Broadcom (NASDAQ:AVGO) Trading 1.6% Higher on Analyst Upgrade

Broadcom Inc. (NASDAQ:AVGO)’s stock price rose 1.6% during trading on Friday after TD Cowen raised their price target on the stock from $1,500.00 to $1,750.00. TD Cowen currently has a buy rating on the stock. Broadcom traded as high as $1,720.81 and last traded at $1,705.91. Approximately 2,238,542 shares changed hands during trading, a decline of 22% from the average daily volume of 2,864,698 shares. The stock had previously closed at $1,678.99.

A number of other analysts have also issued reports on AVGO. UBS Group lifted their price objective on shares of Broadcom from $1,610.00 to $1,735.00 and gave the company a “buy” rating in a research note on Thursday. Melius started coverage on shares of Broadcom in a research note on Monday, June 3rd. They set a “buy” rating and a $1,850.00 price target on the stock. Deutsche Bank Aktiengesellschaft reissued a “buy” rating and issued a $1,500.00 price objective on shares of Broadcom in a research report on Monday, April 8th. Susquehanna lifted their price objective on Broadcom from $1,400.00 to $1,550.00 and gave the stock a “positive” rating in a report on Wednesday, February 28th. Finally, Citigroup reiterated a “buy” rating and set a $1,560.00 target price on shares of Broadcom in a research note on Tuesday. Three equities research analysts have rated the stock with a hold rating and twenty-six have issued a buy rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $1,667.48.

Insider Transactions at Broadcom

In related news, Director Kenneth Hao sold 9,160 shares of the firm’s stock in a transaction that occurred on Thursday, March 21st. The shares were sold at an average price of $1,388.13, for a total value of $12,715,270.80. Following the completion of the transaction, the director now owns 45 shares of the company’s stock, valued at approximately $62,465.85. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. In related news, Director Kenneth Hao sold 9,160 shares of the stock in a transaction dated Thursday, March 21st. The stock was sold at an average price of $1,388.13, for a total value of $12,715,270.80. Following the completion of the sale, the director now directly owns 45 shares of the company’s stock, valued at approximately $62,465.85. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Justine Page sold 110 shares of Broadcom stock in a transaction dated Wednesday, April 10th. The shares were sold at an average price of $1,323.00, for a total value of $145,530.00. Following the transaction, the director now directly owns 3,125 shares in the company, valued at approximately $4,134,375. The disclosure for this sale can be found here. Insiders have sold a total of 26,770 shares of company stock valued at $36,242,096 over the last ninety days. Corporate insiders own 2.00% of the company’s stock.

Institutional Trading of Broadcom

Several hedge funds and other institutional investors have recently modified their holdings of the company. Stuart Chaussee & Associates Inc. acquired a new position in Broadcom in the 4th quarter worth about $25,000. Legend Financial Advisors Inc. grew its stake in shares of Broadcom by 72.7% in the 1st quarter. Legend Financial Advisors Inc. now owns 19 shares of the semiconductor manufacturer’s stock valued at $25,000 after buying an additional 8 shares in the last quarter. PSI Advisors LLC increased its holdings in Broadcom by 66.7% in the fourth quarter. PSI Advisors LLC now owns 25 shares of the semiconductor manufacturer’s stock worth $28,000 after buying an additional 10 shares during the last quarter. BKM Wealth Management LLC bought a new position in Broadcom during the fourth quarter valued at approximately $29,000. Finally, Richardson Capital Management LLC acquired a new stake in Broadcom in the first quarter valued at approximately $29,000. 76.43% of the stock is currently owned by hedge funds and other institutional investors.

Broadcom Price Performance

The company’s 50-day simple moving average is $1,352.21 and its 200 day simple moving average is $1,245.46. The company has a market capitalization of $789.10 billion, a P/E ratio of 73.37, a P/E/G ratio of 2.99 and a beta of 1.17. The company has a quick ratio of 1.24, a current ratio of 1.34 and a debt-to-equity ratio of 1.05.

Shares of Broadcom are going to split on Monday, July 15th. The 10-1 split was announced on Wednesday, June 12th. The newly issued shares will be issued to shareholders after the closing bell on Friday, July 12th.

Broadcom (NASDAQ:AVGO) last announced its earnings results on Wednesday, June 12th. The semiconductor manufacturer reported $10.96 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $10.78 by $0.18. Broadcom had a net margin of 24.10% and a return on equity of 43.01%. The business had revenue of $12.49 billion for the quarter, compared to analyst estimates of $12.06 billion. During the same quarter in the previous year, the firm posted $9.51 earnings per share. Broadcom’s revenue was up 43.0% compared to the same quarter last year. As a group, sell-side analysts expect that Broadcom Inc. will post 36.06 earnings per share for the current fiscal year.

Broadcom Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, June 28th. Investors of record on Monday, June 24th will be paid a $5.25 dividend. The ex-dividend date is Monday, June 24th. This represents a $21.00 dividend on an annualized basis and a yield of 1.23%. Broadcom’s payout ratio is currently 90.32%.

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.