Deseret Mutual Benefit Administrators Increases Investment in Broadcom Inc.

Deseret Mutual Benefit Administrators has significantly expanded its investment in Broadcom Inc. (NASDAQ:AVGO), raising its ownership by an impressive 818.3% during the third quarter, as reported by HoldingsChannel. After this increase, the firm holds a total of 8,999 shares in the semiconductor company, having acquired an additional 8,019 shares in this period. These shares constitute about 0.8% of Deseret Mutual Benefit Administrators' overall investment portfolio, positioning Broadcom as the 21st largest holding within its assets. By the end of the latest quarter, Deseret Mutual Benefit Administrators’ investment in Broadcom was valued at approximately $1,552,000.

Other prominent investors have also diversified their positions in Broadcom recently. For instance, Vanguard Group Inc. enhanced its stake in the company by 3.0% in the first quarter, increasing their holdings to 44,651,273 shares, a value worth around $59.18 billion after acquiring an additional 1,303,462 shares in the last quarter. Similarly, Swedbank AB increased its shareholding by a remarkable 858.7% during the third quarter, now owning 18,369,841 shares valued at approximately $3.17 billion following a purchase of 16,453,718 shares. Van ECK Associates Corp raised its position by 917.8%, reaching 12,701,500 shares worth about $2.20 billion after buying 11,453,554 additional shares during the same period. Raymond James & Associates also boosted its investment in Broadcom by 855.4%, acquiring 12,674,158 shares valued at around $2.19 billion after a purchase of 11,347,563 shares. Lastly, National Pension Service increased its holdings by an extraordinary 1,045.4%, owning 8,273,157 shares worth roughly $1.43 billion after acquiring an additional 7,550,878 shares. Overall, institutional investors control approximately 76.43% of Broadcom's stock.

Current Status of Broadcom Stock

As of Friday, Broadcom’s stock opened at $183.64. The company maintains a debt-to-equity ratio of 1.02, alongside a current ratio of 1.04 and a quick ratio of 0.94. Notably, Broadcom has experienced a 12-month low of $90.31 and a high of $186.42. The firm’s fifty-day moving average price is recorded at $170.75 while the 200-day moving average stands at $157.78. Broadcom’s market capitalization is approximately $857.71 billion, with a price-to-earnings ratio of 159.55, a price-to-earnings-growth ratio of 2.11, and a beta of 1.17.

In the latest quarterly earnings announcement on September 5th, Broadcom reported earnings of $1.24 per share, which exceeded analysts' expectations of $1.20 by $0.04. The company recorded a net margin of 10.88% and a return on equity of 30.12%. Revenue for the quarter was reported at $13.07 billion, above the projected estimate of $12.98 billion. This represented a significant increase from the previous year's revenue, which showcased a 47.3% rise compared to the same quarter last year. Analysts predict that Broadcom will report an EPS of 3.78 for the current fiscal year.

Dividend Increase Announcement

Recently, Broadcom declared its quarterly dividend, which was paid to shareholders on September 30th. Investors who were on record by September 19th received a dividend of $0.53. This translates to an annualized dividend of $2.12, yielding a rate of 1.15%. It’s worth noting that this is an increase over Broadcom's previous quarterly dividend of $0.53. The ex-dividend date stood at September 19th, with Broadcom’s dividend payout ratio (DPR) recorded at 184.19%.

Analysts' Perspectives on Broadcom

Broadcom (NASDAQ:AVGO) has been the focus of various research reports recently. Oppenheimer revised its price target on Broadcom shares from $2,000.00 to $200.00 while rating the stock as “outperform” on July 16th. Meanwhile, William Blair commenced coverage on Broadcom, also rating it as “outperform” as of September 18th. Benchmark reaffirmed a “buy” rating with a target price of $210.00 in a report dated September 6th. StockNews.com downgraded Broadcom from a “buy” rating to a “hold” rating on July 23rd. Rosenblatt Securities also adjusted its price target on Broadcom, which was reduced from $2,400.00 to $240.00 while also rating the stock as “buy” on September 6th. Most analysts consider Broadcom to have a consensus rating of “Moderate Buy” with an average target price of $192.79 based on MarketBeat.com data.

Insider Trades at Broadcom

In recent insider activities, Director Gayla J. Delly sold 750 shares on September 25th at an average price of $174.53, totaling $130,897.50 from this transaction. After this sale, Delly now possesses 34,750 shares valued at approximately $6.06 million, indicating no significant change in her position with this sale. This transaction was documented in a filing with the SEC. Additionally, CEO Hock E. Tan sold 50,000 shares on September 17th, valued at $8,168,500, leaving him with approximately 1,331,910 shares worth around $217.59 million. This trade also resulted in a negligible change in Tan’s ownership. Over the past three months, insiders have liquidated a total of 311,080 shares valued at $53.54 million. Furthermore, it is reported that 2.00% of Broadcom’s stock is held by insiders.

Overview of Broadcom Inc.

Broadcom Inc. specializes in designing, developing, and supplying a variety of semiconductor devices, focusing on complex digital and mixed-signal complementary metal oxide semiconductor-based devices, and analog III-V based products worldwide. The company operates through two main segments: Semiconductor Solutions and Infrastructure Software.

Investment, Stock, Semiconductor