Platinum Investment Management Ltd. Trims Position in Broadcom Inc. $AVGO

Platinum Investment Management Ltd. trimmed its stake in shares of Broadcom Inc. (NASDAQ:AVGO) by 85.5% during the 4th quarter, Holdings Channel.com reports. The fund owned 30,874 shares of the semiconductor manufacturer’s stock after selling 182,187 shares during the quarter. Broadcom accounts for approximately 2.5% of Platinum Investment Management Ltd.’s portfolio, making the stock its 5th largest position. Platinum Investment Management Ltd.’s holdings in Broadcom were worth $10,685,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also bought and sold shares of the stock. Pinpoint Asset Management Singapore Pte. Ltd. grew its position in Broadcom by 29.7% during the 4th quarter. Pinpoint Asset Management Singapore Pte. Ltd. now owns 16,222 shares of the semiconductor manufacturer’s stock worth $5,614,000 after acquiring an additional 3,716 shares during the last quarter. Banco Santander S.A. grew its position in Broadcom by 63.2% during the 4th quarter. Banco Santander S.A. now owns 806,006 shares of the semiconductor manufacturer’s stock worth $278,959,000 after acquiring an additional 312,015 shares during the last quarter. Clal Insurance Enterprises Holdings Ltd grew its position in Broadcom by 50.0% during the 4th quarter. Clal Insurance Enterprises Holdings Ltd now owns 426,307 shares of the semiconductor manufacturer’s stock worth $147,545,000 after acquiring an additional 142,040 shares during the last quarter. Beck Capital Management LLC grew its position in Broadcom by 2.7% during the 4th quarter. Beck Capital Management LLC now owns 45,186 shares of the semiconductor manufacturer’s stock worth $15,639,000 after acquiring an additional 1,192 shares during the last quarter. Finally, Oasis Management Co Ltd. bought a new position in Broadcom during the 4th quarter worth approximately $7,330,000. 76.43% of the stock is currently owned by institutional investors.

Broadcom News Summary

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom’s quarterly results were very strong, with revenue up 48% to a record $22.2 billion, semiconductor revenue up 79%, AI semiconductor revenue up 143% to $10.8 billion, and more than $30 billion in AI bookings, suggesting demand remains robust. Article Title
• Positive Sentiment: Several analysts and commentators argue the recent drop could be a buying opportunity, saying Broadcom remains a core infrastructure winner in AI and that Wall Street’s long-term outlook is still constructive. Article Title
• Positive Sentiment: Fresh coverage highlighted Broadcom as one of the stocks with catalysts heading into the second half of the year, and some analysts have raised earnings forecasts and price targets despite the selloff. Article Title
• Neutral Sentiment: Jim Cramer said Broadcom’s earnings were “not good” and suggested tech stocks are harder to trust as leadership names, reflecting a more cautious market mood around the stock. Article Title
• Neutral Sentiment: Broadcom also announced cash tender offers for certain outstanding debt securities, a routine balance-sheet move that is unlikely to move the stock by itself. Article Title
• Negative Sentiment: Market commentary says the stock is being punished because investors are nitpicking Broadcom’s AI outlook and pricing the shares as if growth must keep accelerating without any hiccups. Article Title
• Negative Sentiment: One note warned that Broadcom told investors to expect gross profit margins to continue falling, reinforcing concerns that profitability may soften even as revenue grows. Article Title

Analyst Ratings Changes

Several equities analysts recently issued reports on the company. Rosenblatt Securities restated a “buy” rating and set a $500.00 price target on shares of Broadcom in a research report on Thursday, June 4th. The Goldman Sachs Group restated a “buy” rating and set a $525.00 price target on shares of Broadcom in a research report on Thursday, June 4th. Erste Group Bank upgraded Broadcom from a “hold” rating to a “buy” rating in a research report on Friday, June 5th. Jefferies Financial Group set a $550.00 price objective on Broadcom and gave the stock a “buy” rating in a research report on Thursday, June 4th. Finally, Morgan Stanley set a $502.00 price objective on Broadcom and gave the stock an “overweight” rating in a research report on Thursday, June 4th. One analyst has rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating and three have issued a Hold rating to the company. According to MarketBeat, Broadcom has an average rating of “Moderate Buy” and an average price target of $490.13.

Insider Buying and Selling at Broadcom

In other Broadcom news, insider Mark David Brazeal sold 50,488 shares of Broadcom stock in a transaction on Tuesday, March 17th. The stock was sold at an average price of $321.60, for a total transaction of $16,236,940.80. Following the completion of the transaction, the insider owned 278,141 shares in the company, valued at approximately $89,450,145.60. The trade was a 15.36% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider S. Ram Velaga sold 38,841 shares of Broadcom stock in a transaction on Tuesday, March 17th. The shares were sold at an average price of $321.60, for a total value of $12,491,265.60. Following the transaction, the insider owned 96,147 shares of the company’s stock, valued at $30,920,875.20. The trade was a 28.77% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 324,282 shares of company stock worth $106,425,249 over the last three months. Company insiders own 1.90% of the company’s stock.

Broadcom Price Performance

Shares of AVGO stock opened at $382.07 on Friday. The stock has a market cap of $1.82 trillion, a price-to-earnings ratio of 63.68, a PEG ratio of 0.68 and a beta of 1.41. The business’s fifty day moving average is $404.26 and its 200 day moving average is $363.33. Broadcom Inc. has a twelve month low of $244.17 and a twelve month high of $495.00. The company has a quick ratio of 2.01, a current ratio of 2.24 and a debt-to-equity ratio of 0.71.

Broadcom (NASDAQ:AVGO) last announced its earnings results on Wednesday, June 3rd. The semiconductor manufacturer reported $2.44 earnings per share for the quarter, beating analysts’ consensus estimates of $2.40 by $0.04. Broadcom had a net margin of 38.85% and a return on equity of 41.61%. The business had revenue of $22.19 billion during the quarter, compared to the consensus estimate of $22.13 billion. During the same quarter last year, the firm earned $1.58 earnings per share. The business’s revenue for the quarter was up 47.9% on a year-over-year basis. Research analysts expect that Broadcom Inc. will post 10.24 EPS for the current fiscal year.

Broadcom Dividend Announcement

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

About Broadcom

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.