Altimeter Capital Management LP Trims Holdings in Broadcom Inc. $AVGO

Altimeter Capital Management LP cut its stake in Broadcom Inc. (NASDAQ:AVGO) by 95.7% during the fourth quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 32,129 shares of the semiconductor manufacturer’s stock after selling 712,647 shares during the period. Broadcom comprises about 0.2% of Altimeter Capital Management LP’s investment portfolio, making the stock its 17th largest position. Altimeter Capital Management LP’s holdings in Broadcom were worth $11,120,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other hedge funds have also recently made changes to their positions in the stock. American Trust grew its holdings in shares of Broadcom by 2.2% in the fourth quarter. American Trust now owns 10,410 shares of the semiconductor manufacturer’s stock worth $3,603,000 after purchasing an additional 228 shares during the last quarter. Freestone Grove Partners LP grew its holdings in shares of Broadcom by 7.8% in the fourth quarter. Freestone Grove Partners LP now owns 30,085 shares of the semiconductor manufacturer’s stock worth $10,412,000 after purchasing an additional 2,180 shares during the last quarter. Challenger Wealth Management grew its holdings in shares of Broadcom by 8.5% in the fourth quarter. Challenger Wealth Management now owns 7,049 shares of the semiconductor manufacturer’s stock worth $2,440,000 after purchasing an additional 551 shares during the last quarter. Bank OZK increased its stake in shares of Broadcom by 3.5% during the fourth quarter. Bank OZK now owns 7,884 shares of the semiconductor manufacturer’s stock valued at $2,729,000 after buying an additional 265 shares during the period. Finally, DV Equities LLC bought a new stake in shares of Broadcom in the fourth quarter valued at about $2,276,000. 76.43% of the stock is currently owned by institutional investors.

Insider Transactions at Broadcom

In related news, Director Justine Page sold 2,018 shares of the company’s stock in a transaction that occurred on Wednesday, April 8th. The stock was sold at an average price of $353.00, for a total value of $712,354.00. Following the sale, the director owned 18,164 shares in the company, valued at $6,411,892. This represents a 10.00% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Gayla J. Delly sold 1,000 shares of the business’s stock in a transaction that occurred on Thursday, April 9th. The shares were sold at an average price of $358.31, for a total value of $358,310.00. Following the completion of the transaction, the director directly owned 32,352 shares of the company’s stock, valued at $11,592,045.12. The trade was a 3.00% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 51,233 shares of company stock valued at $18,125,134 over the last quarter. Company insiders own 1.90% of the company’s stock.

Analyst Upgrades and Downgrades

AVGO has been the subject of several recent research reports. Oppenheimer restated an “outperform” rating and issued a $535.00 price objective (up from $450.00) on shares of Broadcom in a report on Thursday, June 4th. DA Davidson lifted their price objective on Broadcom from $375.00 to $400.00 and gave the company a “neutral” rating in a report on Thursday, June 4th. JPMorgan Chase & Co. lifted their price objective on Broadcom from $500.00 to $580.00 and gave the company an “overweight” rating in a report on Thursday, June 4th. Truist Financial lifted their price objective on Broadcom from $545.00 to $550.00 and gave the company a “buy” rating in a report on Thursday, June 4th. Finally, Weiss Ratings upgraded Broadcom from a “buy (b-)” rating to a “buy (b)” rating in a research note on Tuesday, June 9th. One analyst has rated the stock with a Strong Buy rating, twenty-nine have issued a Buy rating and three have issued a Hold rating to the company. According to MarketBeat.com, Broadcom has an average rating of “Moderate Buy” and an average target price of $490.13.

Trending Headlines about Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: JPMorgan reiterated a bullish stance on Broadcom, saying the market may be underestimating its long-term AI opportunity and calling the shares attractive at current levels. Barrons article
• Positive Sentiment: Other coverage highlighted Broadcom’s “massive AI pipeline” and the company’s growing role in AI infrastructure, reinforcing expectations for multi-year revenue growth. Benzinga article
• Positive Sentiment: Broadcom announced pricing terms for cash tender offers to repurchase portions of its outstanding debt, a move that can support balance-sheet management and financial flexibility. PR Newswire article
• Neutral Sentiment: Commentary on Broadcom’s latest quarter noted strong AI-chip demand and revenue growth, but also pointed to gross margin pressure and cautious guidance, which may be keeping some investors from getting more aggressive. Zacks article
• Negative Sentiment: Some broader AI-stock commentary has compared today’s AI capex boom to the dot-com era, renewing valuation and cycle-risk concerns across the sector that could weigh on sentiment for AVGO. 247WallSt article

Broadcom Price Performance

Shares of NASDAQ AVGO opened at $392.90 on Thursday. The business’s 50 day moving average price is $408.66 and its 200 day moving average price is $363.11. The firm has a market cap of $1.87 trillion, a P/E ratio of 65.48, a P/E/G ratio of 0.66 and a beta of 1.41. Broadcom Inc. has a 52 week low of $244.17 and a 52 week high of $495.00. The company has a quick ratio of 2.01, a current ratio of 2.24 and a debt-to-equity ratio of 0.71.

Broadcom (NASDAQ:AVGO) last issued its earnings results on Wednesday, June 3rd. The semiconductor manufacturer reported $2.44 EPS for the quarter, beating analysts’ consensus estimates of $2.40 by $0.04. The firm had revenue of $22.19 billion for the quarter, compared to analyst estimates of $22.13 billion. Broadcom had a return on equity of 41.61% and a net margin of 38.85%.Broadcom’s revenue for the quarter was up 47.9% on a year-over-year basis. During the same quarter in the prior year, the firm earned $1.58 earnings per share. On average, sell-side analysts expect that Broadcom Inc. will post 10.24 earnings per share for the current year.

Broadcom Announces Dividend

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

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.