Broadcom (NASDAQ:AVGO) Trading 3.8% Higher – What’s Next?

Broadcom Inc. (NASDAQ:AVGO) was up 3.8% on Friday . The stock traded as high as $347.39 and last traded at $344.97. Approximately 22,421,211 shares changed hands during trading, a decline of 11% from the average daily volume of 25,072,418 shares. The stock had previously closed at $332.48.

Broadcom News Roundup

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: High‑profile endorsement: Jim Cramer said he’d rather own Broadcom, which can boost retail/inflow interest and support short‑term buying momentum. Jim Cramer says he’d rather own Broadcom (AVGO)
• Positive Sentiment: Bullish analyst action: Goldman Sachs added AVGO to its US Conviction List and kept a buy stance with a $450 price target, providing institutional endorsement that can support longer‑term demand. Goldman Sachs Conviction List
• Positive Sentiment: AI/infra second‑half catalyst: MarketBeat highlights Broadcom’s AI‑infrastructure exposure and argues monetization is likely to accelerate in H2 2026, supporting the case for continued medium‑term earnings growth. 3 Tech Stocks Positioned for the Next Leg of the Bull Market (AVGO)
• Neutral Sentiment: Valuation and historical volatility context: A Forbes piece reviews how far AVGO has fallen in past drawdowns, useful for risk sizing but not an immediate catalyst. Broadcom Stock Is Falling. How Low Has It Historically Dropped?
• Neutral Sentiment: Valuation/undervaluation debate: Commentary (Seeking Alpha) argues Broadcom can close an undervaluation gap in 2026 — constructive long term but not a trigger for immediate upside. Broadcom: Ready To Close Undervaluation Gap In 2026
• Negative Sentiment: Insider selling: CEO Hock E. Tan sold 70,000 shares and director Mark Brazeal sold 30,000 shares on Jan. 6; large insider sales are being cited in coverage and can spook short‑term traders. CEO Form 4 Director Form 4
• Negative Sentiment: Near‑term margin/guidance worries: Recent guidance flagged some gross‑margin pressure for 2026, which analysts and media say explains recent selling despite strong Q4 results — this is the primary near‑term negative. Why Broadcom (AVGO) shares are falling today

Analysts Set New Price Targets

Several research firms recently weighed in on AVGO. Cowen reissued a “buy” rating on shares of Broadcom in a research report on Friday, December 12th. Barclays reiterated an “overweight” rating and issued a $500.00 target price (up previously from $450.00) on shares of Broadcom in a report on Friday, December 12th. Mizuho set a $480.00 price target on shares of Broadcom and gave the stock an “outperform” rating in a report on Friday. Macquarie began coverage on shares of Broadcom in a research note on Monday, September 15th. They issued an “outperform” rating and a $420.00 price objective on the stock. Finally, Evercore ISI increased their target price on shares of Broadcom from $342.00 to $403.00 and gave the stock an “outperform” rating in a research report on Wednesday, October 15th. Three equities research analysts have rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating and one has issued a Hold rating to the company. According to MarketBeat.com, Broadcom has an average rating of “Buy” and an average target price of $438.00.

Broadcom Price Performance

The company has a market capitalization of $1.64 trillion, a P/E ratio of 72.47, a P/E/G ratio of 1.16 and a beta of 1.21. The company’s 50-day simple moving average is $360.22 and its 200 day simple moving average is $329.83. The company has a quick ratio of 1.58, a current ratio of 1.71 and a debt-to-equity ratio of 0.76.

Broadcom (NASDAQ:AVGO) last issued its quarterly earnings data on Thursday, December 11th. The semiconductor manufacturer reported $1.95 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.87 by $0.08. Broadcom had a net margin of 36.20% and a return on equity of 37.45%. The firm had revenue of $18.02 billion during the quarter, compared to analysts’ expectations of $17.46 billion. During the same period in the prior year, the company posted $1.42 earnings per share. Broadcom’s revenue for the quarter was up 28.2% on a year-over-year basis. As a group, sell-side analysts expect that Broadcom Inc. will post 5.38 earnings per share for the current fiscal year.

Broadcom Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, December 31st. Stockholders of record on Monday, December 22nd were given a $0.65 dividend. This is a positive change from Broadcom’s previous quarterly dividend of $0.59. This represents a $2.60 dividend on an annualized basis and a dividend yield of 0.8%. The ex-dividend date of this dividend was Monday, December 22nd. Broadcom’s payout ratio is 54.62%.

Insider Activity

In other Broadcom news, CFO Kirsten M. Spears sold 30,000 shares of the firm’s stock in a transaction that occurred on Wednesday, December 31st. The stock was sold at an average price of $347.82, for a total value of $10,434,600.00. Following the sale, the chief financial officer owned 277,237 shares of the company’s stock, valued at $96,428,573.34. This trade represents a 9.76% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, Director Henry Samueli sold 320,316 shares of Broadcom stock in a transaction that occurred on Monday, December 8th. The stock was sold at an average price of $400.53, for a total value of $128,296,167.48. Following the completion of the transaction, the director directly owned 37,326,540 shares in the company, valued at approximately $14,950,399,066.20. This represents a 0.85% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 780,701 shares of company stock valued at $284,349,357. 2.00% of the stock is owned by corporate insiders.

Institutional Trading of Broadcom

A number of hedge funds have recently bought and sold shares of AVGO. Sawyer & Company Inc lifted its position in shares of Broadcom by 62.1% in the 2nd quarter. Sawyer & Company Inc now owns 94 shares of the semiconductor manufacturer’s stock worth $26,000 after acquiring an additional 36 shares during the period. Longfellow Investment Management Co. LLC acquired a new position in shares of Broadcom in the second quarter valued at $27,000. Legend Financial Advisors Inc. bought a new position in Broadcom in the second quarter worth $28,000. Teachers Insurance & Annuity Association of America acquired a new stake in Broadcom during the second quarter worth $28,000. Finally, LGT Financial Advisors LLC bought a new stake in Broadcom in the 2nd quarter valued at $31,000. 76.43% of the stock is owned by institutional investors.

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.