $520 target, while other firms cited targets ranging from $575 to $600. Macquarie upgraded Broadcom to Outperform, citing strong custom-chip growth and reduced concerns about customers developing chips internally. These Analysts Increase Their Forecasts On Broadcom Following Upbeat Q3 Earnings
• Positive Sentiment: Unusual options activity provided another bullish trading signal: investors purchased roughly 373,000 call options, about 26% above average call volume. Broadcom also declared a quarterly dividend of $0.65 per share, payable September 30 to eligible shareholders.
• Neutral Sentiment: Broadcom beat quarterly expectations with adjusted earnings of $3.32 per share versus a $3.22 consensus and revenue of $29.59 billion. The company’s long-term AI demand commentary was strong, but investors are focused on whether supply, power, land and data-center construction constraints can limit near-term shipments. Broadcom CEO Says AI Demand Could Be Significantly Higher
• Negative Sentiment: The main pressure remains Broadcom’s fourth-quarter revenue outlook of $34.8 billion, slightly below Wall Street’s roughly $35.0 billion expectation. The modest guidance miss, concerns about margin compression and customer concentration—including major AI customers—caused the initial sell-the-news reaction despite excellent AI growth.
• Negative Sentiment: Third Point disclosed that it exited its remaining Broadcom position during the second quarter. Although the holding was relatively small, the sale adds to caution around elevated valuation and expectations for the AI-chip cycle.

Insider Activity

In other Broadcom news, insider Mark Brazeal sold 25,000 shares of the firm’s stock in a transaction dated Friday, July 10th. The shares were sold at an average price of $401.33, for a total value of $10,033,250.00. Following the completion of the transaction, the insider directly owned 194,989 shares in the company, valued at $78,254,935.37. This trade represents a 11.36% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, Director Justine Page sold 1,602 shares of Broadcom stock in a transaction that occurred on Monday, June 29th. The stock was sold at an average price of $373.86, for a total transaction of $598,923.72. Following the completion of the transaction, the director directly owned 17,426 shares in the company, valued at approximately $6,514,884.36. This trade represents a 8.42% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders have sold 61,644 shares of company stock valued at $24,016,214. Corporate insiders own 1.90% 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 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.