Madison Investment Advisors LLC Takes a Stake in Broadcom Inc.

Madison Investment Advisors LLC has recently established a new investment position in Broadcom Inc. (NASDAQ:AVGO), as reported in their latest Form 13F filed with the Securities and Exchange Commission. This institutional investor purchased 2,485 shares of the semiconductor company, amounting to an estimated value of around $576,000.

Institutional Investors Increasing Stakes

A number of other institutional investors and hedge funds have also been active in adjusting their stakes in Broadcom. JPL Wealth Management LLC made a significant new investment in Broadcom in the fourth quarter, acquiring shares valued at about $13.47 million. Additionally, Elite Life Management LLC and Impact Capital Partners LLC made new stakes in the company, valued at approximately $212,000 and $8.57 million, respectively. Furthermore, Commonwealth Equity Services LLC boosted its position by 1.9% and now holds 1,212,171 shares, worth $281.03 million after acquiring an additional 22,741 shares. DecisionMap Wealth Management LLC also purchased shares valued at around $885,000. Notably, about 76.43% of Broadcom's stock is held by hedge funds and other institutional investors.

Recent Insider Transactions

In recent insider trading activities, Mark David Brazeal sold 20,168 shares of Broadcom on December 24, with the shares sold at an average price of $238.79, totaling $4,815,916.72. After this sale, Brazeal retains ownership of 321,660 shares, valued at approximately $76.81 million, which reflects a 5.90% decrease in his stock ownership. Similarly, on January 2, insider Charlie B. Kawwas sold 40,000 shares at an average price of $231.98, amounting to $9,279,200. After this transaction, Kawwas continues to own 696,730 shares valued at $161.63 million, marking a 5.43% reduction in his holding. Over the last 90 days, insiders have sold a total of 172,168 shares worth $40.51 million, with corporate insiders owning about 2.00% of the company’s stock.

Current Market Performance

As of Friday, AVGO shares opened at $191.66, reflecting a 0.6% increase. Broadcom currently has a debt-to-equity ratio of 0.98, a quick ratio of 1.07, and a current ratio of 1.17. The company has seen considerable stock price fluctuations, with a 52-week low of $119.76 and a high of $251.88. With a market capitalization of $901.18 billion, Broadcom’s price-to-earnings (PE) ratio stands at 156.33, and the price-to-earnings-growth (PEG) ratio is 2.29, indicating a beta of 1.01. The company's fifty-day moving average is $214.38 and its 200-day moving average is $195.08.

Dividend Announcements

Recently, Broadcom announced its quarterly dividend, which is set to be paid on March 31. Shareholders on record as of March 20 will receive a dividend of $0.59 per share. The ex-dividend date is the same day, which translates to an annualized dividend of $2.36, yielding 1.23%. Broadcom's payout ratio currently stands at 113.46%.

Analysts Share Their Perspectives

Various analysts have recently provided insights on Broadcom’s potential. KeyCorp raised their price target from $260 to $275, deeming it an "overweight" investment in a recent report. Likewise, Piper Sandler elevated their target from $200 to $250, while Barclays increased their estimate from $205 to $260. Additionally, Hsbc Global Res upgraded their rating to "hold" and Susquehanna raised their price objective from $200 to $225. According to MarketBeat data, while three analysts have recommended holding the stock, twenty-five have given a buy rating, establishing a consensus of "Moderate Buy" with an average price target of $231.48.

Overview of Broadcom Inc.

Broadcom Inc. designs and supplies a wide variety of semiconductor devices focused on complex digital and mixed-signal systems, alongside analog III-V products on a global scale. The company operates through two primary segments: Semiconductor Solutions and Infrastructure Software.

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