Royal Bank Of Canada Has Lowered Expectations for Broadcom (NASDAQ:AVGO) Stock Price

Broadcom (NASDAQ:AVGO) had its price target reduced by equities research analysts at Royal Bank Of Canada from $370.00 to $340.00 in a research note issued to investors on Monday,Benzinga reports. The brokerage presently has a “sector perform” rating on the semiconductor manufacturer’s stock. Royal Bank Of Canada’s price objective suggests a potential upside of 7.45% from the stock’s current price.

AVGO has been the topic of a number of other research reports. Morgan Stanley raised their price objective on shares of Broadcom from $443.00 to $462.00 and gave the stock an “overweight” rating in a report on Friday, December 12th. DA Davidson raised shares of Broadcom to a “hold” rating in a research report on Friday, February 13th. Bank of America upped their price objective on shares of Broadcom from $460.00 to $500.00 and gave the company a “buy” rating in a research note on Friday, December 12th. Barclays reissued an “overweight” rating and issued a $500.00 target price (up from $450.00) on shares of Broadcom in a report on Friday, December 12th. Finally, Piper Sandler restated an “overweight” rating and set a $430.00 price target (up from $375.00) on shares of Broadcom in a research note on Friday, December 12th. Two investment analysts have rated the stock with a Strong Buy rating, thirty have assigned a Buy rating and two have issued a Hold rating to the company’s stock. According to MarketBeat.com, Broadcom presently has a consensus rating of “Buy” and a consensus target price of $432.13.

Broadcom Stock Down 1.0%

AVGO traded down $3.12 on Monday, hitting $316.43. 7,314,600 shares of the company were exchanged, compared to its average volume of 24,825,309. The firm has a 50-day moving average price of $336.34 and a two-hundred day moving average price of $342.75. The company has a current ratio of 1.71, a quick ratio of 1.58 and a debt-to-equity ratio of 0.76. Broadcom has a twelve month low of $138.10 and a twelve month high of $414.61. The company has a market cap of $1.50 trillion, a price-to-earnings ratio of 66.56, a price-to-earnings-growth ratio of 1.02 and a beta of 1.22.

Broadcom (NASDAQ:AVGO) last announced its quarterly earnings data on Thursday, December 11th. The semiconductor manufacturer reported $1.95 EPS for the quarter, beating analysts’ consensus estimates of $1.87 by $0.08. Broadcom had a net margin of 36.20% and a return on equity of 37.45%. The company had revenue of $18.02 billion for the quarter, compared to the consensus estimate of $17.46 billion. During the same period in the prior year, the firm posted $1.42 EPS. The company’s quarterly revenue was up 28.2% compared to the same quarter last year. On average, equities analysts predict that Broadcom will post 5.38 earnings per share for the current year.

Insider Activity at Broadcom

In other news, CFO Kirsten M. Spears sold 30,000 shares of the stock in a transaction dated Wednesday, December 31st. The shares were sold at an average price of $347.82, for a total value of $10,434,600.00. Following the completion of the transaction, the chief financial officer owned 277,237 shares in the company, valued at $96,428,573.34. This trade represents a 9.76% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CEO Hock E. Tan sold 130,000 shares of the business’s stock in a transaction dated Thursday, December 18th. The stock was sold at an average price of $326.02, for a total transaction of $42,382,600.00. Following the sale, the chief executive officer directly owned 595,638 shares in the company, valued at approximately $194,189,900.76. This represents a 17.92% decrease in their position. The SEC filing for this sale provides additional information. In the last quarter, insiders sold 779,101 shares of company stock valued at $283,804,325. Company insiders own 2.00% of the company’s stock.

Institutional Investors Weigh In On Broadcom

Institutional investors and hedge funds have recently made changes to their positions in the business. Brighton Jones LLC grew its position in shares of Broadcom by 21.8% in the fourth quarter. Brighton Jones LLC now owns 29,683 shares of the semiconductor manufacturer’s stock valued at $6,882,000 after purchasing an additional 5,322 shares during the last quarter. Revolve Wealth Partners LLC grew its holdings in Broadcom by 10.4% during the 4th quarter. Revolve Wealth Partners LLC now owns 7,997 shares of the semiconductor manufacturer’s stock valued at $1,854,000 after buying an additional 756 shares during the last quarter. United Bank increased its position in Broadcom by 76.5% during the first quarter. United Bank now owns 2,339 shares of the semiconductor manufacturer’s stock worth $392,000 after buying an additional 1,014 shares in the last quarter. Sivia Capital Partners LLC increased its position in Broadcom by 10.1% during the second quarter. Sivia Capital Partners LLC now owns 12,693 shares of the semiconductor manufacturer’s stock worth $3,499,000 after buying an additional 1,160 shares in the last quarter. Finally, Capital & Planning LLC raised its holdings in shares of Broadcom by 10.5% in the second quarter. Capital & Planning LLC now owns 3,983 shares of the semiconductor manufacturer’s stock worth $1,098,000 after acquiring an additional 378 shares during the last quarter. 76.43% of the stock is currently owned by hedge funds and other institutional investors.

About Broadcom

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.