DSM Capital Partners LLC Purchases 490,294 Shares of Broadcom Inc. (NASDAQ:AVGO)

DSM Capital Partners LLC lifted its position in Broadcom Inc. (NASDAQ:AVGO) by 9,598.6% during the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund owned 495,402 shares of the semiconductor manufacturer’s stock after purchasing an additional 490,294 shares during the quarter. Broadcom comprises about 1.4% of DSM Capital Partners LLC’s investment portfolio, making the stock its 22nd biggest position. DSM Capital Partners LLC’s holdings in Broadcom were worth $82,945,000 at the end of the most recent reporting period.

Several other large investors have also recently made changes to their positions in AVGO. Barnes Dennig Private Wealth Management LLC purchased a new position in Broadcom in the first quarter worth about $25,000. Cheviot Value Management LLC purchased a new position in shares of Broadcom during the first quarter valued at approximately $25,000. Inlight Wealth Management LLC purchased a new position in shares of Broadcom during the first quarter valued at approximately $26,000. Sunbeam Capital Management LLC purchased a new position in shares of Broadcom during the fourth quarter valued at approximately $28,000. Finally, Vermillion Wealth Management Inc. purchased a new position in shares of Broadcom during the fourth quarter valued at approximately $30,000. 76.43% of the stock is owned by institutional investors.

Broadcom Trading Down 1.2%

AVGO stock opened at $309.09 on Thursday. The company’s 50-day simple moving average is $276.06 and its 200-day simple moving average is $228.20. The company has a quick ratio of 0.98, a current ratio of 1.08 and a debt-to-equity ratio of 0.89. Broadcom Inc. has a 52-week low of $134.90 and a 52-week high of $317.35. The firm has a market cap of $1.45 trillion, a P/E ratio of 115.76, a PEG ratio of 2.22 and a beta of 1.15.

Broadcom (NASDAQ:AVGO) last posted its earnings results on Thursday, June 5th. The semiconductor manufacturer reported $1.58 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.57 by $0.01. Broadcom had a net margin of 22.64% and a return on equity of 35.49%. The business had revenue of $15 billion for the quarter, compared to analyst estimates of $14.98 billion. During the same period in the prior year, the company posted $10.96 EPS. The company’s revenue for the quarter was up 20.2% on a year-over-year basis. As a group, equities analysts forecast that Broadcom Inc. will post 5.38 EPS for the current fiscal year.

Broadcom Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Monday, June 30th. Investors of record on Friday, June 20th were given a dividend of $0.59 per share. This represents a $2.36 annualized dividend and a dividend yield of 0.8%. The ex-dividend date was Friday, June 20th. Broadcom’s dividend payout ratio is 88.39%.

Insider Activity

In other Broadcom news, Director Henry Samueli sold 473,898 shares of the firm’s stock in a transaction that occurred on Wednesday, June 25th. The shares were sold at an average price of $265.33, for a total value of $125,739,356.34. Following the transaction, the director directly owned 38,188,575 shares of the company’s stock, valued at $10,132,574,604.75. This trade represents a 1.23% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Mark David Brazeal sold 50,000 shares of the firm’s stock in a transaction that occurred on Monday, June 23rd. The stock was sold at an average price of $253.28, for a total transaction of $12,664,000.00. Following the completion of the transaction, the insider directly owned 415,956 shares in the company, valued at $105,353,335.68. This trade represents a 10.73% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 829,716 shares of company stock worth $217,040,489. Company insiders own 2.00% of the company’s stock.

Analyst Ratings Changes

Several research analysts have issued reports on the company. JPMorgan Chase & Co. boosted their target price on Broadcom from $250.00 to $325.00 and gave the company an “overweight” rating in a research report on Friday, June 6th. Barclays boosted their target price on Broadcom from $215.00 to $265.00 and gave the company an “overweight” rating in a research report on Monday, June 9th. Truist Financial set a $295.00 price target on Broadcom and gave the company a “buy” rating in a report on Friday, June 6th. Wells Fargo & Company boosted their price target on Broadcom from $230.00 to $255.00 and gave the company an “equal weight” rating in a report on Friday, June 6th. Finally, Morgan Stanley set a $338.00 price target on Broadcom and gave the company an “overweight” rating in a report on Wednesday, July 30th. Two analysts have rated the stock with a hold rating, twenty-six have given a buy rating and three have issued a strong buy rating to the stock. According to MarketBeat.com, Broadcom currently has a consensus rating of “Buy” and an average price target of $294.92.

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.