Cohen Klingenstein LLC Acquires New Position in Broadcom Inc. $AVGO

Cohen Klingenstein LLC acquired a new stake in shares of Broadcom Inc. (NASDAQ:AVGO) in the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The firm acquired 177,555 shares of the semiconductor manufacturer’s stock, valued at approximately $54,955,000. Broadcom makes up 1.8% of Cohen Klingenstein LLC’s investment portfolio, making the stock its 12th biggest holding.

Several other hedge funds and other institutional investors have also recently made changes to their positions in AVGO. Nations Financial Group Inc. IA ADV grew its holdings in shares of Broadcom by 0.6% during the first quarter. Nations Financial Group Inc. IA ADV now owns 58,720 shares of the semiconductor manufacturer’s stock valued at $18,174,000 after buying an additional 362 shares during the last quarter. Brady Martz Wealth Solutions LLC increased its position in shares of Broadcom by 3.0% during the first quarter. Brady Martz Wealth Solutions LLC now owns 20,439 shares of the semiconductor manufacturer’s stock valued at $6,326,000 after acquiring an additional 590 shares in the last quarter. Weatherly Asset Management L. P. raised its holdings in Broadcom by 4.0% in the 1st quarter. Weatherly Asset Management L. P. now owns 16,220 shares of the semiconductor manufacturer’s stock worth $5,020,000 after acquiring an additional 624 shares during the last quarter. J. Derek Lewis & Associates Inc. purchased a new position in Broadcom in the 4th quarter worth approximately $4,251,000. Finally, Purpose Unlimited Inc. bought a new position in Broadcom in the 4th quarter valued at approximately $14,371,000. Institutional investors own 76.43% of the company’s stock.

Insider Buying and Selling

In other Broadcom news, insider S. Ram Velaga sold 17,260 shares of the business’s stock in a transaction dated Thursday, April 9th. The stock was sold at an average price of $352.12, for a total transaction of $6,077,591.20. Following the completion of the sale, the insider directly owned 65,932 shares in the company, valued at $23,215,975.84. The trade was a 20.75% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Justine Page sold 2,018 shares of the company’s stock in a transaction dated Wednesday, April 8th. The shares were sold at an average price of $353.00, for a total transaction of $712,354.00. Following the sale, the director directly owned 18,164 shares of the company’s stock, valued at $6,411,892. The trade was a 10.00% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 59,385 shares of company stock valued at $21,301,057 in the last 90 days. Insiders own 1.90% of the company’s stock.

Wall Street Analyst Weigh In

Several analysts have commented on the company. Oppenheimer reiterated an “outperform” rating and set a $535.00 target price (up from $450.00) on shares of Broadcom in a research note on Thursday, June 4th. TD Cowen reaffirmed a “buy” rating and set a $500.00 price target on shares of Broadcom in a report on Thursday, June 4th. KeyCorp reaffirmed an “overweight” rating and set a $575.00 price target (up from $500.00) on shares of Broadcom in a report on Thursday, June 4th. Susquehanna reaffirmed a “positive” rating and set a $490.00 price objective (up from $450.00) on shares of Broadcom in a research report on Thursday, May 28th. Finally, Wall Street Zen upgraded Broadcom from a “buy” rating to a “strong-buy” rating in a report on Monday, June 15th. One research analyst has rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating and three have given a Hold rating to the company. According to MarketBeat, Broadcom has a consensus rating of “Moderate Buy” and a consensus target price of $490.13.

Broadcom Stock Performance

NASDAQ:AVGO opened at $411.35 on Monday. The company has a market cap of $1.96 trillion, a PE ratio of 68.56, a price-to-earnings-growth ratio of 0.72 and a beta of 1.41. The company has a current ratio of 2.24, a quick ratio of 2.01 and a debt-to-equity ratio of 0.71. The company has a 50 day simple moving average of $411.42 and a two-hundred day simple moving average of $363.34. Broadcom Inc. has a 12 month low of $244.17 and a 12 month high of $495.00.

Broadcom (NASDAQ:AVGO) last released its quarterly earnings results on Wednesday, June 3rd. The semiconductor manufacturer reported $2.44 earnings per share for the quarter, beating the consensus estimate of $2.40 by $0.04. The firm had revenue of $22.19 billion for the quarter, compared to analysts’ expectations of $22.13 billion. Broadcom had a return on equity of 41.61% and a net margin of 38.85%.The company’s revenue was up 47.9% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.58 EPS. Research analysts forecast that Broadcom Inc. will post 10.24 earnings per share for the current year.

Broadcom Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, June 30th. Investors of record on Monday, June 22nd will be given a dividend of $0.65 per share. This represents a $2.60 dividend on an annualized basis and a yield of 0.6%. The ex-dividend date is Monday, June 22nd. Broadcom’s dividend payout ratio is 43.33%.

Broadcom News Summary

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom’s debt tender offer was upsized to $3 billion after strong investor demand, signaling active balance-sheet management and reinforcing investor confidence. Broadcom Inc. Announces Results and Upsize of Offers to Purchase for Cash Certain of its Outstanding Debt Securities
• Positive Sentiment: JPMorgan remained bullish on Broadcom, saying investors should be “aggressive buyers,” which supports the view that the market may still be underestimating AVGO’s AI growth. AVGO stock jumps — JPMorgan says investors should be ‘aggressive buyers’ of Broadcom at current levels
• Positive Sentiment: Citi also called Broadcom a top chip stock on strong data-center demand, adding another bullish Wall Street view tied to AI infrastructure spending. Citi Touts Broadcom Inc. (AVGO) as a Top Chip Stock on Soaring Data Center Demand
• Positive Sentiment: One report said VMware, Broadcom’s second-largest business, may be set to accelerate, which could broaden growth beyond the company’s AI chip exposure. VMware: Broadcom’s Second Biggest Business Set to Accelerate
• Neutral Sentiment: Insider Mark David Brazeal sold shares in two June transactions, but the sales were relatively small versus his remaining stake and do not necessarily change the broader investment thesis. Mark David Brazeal insider trading page
• Negative Sentiment: One analyst warned that chip valuations are getting stretched and suggested investors could consider alternatives, including Broadcom, which may temper enthusiasm if valuation concerns intensify. Analyst Warns Intel Valuation ‘Doesn’t Make Sense.’ Suggests NVIDIA, AMD, Micron, and Broadcom as Alternatives.

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.