Lafayette Investments Inc. has increased its holdings in Broadcom Inc. (NASDAQ: AVGO) by 15.9% during the second quarter of 2023. According to its recent 13F filing with the Securities and Exchange Commission, the investment firm now owns 6,030 shares of the semiconductor giant after acquiring an additional 825 shares in the same period. As of the latest filing, Lafayette’s stake in Broadcom is valued at approximately $1,662,000.
Other institutional investors have also adjusted their positions in Broadcom. For instance, PARUS FINANCE UK Ltd significantly increased its stake by 175.3% in the first quarter, now holding 100,578 shares worth around $16,840,000 after purchasing an additional 64,038 shares. Similarly, Geneos Wealth Management Inc. raised its holdings by 27.9%, acquiring 64,130 shares valued at $10,737,000. Other notable increases came from Asio Capital LLC, which added 1,089 shares, and Keener Financial Planning LLC, which enhanced its position by 34.8%.
Currently, 76.43% of Broadcom’s stock is held by institutional investors and hedge funds, reflecting a strong confidence in the company’s future performance.
Analysts Raise Price Targets for Broadcom
Several equity analysts have recently updated their price targets for Broadcom. Truist Financial has raised its target from $295.00 to $365.00, while Deutsche Bank Aktiengesellschaft set a price target of $400.00. Reports indicate that Argus has increased its target from $285.00 to $375.00, and Rosenblatt Securities has also adjusted its target to $400.00. As of now, three analysts have given Broadcom a Strong Buy rating, with a total of thirty issuing a Buy rating and one holding the stock. The consensus rating stands at “Buy,” with an average target price of $372.52.
Broadcom’s stock performance has been robust, opening at $354.13 recently. The company boasts a market capitalization of $1.67 trillion, with a price-to-earnings ratio of 90.34. The stock has experienced a fifty-two week low of $138.10 and a high of $374.23.
Recent Earnings and Dividends
Broadcom’s latest earnings report, released on September 4, 2023, demonstrated solid financial health. The semiconductor manufacturer reported earnings of $1.69 per share, exceeding analysts’ expectations of $1.66. The company’s revenue reached $15.95 billion, surpassing predictions of $15.82 billion. This marks a remarkable 22.0% increase in revenue compared to the same quarter last year.
Additionally, Broadcom recently declared a quarterly dividend of $0.59 per share, which was paid out on September 30, 2023. The company’s annualized dividend amounts to $2.36, yielding approximately 0.7%. Broadcom’s payout ratio currently stands at 60.20%.
Insider trading activity has also been notable, with Henry Samueli, a director at Broadcom, selling 368,797 shares on September 24, 2023, for a total of $124,620,194.27. Following this transaction, Samueli retains 37,722,534 shares, valued at about $12.75 billion. Additionally, Kirsten M. Spears, the Chief Financial Officer, sold 7,498 shares for approximately $2.61 million.
Broadcom Inc. continues to solidify its position in the semiconductor industry, with ongoing investment from hedge funds and institutional investors reflecting growing confidence in its future growth trajectory.
