Parcion Private Wealth LLC Decreases Stake in Broadcom Inc. (NASDAQ:AVGO)

by · The Cerbat Gem

Parcion Private Wealth LLC reduced its position in Broadcom Inc. (NASDAQ:AVGO – Free Report) by 33.2% during the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 62,990 shares of the semiconductor manufacturer’s stock after selling 31,238 shares during the period. Broadcom accounts for about 0.9% of Parcion Private Wealth LLC’s investment portfolio, making the stock its 25th biggest position. Parcion Private Wealth LLC’s holdings in Broadcom were worth $10,546,000 at the end of the most recent reporting period.

Other hedge funds also recently made changes to their positions in the company. Vanguard Group Inc. increased its stake in Broadcom by 1.4% during the fourth quarter. Vanguard Group Inc. now owns 475,134,603 shares of the semiconductor manufacturer’s stock worth $110,155,206,000 after acquiring an additional 6,573,204 shares during the last quarter. Geode Capital Management LLC increased its stake in Broadcom by 3.0% during the fourth quarter. Geode Capital Management LLC now owns 102,207,120 shares of the semiconductor manufacturer’s stock worth $23,647,209,000 after acquiring an additional 3,018,294 shares during the last quarter. FMR LLC increased its stake in Broadcom by 3.2% during the fourth quarter. FMR LLC now owns 93,274,317 shares of the semiconductor manufacturer’s stock worth $21,624,718,000 after acquiring an additional 2,873,809 shares during the last quarter. Norges Bank bought a new stake in Broadcom during the fourth quarter worth approximately $16,893,010,000. Finally, Northern Trust Corp increased its stake in Broadcom by 12.0% during the fourth quarter. Northern Trust Corp now owns 49,087,351 shares of the semiconductor manufacturer’s stock worth $11,380,411,000 after acquiring an additional 5,258,925 shares during the last quarter. 76.43% of the stock is currently owned by hedge funds and other institutional investors.

Broadcom Trading Up 1.9%

Shares of AVGO opened at $280.94 on Wednesday. The company has a current ratio of 1.08, a quick ratio of 0.98 and a debt-to-equity ratio of 0.89. The firm’s 50-day moving average is $249.82 and its two-hundred day moving average is $219.20. Broadcom Inc. has a twelve month low of $128.50 and a twelve month high of $283.36. The firm has a market capitalization of $1.32 trillion, a P/E ratio of 105.22, a PEG ratio of 1.96 and a beta of 1.12.

Broadcom (NASDAQ:AVGO – Get Free Report) last released its quarterly earnings results on Thursday, June 5th. The semiconductor manufacturer reported $1.58 EPS for the quarter, beating the consensus estimate of $1.57 by $0.01. The business had revenue of $15 billion for the quarter, compared to analyst estimates of $14.98 billion. Broadcom had a net margin of 22.64% and a return on equity of 35.49%. The company’s quarterly revenue was up 20.2% on a year-over-year basis. During the same period in the prior year, the business earned $10.96 earnings per share. On average, research analysts predict that Broadcom Inc. will post 5.38 earnings per share for the current fiscal year.

Broadcom declared that its Board of Directors has approved a stock repurchase program on Monday, April 7th that authorizes the company to buyback $10.00 billion in outstanding shares. This buyback authorization authorizes the semiconductor manufacturer to reacquire up to 1.4% of its shares through open market purchases. Shares buyback programs are usually a sign that the company’s board believes its stock is undervalued.

Broadcom Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Monday, June 30th. Shareholders of record on Friday, June 20th were paid a dividend of $0.59 per share. This represents a $2.36 dividend on an annualized basis and a yield of 0.84%. The ex-dividend date of this dividend was Friday, June 20th. Broadcom’s dividend payout ratio is currently 88.39%.

Insiders Place Their Bets

In other Broadcom news, Director Henry Samueli sold 473,898 shares of the business’s stock in a transaction on Wednesday, June 25th. The shares were sold at an average price of $265.33, for a total value of $125,739,356.34. Following the transaction, the director owned 38,188,575 shares in the company, valued at $10,132,574,604.75. The trade was a 1.23% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, CFO Kirsten M. Spears sold 56,310 shares of the firm’s stock in a transaction dated Wednesday, June 18th. The shares were sold at an average price of $251.75, for a total value of $14,176,042.50. Following the sale, the chief financial officer owned 361,937 shares of the company’s stock, valued at $91,117,639.75. This represents a 13.46% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 828,916 shares of company stock worth $216,785,761. 2.00% of the stock is owned by company insiders.

Analyst Ratings Changes

Several equities research analysts have weighed in on AVGO shares. Cantor Fitzgerald reissued an “overweight” rating and set a $300.00 price objective on shares of Broadcom in a research note on Friday, June 6th. Evercore ISI reaffirmed an “outperform” rating and set a $304.00 target price (up previously from $267.00) on shares of Broadcom in a research note on Friday, June 6th. The Goldman Sachs Group assumed coverage on Broadcom in a research note on Thursday, July 10th. They set a “buy” rating and a $315.00 target price on the stock. Bank of America upped their target price on Broadcom from $240.00 to $300.00 and gave the company a “buy” rating in a research note on Friday, June 6th. Finally, Hsbc Global Res raised Broadcom from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, June 24th. One analyst has rated the stock with a hold rating, twenty-seven have issued a buy rating and two have assigned a strong buy rating to the stock. According to MarketBeat.com, the company presently has an average rating of “Buy” and a consensus price target of $291.88.

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Broadcom Company Profile

(Free Report)

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.

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