Broadcom (NASDAQ:AVGO) Trading Down 3.2% – What’s Next?

Broadcom Inc. (NASDAQ:AVGO) traded down 3.2% during trading on Thursday . The company traded as low as $307.93 and last traded at $321.70. 32,621,679 shares were traded during mid-day trading, an increase of 29% from the average session volume of 25,205,822 shares. The stock had previously closed at $332.31.

More Broadcom News

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom expects to sell at least 1 million 3D‑stacked chips by 2027, signaling material volume and adoption for its stacked design tech and strengthening its AI silicon roadmap. Exclusive: Broadcom expects to sell 1 million 3D stacked chips by 2027
• Positive Sentiment: Broadcom has started shipping a 3.5D face‑to‑face compute SoC intended to power high‑performance AI workloads — a concrete step toward commercializing next‑gen AI accelerators. Broadcom Ships 3.5D Face-to-Face Compute SoC Powering AI Revolution
• Positive Sentiment: Launch of the BroadPeak 5G Advanced chip expands Broadcom’s product stack into 5G/edge markets, potentially broadening addressable markets and supporting future revenue diversification. What Broadcom (AVGO)’s New 5G Advanced BroadPeak Chip Means For Shareholders
• Positive Sentiment: TD Cowen updated Broadcom’s valuation stressing long‑term AI tailwinds — an analyst signal that supports upside expectations into upcoming results. TD Cowen Adjusts Broadcom (AVGO) Valuation, Highlights Long-Term AI Tailwinds
• Neutral Sentiment: Broadcom continues its dividend payout (next expected in late March), which supports shareholder income but is unlikely to move the shares materially near term. Broadcom to pay dividends on March 31; Here’s how much 100 AVGO shares will earn
• Neutral Sentiment: Hedge fund MIG Capital trimmed a small Broadcom stake — a routine portfolio move with limited directional signal. MIG Capital Trims Broadcom Inc. Stake by 18,461 Shares
• Negative Sentiment: Investors rotated into Nvidia after its blockbuster quarter, pulling money out of peers including Broadcom and triggering the immediate downside. Broadcom Falls After Nvidia Earnings, but Here’s Why Investors Should Still Buy
• Negative Sentiment: Analysts and commentaries warn of a possible tech rotation or “irrational” selloff ahead of Broadcom’s March 4 earnings — a reminder that short‑term volatility could persist. Broadcom Q1 Preview: Tech Rotation Could Trigger Another Irrational Selloff
• Negative Sentiment: Longer‑term risk analysis highlights execution, valuation and competitive risks that could cap upside if AI ramp timing slips. What Are The Risks Threatening AVGO Stock’s Run?

Analyst Upgrades and Downgrades

AVGO has been the topic of a number of recent research reports. Bank of America lifted their target price on shares of Broadcom from $460.00 to $500.00 and gave the company a “buy” rating in a report on Friday, December 12th. Oppenheimer raised their price target on Broadcom from $435.00 to $450.00 and gave the company an “outperform” rating in a report on Friday, December 12th. TD Cowen reissued a “buy” rating on shares of Broadcom in a report on Friday, December 12th. KeyCorp reiterated an “overweight” rating and set a $500.00 target price (up from $460.00) on shares of Broadcom in a research report on Friday, December 12th. Finally, Deutsche Bank Aktiengesellschaft set a $430.00 price target on shares of Broadcom and gave the company a “buy” rating in a research report on Friday, December 12th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty have given a Buy rating and two have issued a Hold rating to the company’s stock. Based on data from MarketBeat, Broadcom currently has an average rating of “Buy” and an average target price of $433.13.

Broadcom Stock Down 3.2%

The company has a current ratio of 1.71, a quick ratio of 1.58 and a debt-to-equity ratio of 0.76. The firm has a 50 day moving average price of $336.92 and a two-hundred day moving average price of $342.35. The firm has a market capitalization of $1.53 trillion, a price-to-earnings ratio of 67.58, a price-to-earnings-growth ratio of 1.04 and a beta of 1.21.

Broadcom (NASDAQ:AVGO) last released its quarterly earnings data on Thursday, December 11th. The semiconductor manufacturer reported $1.95 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.87 by $0.08. Broadcom had a net margin of 36.20% and a return on equity of 37.45%. The company had revenue of $18.02 billion during the quarter, compared to analyst estimates of $17.46 billion. During the same quarter in the prior year, the business earned $1.42 earnings per share. The business’s quarterly revenue was up 28.2% compared to the same quarter last year. On average, equities analysts expect that Broadcom Inc. will post 5.38 earnings per share for the current fiscal year.

Broadcom Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, December 31st. Shareholders of record on Monday, December 22nd were issued a $0.65 dividend. The ex-dividend date was Monday, December 22nd. This represents a $2.60 dividend on an annualized basis and a yield of 0.8%. This is a boost from Broadcom’s previous quarterly dividend of $0.59. Broadcom’s dividend payout ratio (DPR) is currently 54.62%.

Insider Buying and Selling at Broadcom

In other news, Director Harry L. You acquired 1,000 shares of the business’s stock in a transaction on Thursday, December 18th. The shares were purchased at an average price of $325.13 per share, for a total transaction of $325,130.00. Following the acquisition, the director directly owned 36,602 shares of the company’s stock, valued at $11,900,408.26. This represents a 2.81% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Charlie B. Kawwas sold 1,928 shares of Broadcom stock in a transaction dated Wednesday, December 17th. The stock was sold at an average price of $327.80, for a total value of $631,998.40. Following the sale, the insider directly owned 23,582 shares in the company, valued at approximately $7,730,179.60. The trade was a 7.56% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 779,101 shares of company stock worth $283,804,325. 2.00% of the stock is currently owned by insiders.

Institutional Trading of Broadcom

Institutional investors and hedge funds have recently bought and sold shares of the company. Brighton Jones LLC raised its stake in Broadcom by 21.8% during the fourth quarter. Brighton Jones LLC now owns 29,683 shares of the semiconductor manufacturer’s stock worth $6,882,000 after acquiring an additional 5,322 shares during the period. Revolve Wealth Partners LLC raised its stake in Broadcom by 10.4% during the 4th quarter. Revolve Wealth Partners LLC now owns 7,997 shares of the semiconductor manufacturer’s stock valued at $1,854,000 after acquiring an additional 756 shares in the last quarter. United Bank lifted its holdings in Broadcom by 76.5% in the first quarter. United Bank now owns 2,339 shares of the semiconductor manufacturer’s stock worth $392,000 after purchasing an additional 1,014 shares during the period. Sivia Capital Partners LLC lifted its stake in shares of Broadcom by 10.1% in the 2nd quarter. Sivia Capital Partners LLC now owns 12,693 shares of the semiconductor manufacturer’s stock worth $3,499,000 after acquiring an additional 1,160 shares during the period. Finally, Capital & Planning LLC boosted its stake in Broadcom by 10.5% during the 2nd quarter. Capital & Planning LLC now owns 3,983 shares of the semiconductor manufacturer’s stock valued at $1,098,000 after purchasing an additional 378 shares in the last quarter. Institutional investors and hedge funds own 76.43% of the company’s stock.

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.