Broadcom Inc. (NASDAQ:AVGO) Shares Purchased by Rheos Capital Works Inc.

Rheos Capital Works Inc. increased its position in shares of Broadcom Inc. (NASDAQ:AVGO) by 11.3% during the first quarter, HoldingsChannel reports. The institutional investor owned 158,000 shares of the semiconductor manufacturer’s stock after buying an additional 16,000 shares during the quarter. Broadcom accounts for about 2.2% of Rheos Capital Works Inc.’s holdings, making the stock its 15th biggest position. Rheos Capital Works Inc.’s holdings in Broadcom were worth $26,454,000 at the end of the most recent reporting period.

Several other institutional investors also recently added to or reduced their stakes in the company. Canton Hathaway LLC acquired a new stake in Broadcom during the 4th quarter worth approximately $26,000. Rialto Wealth Management LLC purchased a new stake in shares of Broadcom during the fourth quarter worth approximately $26,000. Sunbeam Capital Management LLC purchased a new stake in shares of Broadcom during the fourth quarter worth approximately $28,000. Vermillion Wealth Management Inc. acquired a new stake in shares of Broadcom during the fourth quarter worth $30,000. Finally, Sellwood Investment Partners LLC purchased a new position in Broadcom in the 4th quarter valued at $32,000. Institutional investors and hedge funds own 76.43% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of equities analysts have commented on AVGO shares. Mizuho upped their price objective on shares of Broadcom from $300.00 to $310.00 and gave the stock an “outperform” rating in a research report on Friday. Oppenheimer boosted their price target on shares of Broadcom from $225.00 to $265.00 and gave the stock an “outperform” rating in a research note on Friday, May 30th. Redburn Atlantic initiated coverage on shares of Broadcom in a report on Wednesday, May 28th. They set a “buy” rating and a $301.00 price target for the company. Cowen reaffirmed a “buy” rating on shares of Broadcom in a report on Friday. Finally, JPMorgan Chase & Co. boosted their target price on Broadcom from $250.00 to $325.00 and gave the stock an “overweight” rating in a research report on Friday. Two research analysts have rated the stock with a hold rating, twenty-seven have assigned a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $270.25.

Broadcom Stock Performance

Shares of AVGO opened at $246.95 on Monday. Broadcom Inc. has a 12-month low of $128.50 and a 12-month high of $265.43. The stock has a market cap of $1.16 trillion, a P/E ratio of 201.43, a PEG ratio of 2.29 and a beta of 1.11. The company has a current ratio of 1.17, a quick ratio of 1.07 and a debt-to-equity ratio of 0.98. The company has a 50-day moving average of $203.73 and a two-hundred day moving average of $206.81.

Broadcom (NASDAQ:AVGO) last issued its quarterly earnings data on Thursday, June 5th. The semiconductor manufacturer reported $1.58 earnings per share for the quarter, topping analysts’ consensus estimates of $1.57 by $0.01. Broadcom had a net margin of 11.43% and a return on equity of 28.00%. The business had revenue of $15 billion during the quarter, compared to analysts’ expectations of $14.98 billion. During the same period last year, the company posted $10.96 EPS. The company’s revenue was up 20.2% on a year-over-year basis. As a group, research analysts predict that Broadcom Inc. will post 5.38 EPS for the current fiscal year.

Broadcom Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, June 30th. Shareholders of record on Friday, June 20th will be given a dividend of $0.59 per share. This represents a $2.36 annualized dividend and a yield of 0.96%. The ex-dividend date is Friday, June 20th. Broadcom’s payout ratio is 88.39%.

Broadcom announced that its board has initiated a stock repurchase program on Monday, April 7th that allows the company to buyback $10.00 billion in outstanding shares. This buyback authorization allows the semiconductor manufacturer to buy up to 1.4% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s leadership believes its shares are undervalued.

Insider Transactions at Broadcom

In related news, Director Henry Samueli sold 663,976 shares of the firm’s stock in a transaction that occurred on Wednesday, March 26th. The shares were sold at an average price of $181.60, for a total transaction of $120,578,041.60. Following the sale, the director now owns 38,798,721 shares in the company, valued at approximately $7,045,847,733.60. This trade represents a 1.68% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Justine Page sold 800 shares of Broadcom stock in a transaction that occurred on Wednesday, May 14th. The stock was sold at an average price of $230.19, for a total transaction of $184,152.00. Following the completion of the sale, the director now directly owns 26,182 shares of the company’s stock, valued at $6,026,834.58. The trade was a 2.96% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 720,576 shares of company stock valued at $131,249,694 over the last three months. 2.00% of the stock is currently owned by insiders.

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.