Broadcom (NASDAQ:AVGO) Shares Down 11.4% – Here’s What Happened

12 Dec 2025, 22:16 by Michael Walen · The Markets Daily

Broadcom Inc. (NASDAQ:AVGO – Get Free Report) shares fell 11.4% during trading on Friday . The company traded as low as $355.15 and last traded at $359.93. 93,214,285 shares changed hands during trading, an increase of 263% from the average session volume of 25,710,838 shares. The stock had previously closed at $406.37.

Analysts Set New Price Targets

Several research analysts have recently weighed in on the company. Wall Street Zen lowered Broadcom from a “buy” rating to a “hold” rating in a research report on Sunday, November 23rd. UBS Group reiterated a “buy” rating and issued a $472.00 target price (up from $415.00) on shares of Broadcom in a report on Monday, December 1st. Robert W. Baird set a $420.00 price target on Broadcom in a report on Friday. Susquehanna reaffirmed a “positive” rating and set a $450.00 price objective (up previously from $400.00) on shares of Broadcom in a research report on Thursday, December 4th. Finally, KeyCorp reiterated an “overweight” rating and set a $500.00 target price (up previously from $460.00) on shares of Broadcom in a research report on Friday. Three analysts have rated the stock with a Strong Buy rating, thirty-one have issued a Buy rating and one has assigned a Hold rating to the company. According to MarketBeat, the company presently has an average rating of “Buy” and a consensus price target of $428.32.

Get Our Latest Stock Report on Broadcom

Broadcom Stock Performance

The stock has a market cap of $1.70 trillion, a price-to-earnings ratio of 91.82, a P/E/G ratio of 1.41 and a beta of 1.19. The company’s fifty day simple moving average is $362.74 and its two-hundred day simple moving average is $316.47. The company has a debt-to-equity ratio of 0.86, a current ratio of 1.50 and a quick ratio of 1.37.

Broadcom (NASDAQ:AVGO – Get Free Report) last issued its quarterly earnings data on Thursday, December 11th. The semiconductor manufacturer reported $1.95 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.87 by $0.08. Broadcom had a net margin of 31.59% and a return on equity of 36.60%. The firm had revenue of $18.02 billion during the quarter, compared to analysts’ expectations of $17.46 billion. During the same period last year, the company earned $1.42 earnings per share. The business’s revenue was up 28.2% on a year-over-year basis. On average, analysts forecast that Broadcom Inc. will post 5.38 earnings per share for the current year.

Broadcom Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, December 31st. Stockholders of record on Monday, December 22nd will be paid a $0.65 dividend. This represents a $2.60 annualized dividend and a dividend yield of 0.7%. This is a boost from Broadcom’s previous quarterly dividend of $0.59. The ex-dividend date of this dividend is Monday, December 22nd. Broadcom’s dividend payout ratio (DPR) is currently 60.20%.

Insider Buying and Selling

In related news, Director Henry Samueli sold 368,797 shares of Broadcom stock in a transaction that occurred on Wednesday, September 24th. The stock was sold at an average price of $337.91, for a total transaction of $124,620,194.27. Following the transaction, the director owned 37,722,534 shares of the company’s stock, valued at $12,746,821,463.94. The trade was a 0.97% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, CEO Hock E. Tan sold 100,000 shares of the stock in a transaction on Tuesday, September 23rd. The shares were sold at an average price of $339.58, for a total value of $33,958,000.00. Following the completion of the sale, the chief executive officer directly owned 725,638 shares of the company’s stock, valued at $246,412,152.04. The trade was a 12.11% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 837,433 shares of company stock valued at $303,900,352. 2.00% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Sawyer & Company Inc grew its stake in shares of Broadcom by 62.1% during the 2nd quarter. Sawyer & Company Inc now owns 94 shares of the semiconductor manufacturer’s stock worth $26,000 after acquiring an additional 36 shares during the period. Longfellow Investment Management Co. LLC purchased a new stake in Broadcom during the second quarter valued at about $27,000. Legend Financial Advisors Inc. bought a new position in Broadcom during the second quarter worth about $28,000. Teachers Insurance & Annuity Association of America purchased a new position in shares of Broadcom in the second quarter worth about $28,000. Finally, LGT Financial Advisors LLC bought a new stake in shares of Broadcom in the second quarter valued at approximately $31,000. 76.43% of the stock is currently owned by hedge funds and other institutional investors.

Broadcom Company Profile

(Get 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.