Insider Selling: Broadcom Inc. (NASDAQ:AVGO) CEO Sells 150,000 Shares of Stock

by · The Markets Daily

Broadcom Inc. (NASDAQ:AVGO – Get Free Report) CEO Hock E. Tan sold 150,000 shares of Broadcom stock in a transaction that occurred on Tuesday, September 24th. The stock was sold at an average price of $172.94, for a total value of $25,941,000.00. Following the completion of the sale, the chief executive officer now directly owns 1,181,910 shares in the company, valued at $204,399,515.40. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink.

Broadcom Trading Down 3.0 %

AVGO opened at $172.69 on Friday. Broadcom Inc. has a 52 week low of $80.89 and a 52 week high of $185.16. The company has a quick ratio of 0.94, a current ratio of 1.04 and a debt-to-equity ratio of 1.02. The business has a fifty day simple moving average of $158.00 and a 200-day simple moving average of $148.25. The firm has a market cap of $803.85 billion, a P/E ratio of 7.43, a P/E/G ratio of 2.78 and a beta of 1.16.

Broadcom (NASDAQ:AVGO – Get Free Report) last announced its earnings results on Thursday, September 5th. The semiconductor manufacturer reported $1.24 EPS for the quarter, beating analysts’ consensus estimates of $1.20 by $0.04. The company had revenue of $13.07 billion during the quarter, compared to analysts’ expectations of $12.98 billion. Broadcom had a return on equity of 30.12% and a net margin of 10.88%. Broadcom’s revenue for the quarter was up 47.3% on a year-over-year basis. During the same period last year, the business posted $0.95 EPS. On average, equities analysts expect that Broadcom Inc. will post 3.78 earnings per share for the current year.

Broadcom Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, September 30th. Investors of record on Thursday, September 19th will be paid a dividend of $0.53 per share. This is an increase from Broadcom’s previous quarterly dividend of $0.53. This represents a $2.12 annualized dividend and a yield of 1.23%. The ex-dividend date of this dividend is Thursday, September 19th. Broadcom’s dividend payout ratio is presently 9.12%.

Institutional Investors Weigh In On Broadcom

A number of hedge funds have recently added to or reduced their stakes in the business. Alternative Investment Advisors LLC. acquired a new stake in shares of Broadcom in the second quarter valued at $3,162,000. Greater Midwest Financial Group LLC increased its holdings in Broadcom by 868.6% during the 2nd quarter. Greater Midwest Financial Group LLC now owns 47,925 shares of the semiconductor manufacturer’s stock worth $76,945,000 after purchasing an additional 42,977 shares during the period. Centaurus Financial Inc. raised its position in Broadcom by 51.6% in the 2nd quarter. Centaurus Financial Inc. now owns 7,086 shares of the semiconductor manufacturer’s stock valued at $11,377,000 after purchasing an additional 2,412 shares in the last quarter. Summit Wealth Partners LLC boosted its stake in shares of Broadcom by 100.4% in the 2nd quarter. Summit Wealth Partners LLC now owns 499 shares of the semiconductor manufacturer’s stock valued at $801,000 after buying an additional 250 shares during the period. Finally, Newbridge Financial Services Group Inc. grew its position in shares of Broadcom by 71.8% during the second quarter. Newbridge Financial Services Group Inc. now owns 1,441 shares of the semiconductor manufacturer’s stock worth $2,314,000 after buying an additional 602 shares in the last quarter. 76.43% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several equities research analysts have issued reports on the stock. Bank of America reaffirmed a “buy” rating and set a $215.00 target price (up previously from $200.00) on shares of Broadcom in a research note on Monday, June 24th. Melius Research began coverage on shares of Broadcom in a research note on Monday, June 3rd. They set a “buy” rating and a $185.00 price objective for the company. StockNews.com lowered shares of Broadcom from a “buy” rating to a “hold” rating in a research note on Tuesday, July 23rd. Oppenheimer dropped their price target on Broadcom from $2,000.00 to $200.00 and set an “outperform” rating for the company in a research report on Tuesday, July 16th. Finally, Sanford C. Bernstein lifted their price objective on Broadcom from $160.00 to $195.00 and gave the stock an “outperform” rating in a research report on Thursday, June 13th. Two analysts have rated the stock with a hold rating, twenty-four have issued a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $189.23.

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About Broadcom

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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.

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