Broadcom (NASDAQ:AVGO) Stock Price Expected to Rise, JPMorgan Chase & Co. Analyst Says

Broadcom (NASDAQ:AVGO) had its price objective raised by JPMorgan Chase & Co. from $500.00 to $580.00 in a research note issued on Thursday,Benzinga reports. The firm presently has an “overweight” rating on the semiconductor manufacturer’s stock. JPMorgan Chase & Co.‘s price target would indicate a potential upside of 41.99% from the stock’s previous close.

A number of other brokerages have also recently commented on AVGO. Wells Fargo & Company restated an “overweight” rating and set a $545.00 price objective (up from $430.00) on shares of Broadcom in a research note on Thursday, May 14th. Deutsche Bank Aktiengesellschaft reissued a “buy” rating and set a $515.00 price objective (up from $430.00) on shares of Broadcom in a report on Thursday. Wall Street Zen lowered Broadcom from a “buy” rating to a “hold” rating in a report on Saturday, May 30th. Citigroup reaffirmed a “buy” rating on shares of Broadcom in a research report on Thursday. Finally, Jefferies Financial Group set a $550.00 price objective on shares of Broadcom and gave the company a “buy” rating in a research report on Thursday. One investment analyst has rated the stock with a Strong Buy rating, twenty-eight have given a Buy rating and four have issued a Hold rating to the company’s stock. Based on data from MarketBeat, Broadcom currently has a consensus rating of “Moderate Buy” and an average target price of $485.80.

Broadcom Trading Down 14.8%

Shares of NASDAQ:AVGO traded down $70.74 during midday trading on Thursday, reaching $408.49. The company’s stock had a trading volume of 43,667,153 shares, compared to its average volume of 24,955,875. The company has a quick ratio of 1.73, a current ratio of 1.90 and a debt-to-equity ratio of 0.80. The firm has a market cap of $1.93 trillion, a price-to-earnings ratio of 79.76, a price-to-earnings-growth ratio of 0.99 and a beta of 1.41. Broadcom has a 1 year low of $241.11 and a 1 year high of $495.00. The business has a 50 day moving average price of $392.87 and a 200 day moving average price of $361.19.

Broadcom (NASDAQ:AVGO) last posted its quarterly earnings results on Wednesday, June 3rd. The semiconductor manufacturer reported $2.44 earnings per share for the quarter, topping analysts’ consensus estimates of $2.40 by $0.04. The company had revenue of $22.19 billion for the quarter, compared to the consensus estimate of $22.13 billion. Broadcom had a net margin of 36.57% and a return on equity of 38.61%. Broadcom’s revenue was up 47.9% on a year-over-year basis. During the same quarter last year, the firm posted $1.58 earnings per share. Research analysts forecast that Broadcom will post 9.91 EPS for the current year.

Insiders Place Their Bets

In other news, CFO Kirsten M. Spears sold 36,292 shares of the company’s stock in a transaction that occurred on Tuesday, March 17th. The shares were sold at an average price of $321.60, for a total value of $11,671,507.20. Following the completion of the sale, the chief financial officer directly owned 327,760 shares of the company’s stock, valued at approximately $105,407,616. This represents a 9.97% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Mark David Brazeal sold 50,488 shares of the company’s stock in a transaction that occurred on Tuesday, March 17th. The stock was sold at an average price of $321.60, for a total transaction of $16,236,940.80. Following the completion of the sale, the insider directly owned 278,141 shares of the company’s stock, valued at approximately $89,450,145.60. This represents a 15.36% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders sold 324,282 shares of company stock valued at $106,425,249. 1.90% of the stock is owned by corporate insiders.

Institutional Trading of Broadcom

A number of institutional investors have recently made changes to their positions in AVGO. Brown Brothers Harriman & Co. increased its stake in Broadcom by 10.7% in the 3rd quarter. Brown Brothers Harriman & Co. now owns 77,411 shares of the semiconductor manufacturer’s stock valued at $25,539,000 after buying an additional 7,499 shares during the period. Dana Investment Advisors Inc. increased its stake in Broadcom by 2.6% in the 3rd quarter. Dana Investment Advisors Inc. now owns 173,759 shares of the semiconductor manufacturer’s stock valued at $57,325,000 after buying an additional 4,442 shares during the period. Guinness Atkinson Asset Management Inc increased its stake in Broadcom by 248.2% in the 3rd quarter. Guinness Atkinson Asset Management Inc now owns 26,238 shares of the semiconductor manufacturer’s stock valued at $8,603,000 after buying an additional 18,703 shares during the period. Sovran Advisors LLC increased its stake in Broadcom by 121.3% in the 4th quarter. Sovran Advisors LLC now owns 30,631 shares of the semiconductor manufacturer’s stock valued at $10,507,000 after buying an additional 16,789 shares during the period. Finally, Thurston Springer Miller Herd & Titak Inc. increased its stake in shares of Broadcom by 406.1% in the fourth quarter. Thurston Springer Miller Herd & Titak Inc. now owns 11,994 shares of the semiconductor manufacturer’s stock worth $4,151,000 after acquiring an additional 9,624 shares during the last quarter. 76.43% of the stock is owned by institutional investors and hedge funds.

Trending Headlines about Broadcom

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom posted record second-quarter revenue of $22.19 billion and adjusted EPS of $2.44, both above estimates, while AI semiconductor revenue more than doubled to $10.8 billion, underscoring continued demand for custom AI chips.
• Positive Sentiment: The company guided third-quarter revenue to about $29.4 billion, ahead of consensus, and several Wall Street firms raised price targets or reaffirmed bullish ratings, including Truist, TD Cowen, Rosenblatt, Cantor Fitzgerald, and Benchmark.
• Neutral Sentiment: Broadcom also announced a quarterly dividend of $0.65 per share, reinforcing its cash-generation profile and shareholder returns.
• Negative Sentiment: Despite the beat, Broadcom shares sold off sharply after the report as investors focused on what they saw as a softer-than-expected AI outlook and the possibility that the stock had already priced in near-perfect execution. Article Title
• Negative Sentiment: The broader semiconductor group is also being hit, with Micron, Marvell, AMD, and other chip names moving lower as traders reassess how much AI demand can accelerate from here. Article Title

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.