Jupiter Topco LLC Invests $7.40 Billion in Broadcom Inc. $AVGO

Jupiter Topco LLC purchased a new stake in Broadcom Inc. (NASDAQ:AVGO) in the second quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor purchased 19,583,057 shares of the semiconductor manufacturer’s stock, valued at approximately $7,396,271,000. Broadcom comprises 3.0% of Jupiter Topco LLC’s portfolio, making the stock its 3rd biggest position.

Other hedge funds have also modified their holdings of the company. Wedbush Fund Advisers LLC boosted its stake in Broadcom by 3.1% during the 2nd quarter. Wedbush Fund Advisers LLC now owns 134,435 shares of the semiconductor manufacturer’s stock worth $50,783,000 after acquiring an additional 3,992 shares during the last quarter. J. Goldman & Co LP bought a new stake in Broadcom in the second quarter valued at approximately $15,356,000. Bristol Gate Capital Partners Inc. bought a new stake in Broadcom in the second quarter valued at approximately $55,940,000. ABS Investment Management LLC acquired a new stake in Broadcom in the second quarter worth $967,040,000. Finally, EFG International AG acquired a new stake in Broadcom in the second quarter worth $132,482,000. 76.43% of the stock is currently owned by institutional investors and hedge funds.

Insider Transactions at Broadcom

In other Broadcom news, Director Justine Page sold 1,602 shares of the business’s stock in a transaction that occurred on Monday, June 29th. The stock was sold at an average price of $373.86, for a total value of $598,923.72. Following the sale, the director owned 17,426 shares in the company, valued at approximately $6,514,884.36. The trade was a 8.42% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Gayla J. Delly sold 1,890 shares of the company’s stock in a transaction that occurred on Wednesday, July 8th. The stock was sold at an average price of $385.38, for a total value of $728,368.20. Following the transaction, the director directly owned 31,326 shares of the company’s stock, valued at approximately $12,072,413.88. This trade represents a 5.69% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 61,644 shares of company stock valued at $24,016,214 over the last three months. 1.90% of the stock is currently owned by corporate insiders.

Broadcom News Roundup

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Investor interest in Broadcom’s AI opportunity remains strong. AI semiconductor revenue surged 221% year over year to $16.7 billion, while management raised its AI revenue outlook to approximately $115 billion for fiscal 2027 and $230 billion for fiscal 2028. Several analysts and commentators view the selloff as a buying opportunity. The Path to $230 Billion: Broadcom Outlines the Next Phase of Its AI Growth Story
• Positive Sentiment: Analysts continue to see substantial upside despite some target reductions. Truist maintained a buy rating with a $520 target, while other firms cited targets ranging from $575 to $600. Macquarie upgraded Broadcom to Outperform, citing strong custom-chip growth and reduced concerns about customers developing chips internally. These Analysts Increase Their Forecasts On Broadcom Following Upbeat Q3 Earnings
• Positive Sentiment: Unusual options activity provided another bullish trading signal: investors purchased roughly 373,000 call options, about 26% above average call volume. Broadcom also declared a quarterly dividend of $0.65 per share, payable September 30 to eligible shareholders.
• Neutral Sentiment: Broadcom beat quarterly expectations with adjusted earnings of $3.32 per share versus a $3.22 consensus and revenue of $29.59 billion. The company’s long-term AI demand commentary was strong, but investors are focused on whether supply, power, land and data-center construction constraints can limit near-term shipments. Broadcom CEO Says AI Demand Could Be Significantly Higher
• Negative Sentiment: The main pressure remains Broadcom’s fourth-quarter revenue outlook of $34.8 billion, slightly below Wall Street’s roughly $35.0 billion expectation. The modest guidance miss, concerns about margin compression and customer concentration—including major AI customers—caused the initial sell-the-news reaction despite excellent AI growth.
• Negative Sentiment: Third Point disclosed that it exited its remaining Broadcom position during the second quarter. Although the holding was relatively small, the sale adds to caution around elevated valuation and expectations for the AI-chip cycle.

Analyst Ratings Changes

A number of brokerages have recently weighed in on AVGO. The Goldman Sachs Group reissued a “buy” rating on shares of Broadcom in a report on Monday, August 3rd. Morgan Stanley reaffirmed an “overweight” rating and set a $505.00 price objective (up from $502.00) on shares of Broadcom in a research note on Thursday. Mizuho boosted their target price on Broadcom from $480.00 to $530.00 and gave the company an “outperform” rating in a research note on Thursday, June 4th. Cantor Fitzgerald increased their price target on Broadcom from $525.00 to $600.00 and gave the stock an “overweight” rating in a report on Thursday. Finally, Lake Street Capital raised Broadcom to a “buy” rating in a research report on Thursday. Thirty-one research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company’s stock. Based on data from MarketBeat, Broadcom has an average rating of “Moderate Buy” and a consensus target price of $500.60.

Broadcom Trading Up 0.2%

Shares of NASDAQ:AVGO opened at $357.89 on Friday. The firm has a market cap of $1.70 trillion, a price-to-earnings ratio of 45.71, a PEG ratio of 0.68 and a beta of 1.44. Broadcom Inc. has a 12 month low of $289.96 and a 12 month high of $495.00. The company’s fifty day simple moving average is $383.57 and its 200 day simple moving average is $377.23. The company has a quick ratio of 2.01, a current ratio of 2.50 and a debt-to-equity ratio of 0.57.

Broadcom (NASDAQ:AVGO) last announced its earnings results on Wednesday, September 2nd. The semiconductor manufacturer reported $3.32 earnings per share for the quarter, topping analysts’ consensus estimates of $3.22 by $0.10. The firm had revenue of $29.59 billion during the quarter, compared to analyst estimates of $29.24 billion. Broadcom had a net margin of 42.94% and a return on equity of 48.33%. The company’s revenue for the quarter was up 85.5% compared to the same quarter last year. During the same period in the prior year, the business earned $1.69 EPS. As a group, research analysts forecast that Broadcom Inc. will post 10.25 EPS for the current fiscal year.

Broadcom Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, September 30th. Stockholders of record on Monday, September 21st will be issued a $0.65 dividend. This represents a $2.60 dividend on an annualized basis and a dividend yield of 0.7%. The ex-dividend date is Monday, September 21st. Broadcom’s payout ratio is 33.21%.

Broadcom 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.