Dilation Capital Management LP Boosts Position in Broadcom Inc. $AVGO

Dilation Capital Management LP increased its holdings in Broadcom Inc. (NASDAQ:AVGO) by 28.0% in the third quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 27,364 shares of the semiconductor manufacturer’s stock after acquiring an additional 5,984 shares during the quarter. Broadcom comprises approximately 4.5% of Dilation Capital Management LP’s portfolio, making the stock its 11th biggest position. Dilation Capital Management LP’s holdings in Broadcom were worth $9,028,000 as of its most recent SEC filing.

Other large investors have also added to or reduced their stakes in the company. Longfellow Investment Management Co. LLC purchased a new position in shares of Broadcom during the second quarter valued at about $27,000. Teachers Insurance & Annuity Association of America bought a new stake in Broadcom during the 2nd quarter valued at approximately $28,000. LGT Financial Advisors LLC purchased a new position in shares of Broadcom during the 2nd quarter worth approximately $31,000. New England Capital Financial Advisors LLC purchased a new position in shares of Broadcom during the 2nd quarter worth approximately $31,000. Finally, JCIC Asset Management Inc. bought a new position in shares of Broadcom in the 3rd quarter worth approximately $31,000. Institutional investors own 76.43% of the company’s stock.

Insiders Place Their Bets

In related news, CEO Hock E. Tan sold 130,000 shares of the stock in a transaction on Thursday, December 18th. The stock was sold at an average price of $326.02, for a total transaction of $42,382,600.00. Following the sale, the chief executive officer directly owned 595,638 shares of the company’s stock, valued at $194,189,900.76. This trade represents a 17.92% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Henry Samueli sold 320,316 shares of Broadcom stock in a transaction dated Monday, December 8th. The stock was sold at an average price of $400.53, for a total value of $128,296,167.48. Following the completion of the sale, the director owned 37,326,540 shares of the company’s stock, valued at $14,950,399,066.20. The trade was a 0.85% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 779,901 shares of company stock valued at $284,069,237. Company insiders own 2.00% of the company’s stock.

Broadcom Trading Up 2.4%

Shares of NASDAQ AVGO opened at $332.79 on Wednesday. The firm’s 50 day moving average price is $356.69 and its 200-day moving average price is $336.92. The company has a market cap of $1.58 trillion, a PE ratio of 69.91, a P/E/G ratio of 1.08 and a beta of 1.21. Broadcom Inc. has a 52-week low of $138.10 and a 52-week high of $414.61. 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 announced its quarterly earnings results on Thursday, December 11th. The semiconductor manufacturer reported $1.95 earnings per share for the quarter, beating the consensus estimate of $1.87 by $0.08. Broadcom had a net margin of 36.20% and a return on equity of 37.45%. The company had revenue of $18.02 billion during the quarter, compared to the consensus estimate of $17.46 billion. During the same quarter last year, the firm earned $1.42 earnings per share. The firm’s quarterly revenue was up 28.2% compared to the same quarter last year. On average, equities research analysts expect that Broadcom Inc. will post 5.38 EPS for the current fiscal year.

Broadcom Increases Dividend

The firm also recently declared 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 annualized dividend and a dividend yield of 0.8%. The ex-dividend date was Monday, December 22nd. Broadcom’s dividend payout ratio (DPR) is presently 54.62%.

Wall Street Analysts Forecast Growth

Several brokerages recently weighed in on AVGO. Wall Street Zen raised Broadcom from a “hold” rating to a “buy” rating in a research note on Saturday, December 13th. Benchmark upped their target price on shares of Broadcom from $385.00 to $485.00 and gave the stock a “buy” rating in a research report on Friday, December 12th. Truist Financial increased their price target on shares of Broadcom from $500.00 to $510.00 and gave the stock a “buy” rating in a research note on Friday, December 19th. Barclays reissued an “overweight” rating and set a $500.00 price objective (up previously from $450.00) on shares of Broadcom in a research note on Friday, December 12th. Finally, JPMorgan Chase & Co. raised their target price on shares of Broadcom from $400.00 to $475.00 and gave the company an “overweight” rating in a research note on Friday, December 12th. Two research analysts have rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating and one has assigned a Hold rating to the company. According to data from MarketBeat.com, the company currently has an average rating of “Buy” and an average target price of $438.61.

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.