Erste Group Bank Increases Earnings Estimates for Broadcom

Broadcom Inc. (NASDAQ:AVGO) – Investment analysts at Erste Group Bank boosted their FY2026 EPS estimates for Broadcom in a research note issued to investors on Thursday, June 25th. Erste Group Bank analyst H. Engel now anticipates that the semiconductor manufacturer will earn $10.09 per share for the year, up from their prior estimate of $10.07. Erste Group Bank currently has a “Buy” rating on the stock. The consensus estimate for Broadcom’s current full-year earnings is $10.24 per share. Erste Group Bank also issued estimates for Broadcom’s FY2027 earnings at $17.59 EPS.

Broadcom (NASDAQ:AVGO) last posted its earnings results on Wednesday, June 3rd. The semiconductor manufacturer reported $2.44 EPS for the quarter, beating analysts’ consensus estimates of $2.40 by $0.04. Broadcom had a return on equity of 41.61% and a net margin of 38.85%.The firm had revenue of $22.19 billion for the quarter, compared to analysts’ expectations of $22.13 billion. During the same period last year, the firm earned $1.58 EPS. The company’s quarterly revenue was up 47.9% on a year-over-year basis.

A number of other analysts have also recently commented on AVGO. Evercore restated an “outperform” rating and issued a $582.00 price objective on shares of Broadcom in a research report on Tuesday, May 19th. Citigroup reiterated a “buy” rating on shares of Broadcom in a research report on Thursday, June 4th. DA Davidson boosted their price target on shares of Broadcom from $375.00 to $400.00 and gave the stock a “neutral” rating in a report on Thursday, June 4th. Mizuho boosted their price target on shares of Broadcom from $480.00 to $530.00 and gave the stock an “outperform” rating in a report on Thursday, June 4th. Finally, Wells Fargo & Company restated an “overweight” rating and set a $545.00 price objective (up from $430.00) on shares of Broadcom in a research report on Thursday, May 14th. One investment analyst has rated the stock with a Strong Buy rating, twenty-nine have issued a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat, Broadcom currently has an average rating of “Moderate Buy” and a consensus target price of $493.24.

Broadcom Stock Performance

Shares of AVGO stock opened at $372.45 on Tuesday. The company has a market capitalization of $1.77 trillion, a P/E ratio of 62.08, a P/E/G ratio of 0.64 and a beta of 1.41. The business’s 50 day moving average is $411.18 and its two-hundred day moving average is $362.85. The company has a current ratio of 2.24, a quick ratio of 2.01 and a debt-to-equity ratio of 0.71. Broadcom has a 12-month low of $262.66 and a 12-month high of $495.00.

Broadcom Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Tuesday, June 30th. Stockholders of record on Monday, June 22nd will be given a $0.65 dividend. This represents a $2.60 annualized dividend and a dividend yield of 0.7%. The ex-dividend date is Monday, June 22nd. Broadcom’s dividend payout ratio (DPR) is 43.33%.

Insider Transactions at Broadcom

In other news, Director Harry L. You purchased 1,000 shares of the company’s stock in a transaction that occurred on Thursday, June 11th. The stock was purchased at an average cost of $373.57 per share, for a total transaction of $373,570.00. Following the completion of the transaction, the director owned 38,466 shares of the company’s stock, valued at $14,369,743.62. This trade represents a 2.67% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available through the SEC website. Also, insider Charlie B. Kawwas sold 10,000 shares of the stock in a transaction on Wednesday, April 8th. The shares were sold at an average price of $345.23, for a total value of $3,452,300.00. Following the completion of the transaction, the insider directly owned 787,184 shares of the company’s stock, valued at approximately $271,759,532.32. This represents a 1.25% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 59,385 shares of company stock valued at $21,301,057. Insiders own 1.90% of the company’s stock.

Hedge Funds Weigh In On Broadcom

Several hedge funds and other institutional investors have recently modified their holdings of AVGO. Fullerton Advisors LLC raised its holdings in shares of Broadcom by 1.3% in the 1st quarter. Fullerton Advisors LLC now owns 1,989 shares of the semiconductor manufacturer’s stock valued at $616,000 after acquiring an additional 25 shares in the last quarter. NORTHSTAR ASSET MANAGEMENT Co boosted its position in shares of Broadcom by 0.5% during the 1st quarter. NORTHSTAR ASSET MANAGEMENT Co now owns 5,350 shares of the semiconductor manufacturer’s stock valued at $1,656,000 after acquiring an additional 25 shares during the last quarter. RFG Holdings Inc. grew its holdings in shares of Broadcom by 0.3% during the first quarter. RFG Holdings Inc. now owns 8,499 shares of the semiconductor manufacturer’s stock worth $2,631,000 after purchasing an additional 26 shares in the last quarter. Yukon Wealth Management Inc. grew its holdings in shares of Broadcom by 1.1% during the first quarter. Yukon Wealth Management Inc. now owns 2,501 shares of the semiconductor manufacturer’s stock worth $774,000 after purchasing an additional 26 shares in the last quarter. Finally, Capital Planning LLC increased its position in shares of Broadcom by 0.7% in the first quarter. Capital Planning LLC now owns 4,044 shares of the semiconductor manufacturer’s stock worth $1,252,000 after purchasing an additional 28 shares during the last quarter. 76.43% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom’s new Jalapeño AI accelerator partnership with OpenAI is the biggest catalyst in the news flow. The chip is already running GPT-5.3-Codex-Spark workloads in production, reinforcing Broadcom’s position as a major supplier of custom AI silicon and networking for hyperscalers.
• Positive Sentiment: Several articles highlighted Broadcom as a top AI infrastructure play and a “must-buy” stock for the second half of 2026, reflecting ongoing investor enthusiasm for its growth potential.
• Positive Sentiment: Long-term shareholders also have a near-term income tailwind, since Broadcom’s next dividend is due on June 30 and the company has kept a 16-year payout streak intact.
• Positive Sentiment: Investor interest is being reinforced by high-profile buying, including a report that Stanley Druckenmiller bought 196,000 shares of Broadcom as part of a rotation away from Nvidia.
• Neutral Sentiment: Broadcom’s decision to avoid large acquisitions and focus on organic AI development suggests management sees stronger returns from internal growth than from dealmaking, which is strategically important but not an immediate earnings driver.
• Neutral Sentiment: One article warned that the broader AI rally could be vulnerable if “good news” stops moving stocks, a reminder that sentiment across semiconductor names may be fragile even with strong fundamentals.
• Negative Sentiment: Broadcom was also flagged for three large insider sales over the last two weeks, which can weigh on sentiment because investors sometimes read heavy insider selling as a sign of caution.
• Negative Sentiment: Another article noted the stock remains well below its recent peak after a sharp pullback, showing that some investors are taking profits and questioning whether expectations around AI growth have become too high.

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.