Broadcom Inc. (NASDAQ:AVGO) Short Interest Down 7.7% in January

Broadcom Inc. (NASDAQ:AVGO) was the target of a large drop in short interest in January. As of January 31st, there was short interest totalling 51,890,000 shares, a drop of 7.7% from the January 15th total of 56,230,000 shares. Based on an average trading volume of 31,830,000 shares, the days-to-cover ratio is currently 1.6 days.

Insider Buying and Selling at Broadcom

In other Broadcom news, CFO Kirsten M. Spears sold 12,570 shares of the stock in a transaction dated Friday, December 20th. The shares were sold at an average price of $229.62, for a total transaction of $2,886,323.40. Following the completion of the sale, the chief financial officer now directly owns 325,443 shares of the company’s stock, valued at approximately $74,728,221.66. This represents a 3.72 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, Director Harry L. You sold 6,540 shares of the firm’s stock in a transaction dated Tuesday, December 17th. The shares were sold at an average price of $240.00, for a total transaction of $1,569,600.00. Following the completion of the sale, the director now owns 30,450 shares in the company, valued at $7,308,000. This represents a 17.68 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 191,278 shares of company stock valued at $44,964,800. 2.00% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Broadcom

A number of institutional investors have recently added to or reduced their stakes in the stock. Pacific Point Advisors LLC purchased a new position in Broadcom during the fourth quarter valued at $1,033,000. Neo Ivy Capital Management lifted its stake in Broadcom by 9.1% in the 4th quarter. Neo Ivy Capital Management now owns 6,147 shares of the semiconductor manufacturer’s stock valued at $1,425,000 after buying an additional 511 shares in the last quarter. Wick Capital Partners LLC acquired a new stake in Broadcom in the 4th quarter worth about $227,000. Helium Advisors LLC purchased a new stake in Broadcom during the 4th quarter worth approximately $268,000. Finally, BIP Alliance LLC acquired a new position in shares of Broadcom during the fourth quarter valued at approximately $469,000. Institutional investors and hedge funds own 76.43% of the company’s stock.

Analysts Set New Price Targets

AVGO has been the subject of several recent analyst reports. Robert W. Baird raised their target price on shares of Broadcom from $195.00 to $210.00 and gave the company an “outperform” rating in a research note on Friday, December 13th. Rosenblatt Securities reissued a “buy” rating and issued a $240.00 price objective on shares of Broadcom in a research report on Wednesday, December 11th. Susquehanna upped their target price on Broadcom from $200.00 to $225.00 and gave the company a “positive” rating in a research report on Friday, December 13th. Benchmark reissued a “buy” rating and issued a $255.00 price target (up previously from $210.00) on shares of Broadcom in a report on Friday, December 13th. Finally, Piper Sandler upped their price objective on shares of Broadcom from $200.00 to $250.00 and gave the company an “overweight” rating in a report on Friday, December 13th. Three investment analysts have rated the stock with a hold rating and twenty-four have issued a buy rating to the company. According to MarketBeat.com, Broadcom has an average rating of “Moderate Buy” and a consensus price target of $225.04.

Broadcom Stock Down 1.9 %

Broadcom stock opened at $228.53 on Wednesday. Broadcom has a 52 week low of $119.76 and a 52 week high of $251.88. The firm has a market cap of $1.07 trillion, a price-to-earnings ratio of 186.40, a price-to-earnings-growth ratio of 2.42 and a beta of 1.02. The business’s 50-day moving average price is $228.38 and its 200 day moving average price is $188.72. The company has a quick ratio of 1.07, a current ratio of 1.17 and a debt-to-equity ratio of 0.98.

Broadcom (NASDAQ:AVGO) last posted its earnings results on Thursday, December 12th. The semiconductor manufacturer reported $1.42 EPS for the quarter, beating analysts’ consensus estimates of $1.39 by $0.03. Broadcom had a return on equity of 28.00% and a net margin of 11.43%. The firm had revenue of $14.05 billion for the quarter, compared to analysts’ expectations of $14.07 billion. The company’s quarterly revenue was up 51.2% on a year-over-year basis. During the same period last year, the firm earned $0.98 EPS. As a group, sell-side analysts anticipate that Broadcom will post 5.38 earnings per share for the current year.

Broadcom Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, December 31st. Stockholders of record on Monday, December 23rd were paid a dividend of $0.59 per share. This represents a $2.36 annualized dividend and a dividend yield of 1.03%. This is an increase from Broadcom’s previous quarterly dividend of $0.53. The ex-dividend date of this dividend was Monday, December 23rd. Broadcom’s dividend payout ratio is presently 192.50%.

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.