Broadcom (NASDAQ:AVGO) Shares Up 1.5% – Should You Buy?

Broadcom Inc. (NASDAQ:AVGO) was up 1.5% during mid-day trading on Monday . The company traded as high as $162.69 and last traded at $162.08. Approximately 11,024,005 shares were traded during trading, a decline of 62% from the average daily volume of 29,107,898 shares. The stock had previously closed at $159.67.

Analysts Set New Price Targets

AVGO has been the topic of several analyst reports. Rosenblatt Securities reduced their price target on shares of Broadcom from $2,400.00 to $240.00 and set a “buy” rating on the stock in a research report on Friday, September 6th. UBS Group lifted their target price on Broadcom from $170.00 to $200.00 and gave the company a “buy” rating in a research report on Monday, November 4th. TD Cowen upgraded Broadcom to a “strong-buy” rating in a report on Monday, September 16th. Benchmark restated a “buy” rating and issued a $210.00 price objective on shares of Broadcom in a report on Friday, September 6th. Finally, The Goldman Sachs Group upped their target price on shares of Broadcom from $185.00 to $190.00 and gave the company a “buy” rating in a research report on Friday, September 6th. Two analysts have rated the stock with a hold rating, twenty-three have given a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $195.96.

Broadcom Stock Up 3.1 %

The company has a debt-to-equity ratio of 1.02, a current ratio of 1.04 and a quick ratio of 0.94. The company has a market cap of $809.69 billion, a PE ratio of 146.09, a P/E/G ratio of 1.96 and a beta of 1.13. The business’s 50 day moving average is $173.12 and its 200-day moving average is $162.12.

Broadcom (NASDAQ:AVGO) last released its quarterly earnings data on Thursday, September 5th. The semiconductor manufacturer reported $1.24 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.20 by $0.04. The business had revenue of $13.07 billion during the quarter, compared to analysts’ expectations of $12.98 billion. Broadcom had a net margin of 10.88% and a return on equity of 30.12%. The company’s revenue for the quarter was up 47.3% on a year-over-year basis. During the same period in the previous year, the company earned $0.95 EPS. As a group, analysts predict that Broadcom Inc. will post 3.78 EPS for the current year.

Broadcom Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Monday, September 30th. Stockholders of record on Thursday, September 19th were issued a $0.53 dividend. The ex-dividend date was Thursday, September 19th. This represents a $2.12 dividend on an annualized basis and a dividend yield of 1.22%. This is an increase from Broadcom’s previous quarterly dividend of $0.53. Broadcom’s dividend payout ratio is presently 184.19%.

Insider Buying and Selling

In related news, insider Charlie B. Kawwas sold 15,950 shares of Broadcom stock in a transaction on Friday, October 11th. The shares were sold at an average price of $181.44, for a total transaction of $2,893,968.00. Following the sale, the insider now directly owns 737,330 shares in the company, valued at $133,781,155.20. This trade represents a 2.12 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Hock E. Tan sold 150,000 shares of the company’s stock in a transaction on Tuesday, September 24th. The shares were sold at an average price of $172.94, for a total transaction of $25,941,000.00. Following the completion of the transaction, the chief executive officer now owns 1,181,910 shares of the company’s stock, valued at $204,399,515.40. This represents a 11.26 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 311,080 shares of company stock worth $53,540,590 over the last 90 days. 2.00% of the stock is owned by insiders.

Institutional Investors Weigh In On Broadcom

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Dantai Capital Ltd raised its position in Broadcom by 900.0% in the 3rd quarter. Dantai Capital Ltd now owns 8,550 shares of the semiconductor manufacturer’s stock valued at $1,475,000 after purchasing an additional 7,695 shares during the last quarter. Oddo BHF Asset Management Sas acquired a new stake in shares of Broadcom during the third quarter worth about $35,298,000. Garde Capital Inc. grew its holdings in shares of Broadcom by 900.0% during the third quarter. Garde Capital Inc. now owns 11,120 shares of the semiconductor manufacturer’s stock worth $1,918,000 after buying an additional 10,008 shares during the last quarter. Boulder Wealth Advisors LLC purchased a new position in shares of Broadcom during the third quarter worth about $1,006,000. Finally, Inspire Trust Co. N.A. raised its stake in Broadcom by 2,189.0% during the 3rd quarter. Inspire Trust Co. N.A. now owns 39,210 shares of the semiconductor manufacturer’s stock valued at $6,764,000 after acquiring an additional 37,497 shares during the last quarter. Hedge funds and other institutional investors own 76.43% of the company’s stock.

Broadcom Company Profile

Broadcom Inc designs, develops, and supplies various semiconductor devices with a focus on complex digital and mixed signal complementary metal oxide semiconductor based devices and analog III-V based products worldwide. The company operates in two segments, Semiconductor Solutions and Infrastructure Software.