Segment Wealth Management LLC Lowers Holdings in Broadcom Inc. (NASDAQ:AVGO)

Segment Wealth Management LLC cut its stake in shares of Broadcom Inc. (NASDAQ:AVGO) by 2.9% in the first quarter, according to the company in its most recent disclosure with the SEC. The firm owned 197,403 shares of the semiconductor manufacturer’s stock after selling 5,940 shares during the quarter. Broadcom makes up 2.2% of Segment Wealth Management LLC’s portfolio, making the stock its 6th largest holding. Segment Wealth Management LLC’s holdings in Broadcom were worth $33,051,000 as of its most recent filing with the SEC.

A number of other hedge funds and other institutional investors also recently made changes to their positions in AVGO. Canton Hathaway LLC bought a new position in Broadcom during the 4th quarter valued at about $26,000. Rialto Wealth Management LLC acquired a new stake in shares of Broadcom during the fourth quarter worth approximately $26,000. Sunbeam Capital Management LLC bought a new position in shares of Broadcom in the fourth quarter valued at approximately $28,000. Vermillion Wealth Management Inc. acquired a new position in shares of Broadcom in the 4th quarter worth approximately $30,000. Finally, Sellwood Investment Partners LLC bought a new stake in Broadcom during the 4th quarter worth approximately $32,000. 76.43% of the stock is owned by institutional investors.

Broadcom Stock Up 0.8%

Shares of Broadcom stock opened at $251.26 on Friday. Broadcom Inc. has a 12 month low of $128.50 and a 12 month high of $265.43. The business has a fifty day simple moving average of $219.11 and a 200 day simple moving average of $211.61. The company has a quick ratio of 0.98, a current ratio of 1.08 and a debt-to-equity ratio of 0.89. The stock has a market cap of $1.18 trillion, a PE ratio of 94.10, a price-to-earnings-growth ratio of 1.79 and a beta of 1.11.

Broadcom (NASDAQ:AVGO) last posted its earnings results on Thursday, June 5th. The semiconductor manufacturer reported $1.58 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.57 by $0.01. The company had revenue of $15 billion during the quarter, compared to analyst estimates of $14.98 billion. Broadcom had a return on equity of 35.49% and a net margin of 22.64%. The company’s revenue for the quarter was up 20.2% compared to the same quarter last year. During the same period in the previous year, the company earned $10.96 EPS. Research analysts predict that Broadcom Inc. will post 5.38 EPS for the current year.

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

Broadcom Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, June 30th. Shareholders of record on Friday, June 20th will be paid a $0.59 dividend. This represents a $2.36 annualized dividend and a yield of 0.94%. The ex-dividend date of this dividend is Friday, June 20th. Broadcom’s payout ratio is presently 88.39%.

Insiders Place Their Bets

In other news, CEO Hock E. Tan sold 117,758 shares of Broadcom stock in a transaction dated Thursday, June 12th. The stock was sold at an average price of $252.91, for a total transaction of $29,782,175.78. Following the transaction, the chief executive officer now owns 1,014,152 shares in the company, valued at $256,489,182.32. The trade was a 10.40% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Justine Page sold 800 shares of the business’s stock in a transaction that occurred on Monday, June 16th. The shares were sold at an average price of $250.35, for a total value of $200,280.00. Following the completion of the transaction, the director now owns 25,382 shares of the company’s stock, valued at $6,354,383.70. This represents a 3.06% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have sold 849,134 shares of company stock worth $163,760,949. Company insiders own 2.00% of the company’s stock.

Analysts Set New Price Targets

Several equities analysts have issued reports on AVGO shares. Redburn Atlantic started coverage on Broadcom in a research report on Wednesday, May 28th. They issued a “buy” rating and a $301.00 price objective for the company. Rosenblatt Securities lifted their price target on Broadcom from $223.00 to $340.00 and gave the company a “buy” rating in a report on Friday, June 6th. Citigroup upped their price target on shares of Broadcom from $276.00 to $285.00 and gave the stock a “buy” rating in a research report on Monday, June 9th. Cowen restated a “buy” rating on shares of Broadcom in a research report on Friday, June 6th. Finally, Wall Street Zen downgraded shares of Broadcom from a “buy” rating to a “hold” rating in a research note on Sunday, June 15th. Three research analysts have rated the stock with a hold rating, twenty-five have given a buy rating and one has given a strong buy rating to the company’s stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $276.09.

Broadcom 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.