Primecap Management Co. CA Sells 40,290 Shares of Broadcom Inc. $AVGO

Primecap Management Co. CA lowered its stake in Broadcom Inc. (NASDAQ:AVGO) by 4.9% in the 3rd quarter, according to its most recent disclosure with the SEC. The fund owned 783,708 shares of the semiconductor manufacturer’s stock after selling 40,290 shares during the quarter. Primecap Management Co. CA’s holdings in Broadcom were worth $258,553,000 at the end of the most recent quarter.

A number of other institutional investors have also recently made changes to their positions in the stock. Longfellow Investment Management Co. LLC bought a new stake in Broadcom in the 2nd quarter worth $27,000. Teachers Insurance & Annuity Association of America purchased a new stake in shares of Broadcom during the second quarter worth about $28,000. New England Capital Financial Advisors LLC bought a new stake in shares of Broadcom in the second quarter worth about $31,000. JCIC Asset Management Inc. purchased a new position in Broadcom during the 3rd quarter valued at about $31,000. Finally, Manning & Napier Advisors LLC bought a new position in Broadcom during the 3rd quarter valued at approximately $34,000. Hedge funds and other institutional investors own 76.43% of the company’s stock.

Analyst Upgrades and Downgrades

A number of brokerages have recently weighed in on AVGO. Benchmark lifted their price objective on Broadcom from $385.00 to $485.00 and gave the stock a “buy” rating in a research report on Friday, December 12th. TD Cowen reiterated a “buy” rating on shares of Broadcom in a report on Friday, December 12th. Truist Financial boosted their price objective on shares of Broadcom from $500.00 to $510.00 and gave the company a “buy” rating in a research report on Friday, December 19th. Mizuho set a $480.00 price objective on shares of Broadcom and gave the stock an “outperform” rating in a report on Friday, January 9th. Finally, Wall Street Zen raised shares of Broadcom from a “hold” rating to a “buy” rating in a research note on Saturday, December 13th. Two research analysts have rated the stock with a Strong Buy rating, thirty have assigned a Buy rating and two have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the company presently has an average rating of “Buy” and an average target price of $433.13.

Broadcom Price Performance

Shares of NASDAQ AVGO opened at $332.31 on Thursday. The company has a 50 day simple moving average of $336.92 and a two-hundred day simple moving average of $342.35. Broadcom Inc. has a fifty-two week low of $138.10 and a fifty-two week high of $414.61. The company has a market capitalization of $1.58 trillion, a price-to-earnings ratio of 69.81, a P/E/G ratio of 1.04 and a beta of 1.21. The company has a debt-to-equity ratio of 0.76, a quick ratio of 1.58 and a current ratio of 1.71.

Broadcom (NASDAQ:AVGO) last posted its quarterly earnings results on Thursday, December 11th. The semiconductor manufacturer reported $1.95 earnings per share for the quarter, topping the consensus estimate of $1.87 by $0.08. The company had revenue of $18.02 billion for the quarter, compared to the consensus estimate of $17.46 billion. Broadcom had a return on equity of 37.45% and a net margin of 36.20%.The firm’s quarterly revenue was up 28.2% compared to the same quarter last year. During the same quarter in the prior year, the business posted $1.42 EPS. Analysts expect that Broadcom Inc. will post 5.38 EPS for the current fiscal year.

Broadcom Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, December 31st. Stockholders of record on Monday, December 22nd were paid a $0.65 dividend. This is an increase from Broadcom’s previous quarterly dividend of $0.59. This represents a $2.60 dividend on an annualized basis and a dividend yield of 0.8%. The ex-dividend date of this dividend was Monday, December 22nd. Broadcom’s payout ratio is currently 54.62%.

Trending Headlines about Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom launched its BroadPeak chip aimed at 5G Advanced/6G that cuts power consumption ~40% and targets carrier and infrastructure upgrade cycles — a potential long-term revenue driver. Broadcom Inc. (AVGO) Launches BroadPeak, Here’s What You Should Know
• Positive Sentiment: Analysts and firm notes highlight AI tailwinds and a higher long-term valuation baked into models — supporting upside expectations for semiconductor and AI revenue. TD Cowen Adjusts Broadcom (AVGO) Valuation, Highlights Long-Term AI Tailwinds
• Positive Sentiment: Market commentary (and some analysts) position Broadcom as a buy ahead of earnings, citing its growing AI chip business layered on a stable legacy base. Here’s Why Broadcom Stock Is a Buy Before March 4
• Positive Sentiment: Company forecasts and analyst previews expect AI revenue to double and semiconductor revenue to grow strongly, raising expectations for an earnings beat next week. AVGO Expands Connectivity Portfolio to Tap 6G: What’s Ahead?
• Positive Sentiment: Several previews (Seeking Alpha, Zacks) argue Broadcom is positioned for another “double-beat” on revenue and EPS, which is likely supporting buying into the report. Broadcom: Set For Another Double-Beat Next Week (Earnings Preview)
• Neutral Sentiment: Wall Street note: analysts expect earnings growth next week but Zacks cautions Broadcom may not have the typical setup for an easy beat — watch guides and AI revenue disclosure. Broadcom Inc. (AVGO) Reports Next Week: Wall Street Expects Earnings Growth
• Neutral Sentiment: Broadcom’s next quarterly dividend was reiterated with a payment date in late March, supporting the stock’s income profile but not materially changing growth outlook. Broadcom to pay dividends on March 31; Here’s how much 100 AVGO shares will earn
• Neutral Sentiment: Coverage pieces and trading commentary note the stock is higher intraday but many analysts say the “real move” will depend on the upcoming earnings release and AI revenue details. Broadcom stock is up 3% today, but analysts say real move is ahead
• Negative Sentiment: Recent session note: the stock had a pullback yesterday, indicating some near-term volatility ahead of results. Broadcom Inc. (AVGO) Stock Declines While Market Improves: Some Information for Investors

Insider Transactions at Broadcom

In related news, CEO Hock E. Tan sold 70,000 shares of the stock in a transaction dated Tuesday, January 6th. The shares were sold at an average price of $347.30, for a total transaction of $24,311,000.00. Following the sale, the chief executive officer directly owned 132,836 shares of the company’s stock, valued at approximately $46,133,942.80. This represents a 34.51% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Harry L. You acquired 1,000 shares of Broadcom stock in a transaction on Thursday, December 18th. The shares were purchased at an average price of $325.13 per share, with a total value of $325,130.00. Following the completion of the purchase, the director owned 36,602 shares in the company, valued at $11,900,408.26. This represents a 2.81% increase in their position. The SEC filing for this purchase provides additional information. In the last 90 days, insiders sold 779,101 shares of company stock valued at $283,804,325. 2.00% of the stock is currently owned by corporate insiders.

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.