Broadcom (NASDAQ:AVGO – Get Free Report) had its price target decreased by equities researchers at Truist Financial from $550.00 to $520.00 in a research note issued on Thursday, Benzinga reports. The brokerage currently has a “buy” rating on the semiconductor manufacturer’s stock. Truist Financial’s price target points to a potential upside of 49.59% from the company’s previous close.
Several other analysts have also issued reports on AVGO. Bank of America increased their price objective on Broadcom from $450.00 to $530.00 and gave the stock a “buy” rating in a report on Thursday, June 4th. Rosenblatt Securities boosted their target price on Broadcom from $500.00 to $600.00 and gave the company a “buy” rating in a research note on Thursday. TD Cowen reaffirmed a “buy” rating on shares of Broadcom in a research report on Thursday. Citigroup reaffirmed a “buy” rating on shares of Broadcom in a research note on Thursday, June 4th. Finally, Fox Advisors upgraded Broadcom to an “outperform” rating in a report on Thursday. Thirty-one equities research analysts have rated the stock with a Buy rating and four have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $502.60.
Check Out Our Latest Research Report on Broadcom
Broadcom Stock Down 5.3%
Broadcom (NASDAQ:AVGO – Get Free Report) last issued its earnings results on Wednesday, September 2nd. The semiconductor manufacturer reported $3.32 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $3.22 by $0.10. Broadcom had a net margin of 38.85% and a return on equity of 41.61%. The company had revenue of $29.59 billion during the quarter, compared to analyst estimates of $29.24 billion. During the same quarter last year, the business posted $1.69 EPS. The company’s revenue for the quarter was up 85.5% on a year-over-year basis. Equities analysts anticipate that Broadcom will post 10.24 EPS for the current fiscal year.
Insider Activity
In related news, Director Gayla J. Delly sold 1,890 shares of Broadcom stock in a transaction on Wednesday, July 8th. The shares were sold at an average price of $385.38, for a total value of $728,368.20. Following the transaction, the director owned 31,326 shares in the company, valued at $12,072,413.88. This trade represents a 5.69% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Harry L. You bought 1,000 shares of the business’s stock in a transaction on Thursday, June 11th. The shares were purchased at an average cost of $373.57 per share, with a total value of $373,570.00. Following the transaction, the director owned 38,466 shares in the company, valued at approximately $14,369,743.62. The trade was a 2.67% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Insiders sold a total of 61,644 shares of company stock valued at $24,016,214 in the last quarter. 1.90% of the stock is currently owned by corporate insiders.
Hedge Funds Weigh In On Broadcom
Several large investors have recently made changes to their positions in AVGO. Brighton Jones LLC grew its holdings in shares of Broadcom by 21.8% during the 4th quarter. Brighton Jones LLC now owns 29,683 shares of the semiconductor manufacturer’s stock worth $6,882,000 after purchasing an additional 5,322 shares in the last quarter. Revolve Wealth Partners LLC increased its holdings in Broadcom by 10.4% in the 4th quarter. Revolve Wealth Partners LLC now owns 7,997 shares of the semiconductor manufacturer’s stock valued at $1,854,000 after buying an additional 756 shares during the period. United Bank raised its stake in shares of Broadcom by 76.5% in the 1st quarter. United Bank now owns 2,339 shares of the semiconductor manufacturer’s stock valued at $392,000 after buying an additional 1,014 shares in the last quarter. Sivia Capital Partners LLC raised its stake in shares of Broadcom by 10.1% in the 2nd quarter. Sivia Capital Partners LLC now owns 12,693 shares of the semiconductor manufacturer’s stock valued at $3,499,000 after buying an additional 1,160 shares in the last quarter. Finally, Capital & Planning LLC boosted its position in shares of Broadcom by 10.5% during the 2nd quarter. Capital & Planning LLC now owns 3,983 shares of the semiconductor manufacturer’s stock valued at $1,098,000 after acquiring an additional 378 shares in the last quarter. Institutional investors and hedge funds own 76.43% of the company’s stock.
Key Broadcom News
Here are the key news stories impacting Broadcom this week:
- Positive Sentiment: Broadcom reported fiscal third-quarter revenue of approximately $29.6 billion, up 86% year over year, and non-GAAP EPS of $3.32, exceeding the $3.22 consensus estimate. Free cash flow reached $13.7 billion. Broadcom fiscal third-quarter results
- Positive Sentiment: AI semiconductor revenue surged 221% year over year to $16.7 billion, up 54% sequentially. Management also outlined a potential AI semiconductor revenue opportunity of $115 billion in fiscal 2027 and $230 billion in 2028, supported by strong customer demand and bookings. AVGO Q3 earnings call and AI roadmap
- Positive Sentiment: Several firms raised their targets after the report. Cantor Fitzgerald and Rosenblatt lifted targets to $600, BMO to $575, and Macquarie upgraded the shares to Outperform with a $490 target, citing reduced insourcing concerns and strong custom-chip prospects. Analyst target increases
- Neutral Sentiment: Broadcom declared a quarterly dividend of $0.65 per share, payable September 30 to shareholders of record September 21, reinforcing its shareholder-return program. Broadcom dividend announcement
- Negative Sentiment: Fourth-quarter revenue guidance of approximately $34.8 billion came in below estimates near $35.0 billion. Investors viewed the outlook as too conservative relative to AVGO’s premium valuation and elevated AI-growth expectations, making the guidance miss the immediate catalyst for selling. Broadcom quarterly revenue forecast
- Negative Sentiment: Management cited land, power, chip and substrate availability as constraints on data-center deployments. Competition, including Google’s relationship with Marvell, and uncertainty over who will fund increasingly large AI infrastructure projects are also weighing on sentiment. Broadcom CEO on AI supply constraints
Broadcom Company Profile
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.
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