Lecap Asset Management Ltd. Invests $2.80 Million in Broadcom Inc. (NASDAQ:AVGO)

Lecap Asset Management Ltd. bought a new stake in shares of Broadcom Inc. (NASDAQ:AVGO) during the first quarter, Holdings Channel.com reports. The fund bought 16,723 shares of the semiconductor manufacturer’s stock, valued at approximately $2,800,000.

Several other institutional investors and hedge funds have also recently modified their holdings of the business. Canton Hathaway LLC purchased a new stake in shares of Broadcom in the fourth quarter valued at approximately $26,000. Rialto Wealth Management LLC acquired a new stake in Broadcom in the 4th quarter valued at $26,000. Inlight Wealth Management LLC purchased a new stake in Broadcom in the 1st quarter worth $26,000. Sunbeam Capital Management LLC acquired a new position in Broadcom during the fourth quarter worth $28,000. Finally, Vermillion Wealth Management Inc. purchased a new position in Broadcom during the fourth quarter valued at $30,000. Hedge funds and other institutional investors own 76.43% of the company’s stock.

Insider Buying and Selling at Broadcom

In related news, insider Charlie B. Kawwas sold 10,000 shares of the business’s stock in a transaction on Wednesday, June 11th. The stock was sold at an average price of $252.88, for a total value of $2,528,800.00. Following the sale, the insider now owns 789,784 shares in the company, valued at approximately $199,720,577.92. The trade was a 1.25% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Hock E. Tan sold 117,758 shares of the stock in a transaction dated Thursday, June 12th. The stock was sold at an average price of $252.91, for a total value of $29,782,175.78. Following the transaction, the chief executive officer now directly owns 1,014,152 shares in the company, valued at approximately $256,489,182.32. The trade was a 10.40% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 211,468 shares of company stock worth $51,519,450 over the last three months. Insiders own 2.00% of the company’s stock.

Analyst Ratings Changes

A number of analysts have recently commented on the stock. Oppenheimer boosted their target price 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. Morgan Stanley boosted their price objective on Broadcom from $260.00 to $270.00 and gave the stock an “overweight” rating in a research note on Friday, June 6th. Cantor Fitzgerald restated an “overweight” rating and issued a $300.00 target price on shares of Broadcom in a research report on Friday, June 6th. UBS Group boosted their price target on Broadcom from $270.00 to $290.00 and gave the stock a “buy” rating in a research report on Friday, June 6th. Finally, JPMorgan Chase & Co. raised their price objective on Broadcom from $250.00 to $325.00 and gave the company an “overweight” rating in a report on Friday, June 6th. Two equities research analysts have rated the stock with a hold rating, twenty-six have issued a buy rating and two have given a strong buy rating to the company. According to MarketBeat, the company has an average rating of “Buy” and an average price target of $281.25.

Broadcom Trading Up 3.9%

AVGO opened at $263.77 on Wednesday. The business’s 50 day moving average price is $223.68 and its 200 day moving average price is $213.63. The company has a debt-to-equity ratio of 0.89, a quick ratio of 0.98 and a current ratio of 1.08. The stock has a market capitalization of $1.24 trillion, a PE ratio of 98.79, a P/E/G ratio of 1.81 and a beta of 1.11. Broadcom Inc. has a one year low of $128.50 and a one year high of $265.87.

Broadcom (NASDAQ:AVGO) last announced its quarterly earnings results on Thursday, June 5th. The semiconductor manufacturer reported $1.58 EPS for the quarter, beating the consensus estimate of $1.57 by $0.01. The business had revenue of $15 billion for the quarter, compared to analyst estimates of $14.98 billion. Broadcom had a return on equity of 35.49% and a net margin of 22.64%. The company’s quarterly revenue was up 20.2% on a year-over-year basis. During the same quarter in the prior year, the company posted $10.96 EPS. As a group, equities research analysts expect that Broadcom Inc. will post 5.38 EPS for the current year.

Broadcom announced that its Board of Directors has authorized 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 purchase up to 1.4% of its shares through open market purchases. Shares buyback programs are generally an indication that the company’s leadership believes its shares are undervalued.

Broadcom Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, June 30th. Shareholders of record on Friday, June 20th will be paid a dividend of $0.59 per share. This represents a $2.36 annualized dividend and a yield of 0.89%. The ex-dividend date is Friday, June 20th. Broadcom’s dividend payout ratio (DPR) is presently 88.39%.

Broadcom 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.