Stock Traders Buy Large Volume of Call Options on Broadcom (NASDAQ:AVGO)
by Danessa Lincoln · The Markets DailyBroadcom Inc. (NASDAQ:AVGO – Get Free Report) was the target of unusually large options trading activity on Tuesday. Stock investors purchased 426,038 call options on the company. This represents an increase of 34% compared to the average volume of 317,494 call options.
Insider Transactions at Broadcom
In other Broadcom news, Director Gayla J. Delly sold 1,890 shares of Broadcom stock in a transaction that occurred on Wednesday, July 8th. The stock was sold at an average price of $385.38, for a total value of $728,368.20. Following the sale, the director owned 31,326 shares of the company’s stock, valued at approximately $12,072,413.88. The trade was a 5.69% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Mark Brazeal sold 25,000 shares of the business’s stock in a transaction that occurred on Friday, July 10th. The stock was sold at an average price of $401.33, for a total value of $10,033,250.00. Following the transaction, the insider owned 194,989 shares in the company, valued at $78,254,935.37. The trade was a 11.36% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 51,890 shares of company stock worth $20,241,368. Company insiders own 1.90% of the company’s stock.
Institutional Investors Weigh In On Broadcom
A number of institutional investors and hedge funds have recently bought and sold shares of AVGO. State Street Corp raised its holdings in shares of Broadcom by 8.7% in the second quarter. State Street Corp now owns 208,031,610 shares of the semiconductor manufacturer’s stock worth $75,367,711,000 after acquiring an additional 16,651,378 shares during the last quarter. Bank of America Corp DE boosted its stake in shares of Broadcom by 4.6% during the second quarter. Bank of America Corp DE now owns 61,423,013 shares of the semiconductor manufacturer’s stock valued at $23,202,543,000 after acquiring an additional 2,685,916 shares during the last quarter. Wellington Management Group LLP increased its position in Broadcom by 3.8% during the 2nd quarter. Wellington Management Group LLP now owns 51,580,703 shares of the semiconductor manufacturer’s stock worth $19,484,611,000 after purchasing an additional 1,892,721 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its stake in Broadcom by 2.9% in the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 40,180,530 shares of the semiconductor manufacturer’s stock valued at $15,178,195,000 after purchasing an additional 1,140,598 shares during the last quarter. Finally, Legal & General Group Plc purchased a new position in Broadcom in the 2nd quarter valued at about $11,998,148,000. Hedge funds and other institutional investors own 76.43% of the company’s stock.
Broadcom Price Performance
NASDAQ AVGO traded up $16.44 during trading hours on Tuesday, reaching $378.95. The company’s stock had a trading volume of 20,037,838 shares, compared to its average volume of 25,095,428. The stock has a market cap of $1.81 trillion, a PE ratio of 48.44 and a beta of 1.46. Broadcom has a fifty-two week low of $289.96 and a fifty-two week high of $495.00. The company’s 50-day moving average is $372.33 and its two-hundred day moving average is $381.36. The company has a debt-to-equity ratio of 0.57, a quick ratio of 2.29 and a current ratio of 2.50.
Broadcom (NASDAQ:AVGO – Get Free Report) last announced its earnings results on Wednesday, September 2nd. The semiconductor manufacturer reported $3.32 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $3.22 by $0.10. Broadcom had a net margin of 42.94% and a return on equity of 48.33%. The company had revenue of $29.59 billion during the quarter, compared to analysts’ expectations of $29.24 billion. During the same quarter in the previous year, the business posted $1.69 earnings per share. The firm’s quarterly revenue was up 85.5% compared to the same quarter last year. Analysts forecast that Broadcom will post 10.37 EPS for the current year.
Broadcom Announces Dividend
The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, September 30th. Stockholders of record on Monday, September 21st were paid a dividend of $0.65 per share. This represents a $2.60 dividend on an annualized basis and a dividend yield of 0.7%. The ex-dividend date of this dividend was Monday, September 21st. Broadcom’s dividend payout ratio (DPR) is 33.21%.
Key Broadcom News
Here are the key news stories impacting Broadcom this week:
- Positive Sentiment: Marvell Technology’s investor-day emphasis on custom AI silicon reinforced the growth opportunity for Broadcom, a major supplier and design partner to hyperscale cloud companies. The report said Broadcom advanced alongside Marvell as investors assessed rising demand for customer-specific AI accelerators. Marvell Rallies 6% as Investor Day Presses the Custom AI Silicon Case; Broadcom Advances 4%
- Positive Sentiment: Recent coverage highlights Broadcom’s AI semiconductor revenue growth of 221% year over year in fiscal third-quarter 2026 and management’s $21.7 billion fiscal-fourth-quarter forecast, supporting the bullish case that AI demand could continue expanding rapidly. Broadcom Trades Above Its Own Average Multiple While Growth Cools
- Positive Sentiment: Morgan Stanley said Nvidia and Broadcom may be relatively insulated from a projected U.S. data-center power shortfall because their products are likely to remain priorities in constrained AI infrastructure deployments. Nvidia, Broadcom May Be Surprisingly Safe From a 32-GW Hole in the AI Boom
- Positive Sentiment: A reported $42 billion financing arrangement involving Anthropic is viewed by bullish investors as a potential source of future spending on Broadcom’s custom AI chips and networking products. Broadcom Stock Jumps Following Reported $42 Billion Financing Deal With Anthropic
Analyst Ratings Changes
AVGO has been the subject of several recent analyst reports. Piper Sandler began coverage on Broadcom in a report on Wednesday, September 9th. They issued an “overweight” rating and a $460.00 price target for the company. Erste Group Bank reiterated a “hold” rating on shares of Broadcom in a research report on Tuesday, July 7th. Jefferies Financial Group initiated coverage on Broadcom in a report on Thursday, September 3rd. They issued a “buy” rating and a $550.00 target price for the company. Fox Advisors upgraded shares of Broadcom to an “outperform” rating in a research report on Thursday, September 3rd. Finally, Morgan Stanley reaffirmed an “overweight” rating and set a $505.00 price target (up from $502.00) on shares of Broadcom in a research note on Thursday, September 3rd. One investment analyst has rated the stock with a Strong Buy rating, thirty-seven have assigned a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $527.20.
View Our Latest Analysis on Broadcom
About Broadcom
Broadcom Inc (NASDAQ: AVGO) is a global technology company that designs, develops, and supplies semiconductor and infrastructure software products. Its semiconductor solutions support wired and wireless communications, data center networking, broadband access, storage, industrial applications, and other markets.
The company’s semiconductor portfolio includes networking and switching products, custom application-specific integrated circuits, wireless connectivity components, radio-frequency devices, optical components, and storage-related solutions.