Broadcom (NASDAQ:AVGO) Stock Jumps 3.1% – Time to Buy?

Broadcom Inc. (NASDAQ:AVGO)’s share price shot up 3.1% during trading on Tuesday. The company traded as high as $335.74 and last traded at $332.13. Approximately 16,867,200 shares changed hands during mid-day trading, a decline of 32% from the average daily volume of 24,777,615 shares. The stock had previously closed at $322.23.

Key Headlines Impacting Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom’s AI semiconductor revenue reached $16.7 billion last quarter, above its $16 billion target, and management expects higher AI revenue next quarter. That outlook supports the case that demand remains strong despite concerns about competition. Article: Is Broadcom Stock a Buy Now?
• Positive Sentiment: Broadcom was included on Bank of America’s “global defenders” list, while ETFs reportedly added about $267.7 million of AVGO shares on Nov. 2—potential signs of institutional interest. Article: BofA adds TSLA, AVGO, IBM, others to its global defenders list Article: 53 ETFs Add to Broadcom Holdings
• Neutral Sentiment: Some recent commentary sees a possible turning point, arguing that the disconnect between falling shares and fast-growing AI revenue may not persist. This is an analyst view, not a confirmed catalyst. Article: Broadcom Stock Could Be Approaching a Major Turning Point
• Negative Sentiment: The immediate headwind is a broader chip-stock rout, with investors increasingly worried that AI regulation and constraints on data-center development could curb future spending. Coverage also points to a Texas permit freeze as a potential source of uncertainty for AI infrastructure demand. Article: Broadcom Sinks as AI Regulation Fears Deepen Chip Rout Article: Steve Weiss Says the Midterms Just Put a Lid on AI Spending

Wall Street Analysts Forecast Growth

AVGO has been the topic of a number of research analyst reports. Cantor Fitzgerald lifted their price target on shares of Broadcom from $525.00 to $600.00 and gave the company an “overweight” rating in a research note on Thursday, September 3rd. JPMorgan Chase & Co. restated a “buy” rating on shares of Broadcom in a research report on Thursday, September 3rd. BNP Paribas Exane increased their price objective on shares of Broadcom from $675.00 to $715.00 and gave the company an “outperform” rating in a report on Friday, September 4th. HSBC cut their target price on shares of Broadcom from $600.00 to $560.00 and set a “buy” rating for the company in a research note on Thursday, September 3rd. Finally, William Blair downgraded shares of Broadcom from an “outperform” rating to a “market perform” rating in a research report on Tuesday, October 27th. One equities research analyst has rated the stock with a Strong Buy rating, thirty-nine have assigned a Buy rating and five have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $530.52.

Broadcom Stock Down 10.4%

The business has a fifty day simple moving average of $349.45 and a two-hundred day simple moving average of $366.37. The company has a current ratio of 2.50, a quick ratio of 2.29 and a debt-to-equity ratio of 0.57. The company has a market cap of $1.39 trillion, a PE ratio of 37.23 and a beta of 1.49.

Broadcom (NASDAQ:AVGO) last announced its earnings results on Wednesday, September 2nd. The semiconductor manufacturer reported $3.32 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.22 by $0.10. Broadcom had a net margin of 42.94% and a return on equity of 48.33%. The company had revenue of $29.59 billion for the quarter, compared to analysts’ expectations of $29.24 billion. During the same quarter in the previous year, the company posted $1.69 EPS. The firm’s quarterly revenue was up 85.5% on a year-over-year basis. As a group, equities research analysts predict that Broadcom Inc. will post 10.37 earnings per share for the current year.

Broadcom Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Wednesday, September 30th. Stockholders of record on Monday, September 21st were issued a dividend of $0.65 per share. This represents a $2.60 annualized dividend and a dividend yield of 0.9%. The ex-dividend date was Monday, September 21st. Broadcom’s payout ratio is currently 33.21%.

Institutional Investors Weigh In On Broadcom

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Smith Partners Wealth Management LLC bought a new stake in shares of Broadcom during the third quarter valued at approximately $284,000. Maryland State Retirement & Pension System raised its position in Broadcom by 23.1% in the 3rd quarter. Maryland State Retirement & Pension System now owns 307,833 shares of the semiconductor manufacturer’s stock worth $108,108,000 after purchasing an additional 57,690 shares during the last quarter. Ritholtz Wealth Management raised its position in Broadcom by 1.5% in the 3rd quarter. Ritholtz Wealth Management now owns 103,904 shares of the semiconductor manufacturer’s stock worth $36,490,000 after purchasing an additional 1,510 shares during the last quarter. UNIVEST FINANCIAL Corp lifted its holdings in Broadcom by 5.5% during the 3rd quarter. UNIVEST FINANCIAL Corp now owns 148,026 shares of the semiconductor manufacturer’s stock worth $51,985,000 after buying an additional 7,752 shares in the last quarter. Finally, NBH Bank lifted its holdings in Broadcom by 3.8% during the 3rd quarter. NBH Bank now owns 6,223 shares of the semiconductor manufacturer’s stock worth $2,185,000 after buying an additional 229 shares in the last quarter. Institutional investors and hedge funds own 76.43% of the company’s stock.

Broadcom Company Profile

Broadcom Inc (NASDAQ: AVGO) is a global technology company that designs, develops and supplies semiconductor and infrastructure software products. Its semiconductor solutions support data center, networking, broadband, wireless communications, storage, industrial and other electronic applications.

The company’s semiconductor portfolio includes networking and switching components, custom accelerators, connectivity and wireless devices, broadband equipment, optical products, storage controllers and related infrastructure technologies.