Broadcom (NASDAQ:AVGO) Shares Down 1.7% – Time to Sell?

Shares of Broadcom Inc. (NASDAQ:AVGOGet Free Report) were down 1.7% during trading on Monday . The company traded as low as $395.90 and last traded at $399.63. Approximately 16,800,132 shares traded hands during trading, a decline of 36% from the average daily volume of 26,092,350 shares. The stock had previously closed at $406.54.

Key Broadcom News

Here are the key news stories impacting Broadcom this week:

Analyst Ratings Changes

A number of analysts have recently commented on AVGO shares. Zacks Research raised shares of Broadcom from a “hold” rating to a “strong-buy” rating in a research note on Thursday, April 2nd. JPMorgan Chase & Co. boosted their target price on shares of Broadcom from $475.00 to $500.00 and gave the stock an “overweight” rating in a research note on Thursday, March 5th. Morgan Stanley upped their price objective on shares of Broadcom from $462.00 to $470.00 and gave the company an “overweight” rating in a research note on Friday, March 6th. Wolfe Research raised shares of Broadcom from a “peer perform” rating to an “outperform” rating and set a $400.00 price objective for the company in a research note on Friday, January 30th. Finally, Bank of America dropped their price objective on shares of Broadcom from $500.00 to $450.00 and set a “buy” rating for the company in a research note on Thursday, March 5th. Two research analysts have rated the stock with a Strong Buy rating, twenty-eight have issued a Buy rating and three have given a Hold rating to the company’s stock. Based on data from MarketBeat, Broadcom has an average rating of “Moderate Buy” and an average target price of $435.30.

Read Our Latest Analysis on Broadcom

Broadcom Stock Performance

The company has a market cap of $2.00 trillion, a PE ratio of 82.55, a PEG ratio of 0.83 and a beta of 1.24. The company has a debt-to-equity ratio of 0.80, a quick ratio of 1.73 and a current ratio of 1.90. The firm’s 50 day moving average is $335.72 and its 200-day moving average is $346.14.

Broadcom (NASDAQ:AVGOGet Free Report) last posted its quarterly earnings results on Wednesday, March 4th. The semiconductor manufacturer reported $2.05 earnings per share for the quarter, beating the consensus estimate of $2.03 by $0.02. Broadcom had a net margin of 36.57% and a return on equity of 38.61%. The business had revenue of $19.31 billion during the quarter, compared to analysts’ expectations of $19.10 billion. During the same quarter in the prior year, the company posted $1.60 EPS. The business’s revenue for the quarter was up 29.5% on a year-over-year basis. On average, research analysts anticipate that Broadcom Inc. will post 9.95 earnings per share for the current fiscal year.

Broadcom Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, March 31st. Stockholders of record on Monday, March 23rd were paid a $0.65 dividend. The ex-dividend date of this dividend was Monday, March 23rd. This represents a $2.60 annualized dividend and a dividend yield of 0.6%. Broadcom’s dividend payout ratio is 50.78%.

Insiders Place Their Bets

In other news, insider Charlie B. Kawwas sold 10,000 shares of the stock in a transaction on Wednesday, April 8th. The stock was sold at an average price of $345.23, for a total transaction of $3,452,300.00. Following the completion of the transaction, the insider directly owned 787,184 shares in the company, valued at approximately $271,759,532.32. This represents a 1.25% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Justine Page sold 2,018 shares of the stock in a transaction on Wednesday, April 8th. The stock was sold at an average price of $353.00, for a total value of $712,354.00. Following the transaction, the director owned 18,164 shares of the company’s stock, valued at approximately $6,411,892. This represents a 10.00% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders have sold 324,282 shares of company stock worth $106,425,249. 1.90% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Broadcom

Large investors have recently made changes to their positions in the stock. ROSS JOHNSON & Associates LLC increased its holdings in Broadcom by 1,320.0% in the 4th quarter. ROSS JOHNSON & Associates LLC now owns 71 shares of the semiconductor manufacturer’s stock valued at $25,000 after purchasing an additional 66 shares during the last quarter. SWAN Capital LLC grew its position in Broadcom by 261.9% in the 4th quarter. SWAN Capital LLC now owns 76 shares of the semiconductor manufacturer’s stock valued at $26,000 after acquiring an additional 55 shares in the last quarter. JCIC Asset Management Inc. acquired a new position in Broadcom in the 3rd quarter valued at about $31,000. Miller Global Investments LLC purchased a new stake in Broadcom during the fourth quarter worth about $31,000. Finally, Nvest Wealth Strategies Inc. acquired a new stake in shares of Broadcom during the fourth quarter worth about $33,000. 76.43% of the stock is currently owned by institutional investors and hedge funds.

Broadcom Company Profile

(Get Free Report)

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.

Further Reading

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