Broadcom Inc. (NASDAQ:AVGO) Receives Consensus Recommendation of “Buy” from Brokerages

Broadcom Inc. (NASDAQ:AVGO) has been assigned a consensus recommendation of “Buy” from the thirty-three analysts that are covering the company, Marketbeat Ratings reports. One research analyst has rated the stock with a hold rating, twenty-nine have issued a buy rating and three have issued a strong buy rating on the company. The average 12 month price objective among brokerages that have issued ratings on the stock in the last year is $436.3333.

Several analysts have weighed in on the company. Cowen reiterated a “buy” rating on shares of Broadcom in a research report on Friday, December 12th. KeyCorp reaffirmed an “overweight” rating and issued a $500.00 target price (up from $460.00) on shares of Broadcom in a research note on Friday, December 12th. JPMorgan Chase & Co. upped their price target on shares of Broadcom from $400.00 to $475.00 and gave the company an “overweight” rating in a report on Friday, December 12th. Evercore ISI increased their price target on shares of Broadcom from $342.00 to $403.00 and gave the company an “outperform” rating in a research report on Wednesday, October 15th. Finally, Rosenblatt Securities boosted their price objective on shares of Broadcom from $400.00 to $440.00 and gave the company a “buy” rating in a research report on Tuesday, December 9th.

Broadcom Stock Up 0.5%

Shares of NASDAQ:AVGO opened at $352.13 on Friday. The stock has a market capitalization of $1.67 trillion, a P/E ratio of 73.98, a price-to-earnings-growth ratio of 1.21 and a beta of 1.19. The stock’s 50-day moving average price is $362.74 and its 200-day moving average price is $324.51. The company has a current ratio of 1.71, a quick ratio of 1.58 and a debt-to-equity ratio of 0.76. Broadcom has a 12-month low of $138.10 and a 12-month high of $414.61.

Broadcom (NASDAQ:AVGO) last released its earnings results on Thursday, December 11th. The semiconductor manufacturer reported $1.95 earnings per share for the quarter, beating analysts’ consensus estimates of $1.87 by $0.08. The company had revenue of $18.02 billion during the quarter, compared to analyst estimates of $17.46 billion. Broadcom had a return on equity of 37.45% and a net margin of 36.20%.Broadcom’s revenue for the quarter was up 28.2% on a year-over-year basis. During the same quarter in the previous year, the company posted $1.42 EPS. On average, equities analysts anticipate that Broadcom will post 5.38 earnings per share for the current year.

Broadcom Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, December 31st. Investors of record on Monday, December 22nd will be paid a $0.65 dividend. The ex-dividend date of this dividend is Monday, December 22nd. This is a boost from Broadcom’s previous quarterly dividend of $0.59. This represents a $2.60 annualized dividend and a dividend yield of 0.7%. Broadcom’s payout ratio is 54.62%.

Insider Buying and Selling at Broadcom

In other Broadcom news, insider Mark David Brazeal sold 38,281 shares of the stock in a transaction that occurred on Wednesday, December 17th. The stock was sold at an average price of $327.65, for a total value of $12,542,769.65. Following the completion of the sale, the insider owned 266,494 shares in the company, valued at approximately $87,316,759.10. This trade represents a 12.56% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CFO Kirsten M. Spears sold 3,714 shares of Broadcom stock in a transaction that occurred on Wednesday, December 17th. The stock was sold at an average price of $327.79, for a total value of $1,217,412.06. Following the completion of the sale, the chief financial officer owned 307,237 shares in the company, valued at approximately $100,709,216.23. This represents a 1.19% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 524,780 shares of company stock worth $195,499,150 over the last three months. 2.00% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in AVGO. Sawyer & Company Inc lifted its holdings in Broadcom by 62.1% in the second quarter. Sawyer & Company Inc now owns 94 shares of the semiconductor manufacturer’s stock worth $26,000 after buying an additional 36 shares during the period. Longfellow Investment Management Co. LLC purchased a new position in shares of Broadcom during the 2nd quarter worth approximately $27,000. Legend Financial Advisors Inc. bought a new position in shares of Broadcom in the 2nd quarter worth approximately $28,000. Teachers Insurance & Annuity Association of America bought a new position in shares of Broadcom in the 2nd quarter worth approximately $28,000. Finally, LGT Financial Advisors LLC purchased a new position in shares of Broadcom in the 2nd quarter valued at approximately $31,000. 76.43% of the stock is currently owned by institutional investors.

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.