New Capital Management LP Makes New Investment in Broadcom Inc. (NASDAQ:AVGO)

New Capital Management LP purchased a new stake in Broadcom Inc. (NASDAQ:AVGO) during the fourth quarter, according to its most recent Form 13F filing with the SEC. The fund purchased 1,852 shares of the semiconductor manufacturer’s stock, valued at approximately $429,000.

Other large investors have also recently made changes to their positions in the company. Asset Allocation & Management Company LLC boosted its holdings in Broadcom by 57.3% during the 4th quarter. Asset Allocation & Management Company LLC now owns 7,190 shares of the semiconductor manufacturer’s stock valued at $1,667,000 after acquiring an additional 2,620 shares during the period. CHICAGO TRUST Co NA boosted its stake in shares of Broadcom by 6.3% in the fourth quarter. CHICAGO TRUST Co NA now owns 20,512 shares of the semiconductor manufacturer’s stock valued at $4,756,000 after purchasing an additional 1,211 shares during the period. Compton Wealth Advisory Group LLC increased its stake in Broadcom by 2.4% during the 4th quarter. Compton Wealth Advisory Group LLC now owns 35,744 shares of the semiconductor manufacturer’s stock worth $8,287,000 after buying an additional 822 shares during the period. Parkside Advisors LLC lifted its holdings in Broadcom by 77.1% during the 4th quarter. Parkside Advisors LLC now owns 12,750 shares of the semiconductor manufacturer’s stock worth $2,956,000 after buying an additional 5,550 shares in the last quarter. Finally, Kieckhefer Group LLC purchased a new position in Broadcom in the 4th quarter valued at approximately $70,000. 76.43% of the stock is currently owned by institutional investors and hedge funds.

Broadcom Price Performance

AVGO stock traded up $2.04 during trading on Monday, reaching $226.35. 12,526,948 shares of the company were exchanged, compared to its average volume of 24,441,633. The company has a debt-to-equity ratio of 1.02, a quick ratio of 0.94 and a current ratio of 1.04. The stock’s 50 day moving average price is $196.90 and its 200 day moving average price is $175.71. Broadcom Inc. has a 52-week low of $109.02 and a 52-week high of $251.88. The company has a market cap of $1.06 trillion, a P/E ratio of 196.66, a PEG ratio of 2.15 and a beta of 1.03.

Broadcom (NASDAQ:AVGO) last released its quarterly earnings data on Thursday, December 12th. The semiconductor manufacturer reported $1.42 earnings per share for the quarter, beating the consensus estimate of $1.39 by $0.03. The firm had revenue of $14.05 billion during the quarter, compared to the consensus estimate of $14.07 billion. Broadcom had a return on equity of 30.12% and a net margin of 10.88%. Broadcom’s quarterly revenue was up 51.2% on a year-over-year basis. During the same period last year, the business posted $0.98 EPS. As a group, analysts predict that Broadcom Inc. will post 3.79 earnings per share for the current fiscal year.

Broadcom Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, December 31st. Shareholders of record on Monday, December 23rd were issued a dividend of $0.59 per share. This is an increase from Broadcom’s previous quarterly dividend of $0.53. This represents a $2.36 annualized dividend and a yield of 1.04%. The ex-dividend date of this dividend was Monday, December 23rd. Broadcom’s dividend payout ratio (DPR) is 191.87%.

Wall Street Analyst Weigh In

A number of research analysts recently issued reports on the company. Evercore ISI lifted their target price on Broadcom from $201.00 to $250.00 and gave the company an “outperform” rating in a report on Friday, December 13th. Robert W. Baird lifted their price target on shares of Broadcom from $195.00 to $210.00 and gave the stock an “outperform” rating in a research note on Friday, December 13th. UBS Group increased their target price on Broadcom from $170.00 to $200.00 and gave the company a “buy” rating in a report on Monday, November 4th. Cantor Fitzgerald upped their price target on Broadcom from $200.00 to $225.00 and gave the company an “overweight” rating in a report on Tuesday, October 8th. Finally, William Blair initiated coverage on shares of Broadcom in a research report on Wednesday, September 18th. They set an “outperform” rating for the company. Three research analysts have rated the stock with a hold rating and twenty-four have assigned a buy rating to the company. Based on data from MarketBeat.com, Broadcom has an average rating of “Moderate Buy” and a consensus target price of $223.54.

Insiders Place Their Bets

In related news, Director Diane M. Bryant sold 15,000 shares of the stock in a transaction on Monday, December 23rd. The stock was sold at an average price of $226.68, for a total transaction of $3,400,200.00. Following the sale, the director now owns 6,460 shares of the company’s stock, valued at $1,464,352.80. This trade represents a 69.90 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Eddy W. Hartenstein sold 4,000 shares of the business’s stock in a transaction dated Wednesday, January 8th. The shares were sold at an average price of $229.64, for a total transaction of $918,560.00. Following the completion of the transaction, the director now directly owns 46,400 shares of the company’s stock, valued at $10,655,296. The trade was a 7.94 % decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders sold 191,278 shares of company stock worth $44,964,800. Insiders own 2.00% of the company’s stock.

About Broadcom

Broadcom Inc designs, develops, and supplies various semiconductor devices with a focus on complex digital and mixed signal complementary metal oxide semiconductor based devices and analog III-V based products worldwide. The company operates in two segments, Semiconductor Solutions and Infrastructure Software.