Broadcom (NASDAQ:AVGO) Trading Down 0.2% – Here’s Why

Broadcom Inc. (NASDAQ:AVGO)’s stock price dropped 0.2% during trading on Friday . The company traded as low as $229.00 and last traded at $231.43. Approximately 7,841,272 shares traded hands during mid-day trading, a decline of 59% from the average daily volume of 19,227,590 shares. The stock had previously closed at $231.98.

Analyst Ratings Changes

A number of equities analysts recently issued reports on the company. Piper Sandler raised their price target on Broadcom from $200.00 to $250.00 and gave the stock an “overweight” rating in a report on Friday, December 13th. Mizuho boosted their target price on Broadcom from $190.00 to $220.00 and gave the company an “outperform” rating in a report on Monday, October 14th. Benchmark reaffirmed a “buy” rating and set a $255.00 price target (up from $210.00) on shares of Broadcom in a report on Friday, December 13th. Truist Financial boosted their price objective on shares of Broadcom from $205.00 to $245.00 and gave the company a “buy” rating in a research note on Friday, December 13th. Finally, The Goldman Sachs Group raised their target price on shares of Broadcom from $185.00 to $190.00 and gave the stock a “buy” rating in a research note on Friday, September 6th. Three analysts have rated the stock with a hold rating and twenty-four have given a buy rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $221.88.

Broadcom Trading Up 0.1 %

The company has a current ratio of 1.04, a quick ratio of 0.94 and a debt-to-equity ratio of 1.02. The business has a 50 day moving average of $190.08 and a 200-day moving average of $173.46. The stock has a market cap of $1.09 trillion, a PE ratio of 201.82, a price-to-earnings-growth ratio of 2.15 and a beta of 1.13.

Broadcom (NASDAQ:AVGO) last posted its quarterly earnings data on Thursday, December 12th. The semiconductor manufacturer reported $1.42 EPS for the quarter, beating analysts’ consensus estimates of $1.39 by $0.03. Broadcom had a return on equity of 30.12% and a net margin of 10.88%. The business had revenue of $14.05 billion for the quarter, compared to analyst estimates of $14.07 billion. During the same quarter last year, the company earned $0.98 earnings per share. The business’s revenue for the quarter was up 51.2% compared to the same quarter last year. On average, analysts anticipate that Broadcom Inc. will post 3.79 EPS for the current year.

Broadcom Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, December 31st. Stockholders of record on Monday, December 23rd were given a $0.59 dividend. The ex-dividend date was Monday, December 23rd. This represents a $2.36 dividend on an annualized basis and a dividend yield of 1.02%. This is an increase from Broadcom’s previous quarterly dividend of $0.53. Broadcom’s payout ratio is currently 191.87%.

Insider Buying and Selling

In other Broadcom news, Director Harry L. You sold 6,540 shares of Broadcom stock in a transaction on Tuesday, December 17th. The shares were sold at an average price of $240.00, for a total value of $1,569,600.00. Following the transaction, the director now owns 30,450 shares in the company, valued at $7,308,000. This trade represents a 17.68 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CEO Hock E. Tan sold 45,000 shares of the business’s stock in a transaction dated Tuesday, December 24th. The shares were sold at an average price of $239.96, for a total value of $10,798,200.00. Following the sale, the chief executive officer now directly owns 842,836 shares of the company’s stock, valued at approximately $202,246,926.56. This trade represents a 5.07 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 154,408 shares of company stock worth $33,412,228. 2.00% of the stock is owned by company insiders.

Institutional Investors Weigh In On Broadcom

Large investors have recently modified their holdings of the stock. Everence Capital Management Inc. boosted its holdings in Broadcom by 1.6% in the 4th quarter. Everence Capital Management Inc. now owns 122,410 shares of the semiconductor manufacturer’s stock worth $28,380,000 after acquiring an additional 1,920 shares during the period. Modus Advisors LLC boosted its stake in shares of Broadcom by 7.9% in the fourth quarter. Modus Advisors LLC now owns 3,444 shares of the semiconductor manufacturer’s stock valued at $798,000 after purchasing an additional 251 shares during the period. Franchise Capital Ltd acquired a new stake in Broadcom during the 4th quarter valued at $2,017,000. GAMMA Investing LLC boosted its position in Broadcom by 10.4% in the 4th quarter. GAMMA Investing LLC now owns 94,512 shares of the semiconductor manufacturer’s stock valued at $21,912,000 after buying an additional 8,902 shares during the last quarter. Finally, First Financial Bank Trust Division grew its stake in shares of Broadcom by 6.1% during the fourth quarter. First Financial Bank Trust Division now owns 35,031 shares of the semiconductor manufacturer’s stock valued at $8,122,000 after acquiring an additional 2,021 shares in the last quarter. Institutional investors and hedge funds own 76.43% of the company’s stock.

About Broadcom

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.