Bancreek Capital Management LP Reduces Position in Broadcom Inc. $AVGO

Bancreek Capital Management LP decreased its position in Broadcom Inc. (NASDAQ:AVGO) by 40.8% in the 4th quarter, HoldingsChannel reports. The institutional investor owned 7,929 shares of the semiconductor manufacturer’s stock after selling 5,459 shares during the period. Broadcom accounts for 11.4% of Bancreek Capital Management LP’s holdings, making the stock its 2nd biggest position. Bancreek Capital Management LP’s holdings in Broadcom were worth $2,744,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Archvest Wealth Advisors Inc. increased its stake in Broadcom by 3,381.5% in the 4th quarter. Archvest Wealth Advisors Inc. now owns 23,500 shares of the semiconductor manufacturer’s stock valued at $8,133,000 after buying an additional 22,825 shares during the last quarter. Sarver Vrooman Wealth Advisors purchased a new stake in Broadcom in the 4th quarter valued at about $69,000. REAP Financial Group LLC increased its stake in Broadcom by 38.3% in the 4th quarter. REAP Financial Group LLC now owns 1,693 shares of the semiconductor manufacturer’s stock valued at $586,000 after buying an additional 469 shares during the last quarter. Private Wealth Asset Management LLC increased its stake in Broadcom by 32.1% in the 4th quarter. Private Wealth Asset Management LLC now owns 7,780 shares of the semiconductor manufacturer’s stock valued at $2,693,000 after buying an additional 1,891 shares during the last quarter. Finally, BlackDiamond Wealth Management LLC increased its stake in Broadcom by 12.9% in the 4th quarter. BlackDiamond Wealth Management LLC now owns 7,354 shares of the semiconductor manufacturer’s stock valued at $2,529,000 after buying an additional 839 shares during the last quarter. Hedge funds and other institutional investors own 76.43% of the company’s stock.

Insider Buying and Selling at Broadcom

In related news, insider Charlie B. Kawwas sold 39,116 shares of Broadcom stock in a transaction that occurred on Tuesday, March 17th. The shares were sold at an average price of $321.61, for a total value of $12,580,096.76. Following the completion of the transaction, the insider directly owned 74,626 shares in the company, valued at approximately $24,000,467.86. The trade was a 34.39% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Mark David Brazeal sold 50,488 shares of Broadcom stock in a transaction that occurred on Tuesday, March 17th. The shares were sold at an average price of $321.60, for a total transaction of $16,236,940.80. Following the completion of the transaction, the insider owned 278,141 shares of the company’s stock, valued at $89,450,145.60. This represents a 15.36% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 324,282 shares of company stock valued at $106,425,249 over the last 90 days. 1.90% of the stock is currently owned by corporate insiders.

Wall Street Analyst Weigh In

Several equities research analysts have commented on AVGO shares. Zacks Research lowered shares of Broadcom from a “strong-buy” rating to a “hold” rating in a research note on Thursday, May 21st. Evercore reiterated an “outperform” rating and issued a $582.00 price objective on shares of Broadcom in a research note on Tuesday, May 19th. Benchmark increased their price objective on shares of Broadcom from $485.00 to $545.00 and gave the company a “buy” rating in a research note on Thursday. Cantor Fitzgerald restated an “overweight” rating and set a $525.00 price target on shares of Broadcom in a research note on Thursday. Finally, UBS Group set a $485.00 price target on shares of Broadcom and gave the stock a “buy” rating in a research note on Thursday. One equities research analyst has rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating and three have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $490.13.

Broadcom Trading Down 7.9%

Shares of AVGO stock opened at $385.73 on Friday. The company has a 50 day moving average of $396.22 and a 200-day moving average of $361.90. The company has a quick ratio of 1.73, a current ratio of 2.24 and a debt-to-equity ratio of 0.71. Broadcom Inc. has a 12-month low of $241.11 and a 12-month high of $495.00. The firm has a market cap of $1.83 trillion, a P/E ratio of 64.29, a PEG ratio of 0.79 and a beta of 1.41.

Broadcom (NASDAQ:AVGO) last issued its quarterly earnings results on Wednesday, June 3rd. The semiconductor manufacturer reported $2.44 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.40 by $0.04. Broadcom had a net margin of 38.85% and a return on equity of 41.61%. The company had revenue of $22.19 billion during the quarter, compared to analyst estimates of $22.13 billion. During the same quarter last year, the business posted $1.58 EPS. Broadcom’s quarterly revenue was up 47.9% compared to the same quarter last year. Sell-side analysts anticipate that Broadcom Inc. will post 9.97 earnings per share for the current year.

Broadcom Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, June 30th. Investors of record on Monday, June 22nd will be paid a $0.65 dividend. This represents a $2.60 dividend on an annualized basis and a yield of 0.7%. The ex-dividend date is Monday, June 22nd. Broadcom’s payout ratio is currently 43.33%.

Broadcom News Summary

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom posted record quarterly revenue, beat earnings estimates, and said AI semiconductor demand remains strong, supporting the long-term growth story. Broadcom Q2 Earnings Surpasses Estimates, Revenues Surge Y/Y
• Positive Sentiment: Several analysts remain bullish and raised price targets after the pullback, arguing the market is overreacting to expectations rather than fundamentals. Goldman Sachs urges investors to buy Broadcom dip with still AI revenue trajectory intact
• Positive Sentiment: Management still expects AI revenue to reach $56 billion in fiscal 2026 and more than $100 billion in fiscal 2027, keeping the longer-term AI thesis intact. AVGO Shares Drop 13% Post Q2 Results: Buy, Sell or Hold on the Dip?
• Neutral Sentiment: Broadcom also declared a quarterly dividend, which is supportive for income investors but not a major near-term stock driver.
• Negative Sentiment: The stock is under pressure because the AI outlook, while strong, was not upgraded enough to satisfy investors who had priced in an even bigger upside surprise. Broadcom’s sales and AI chip forecast comes in below expectations, shares tumble
• Negative Sentiment: The disappointment has spilled over into the semiconductor sector, pressuring peers such as AMD, Intel, Micron, and Marvell as investors reassess AI trade valuations. Intel, AMD stocks slide again in aftermath of Broadcom’s weak outlook

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.