Broadcom Inc. (NASDAQ:AVGO) Sees Large Increase in Short Interest

Broadcom Inc. (NASDAQ:AVGO) was the target of a significant increase in short interest in the month of May. As of May 31st, there was short interest totalling 5,650,000 shares, an increase of 7.8% from the May 15th total of 5,240,000 shares. Based on an average trading volume of 2,720,000 shares, the short-interest ratio is currently 2.1 days.

Analyst Ratings Changes

Several analysts have recently issued reports on AVGO shares. Benchmark reissued a “buy” rating and issued a $1,720.00 price target on shares of Broadcom in a research report on Thursday, March 21st. Citigroup reissued a “buy” rating and issued a $1,560.00 price target on shares of Broadcom in a research report on Tuesday, June 11th. Piper Sandler boosted their price target on shares of Broadcom from $1,650.00 to $2,000.00 and gave the company an “overweight” rating in a research report on Thursday, June 13th. Sanford C. Bernstein boosted their price target on shares of Broadcom from $1,600.00 to $1,950.00 and gave the company an “outperform” rating in a research report on Thursday, June 13th. Finally, Rosenblatt Securities reissued a “buy” rating and issued a $1,500.00 price target on shares of Broadcom in a research report on Wednesday, June 12th. Three research analysts have rated the stock with a hold rating and twenty-six have issued a buy rating to the company’s stock. Based on data from MarketBeat.com, Broadcom presently has an average rating of “Moderate Buy” and a consensus price target of $1,667.48.

Broadcom Price Performance

AVGO stock opened at $1,802.52 on Wednesday. The stock has a market cap of $839.05 billion, a PE ratio of 77.53, a P/E/G ratio of 3.24 and a beta of 1.17. The company has a debt-to-equity ratio of 1.02, a current ratio of 1.25 and a quick ratio of 1.16. Broadcom has a one year low of $795.09 and a one year high of $1,851.62. The firm has a 50 day simple moving average of $1,379.34 and a two-hundred day simple moving average of $1,267.74.

Broadcom’s stock is going to split before the market opens on Monday, July 15th. The 10-1 split was announced on Wednesday, June 12th. The newly created shares will be distributed to shareholders after the closing bell on Friday, July 12th.

Broadcom (NASDAQ:AVGO) last announced its quarterly earnings data on Wednesday, June 12th. The semiconductor manufacturer reported $10.96 earnings per share for the quarter, topping analysts’ consensus estimates of $10.78 by $0.18. The firm had revenue of $12.49 billion during the quarter, compared to analyst estimates of $12.06 billion. Broadcom had a net margin of 24.10% and a return on equity of 35.82%. The business’s quarterly revenue was up 43.0% on a year-over-year basis. During the same period in the previous year, the business posted $9.51 EPS. On average, analysts predict that Broadcom will post 36.24 EPS for the current fiscal year.

Broadcom Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, June 28th. Stockholders of record on Monday, June 24th will be issued a $5.25 dividend. The ex-dividend date is Monday, June 24th. This represents a $21.00 dividend on an annualized basis and a dividend yield of 1.17%. Broadcom’s payout ratio is 90.32%.

Insiders Place Their Bets

In other Broadcom news, 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 sale, the director now owns 3,125 shares of the company’s stock, valued at $4,134,375. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. In other Broadcom news, 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 sale, the director now owns 3,125 shares of the company’s stock, valued at $4,134,375. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, CEO Hock E. Tan sold 2,000 shares of Broadcom stock in a transaction dated Tuesday, April 2nd. The stock was sold at an average price of $1,312.25, for a total transaction of $2,624,500.00. Following the completion of the sale, the chief executive officer now directly owns 168,096 shares in the company, valued at approximately $220,583,976. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 26,770 shares of company stock valued at $36,242,096. Company insiders own 2.00% of the company’s stock.

Institutional Investors Weigh In On Broadcom

A number of hedge funds have recently made changes to their positions in AVGO. Legend Financial Advisors Inc. raised its holdings in Broadcom by 72.7% during 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 during the last quarter. Stuart Chaussee & Associates Inc. bought a new stake in Broadcom during the 4th quarter valued at $25,000. Richardson Capital Management LLC bought a new stake in Broadcom during the 1st quarter valued at $29,000. Delta Asset Management LLC TN raised its holdings in Broadcom by 242.9% during the 1st quarter. Delta Asset Management LLC TN now owns 24 shares of the semiconductor manufacturer’s stock valued at $32,000 after buying an additional 17 shares during the last quarter. Finally, PSI Advisors LLC raised its holdings in Broadcom by 66.7% during the 4th quarter. PSI Advisors LLC now owns 25 shares of the semiconductor manufacturer’s stock valued at $28,000 after buying an additional 10 shares during the last quarter. 76.43% of the stock is currently owned by institutional investors.

About Broadcom

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.