Simplicity Wealth LLC Reduces Stake in Broadcom Inc.

Simplicity Wealth LLC has significantly adjusted its investment in Broadcom Inc. (NASDAQ:AVGO - Free Report). In the 4th quarter, the firm reduced its stake by 62.5%, as detailed in their latest Form 13F filing with the Securities and Exchange Commission.

Following the reduction, Simplicity Wealth LLC now holds 6,332 shares of the semiconductor company's stock. This decrease represents a sell-off of 10,556 shares during the quarter, diminishing the firm's total holdings in Broadcom to a value of approximately $1,468,000.

Other Institutional Investment Movements

There have been various changes in the positions of other institutional investors and hedge funds regarding Broadcom shares. Notably, Pin Oak Investment Advisors Inc. amplified its holdings by an impressive 900.0% in the 3rd quarter. They now own 150 shares worth $25,000 after adding 135 shares during the last quarter. Additionally, Canton Hathaway LLC and Rialto Wealth Management LLC both purchased new stakes in Broadcom, valued around $26,000 each during the same period.

JDM Financial Group LLC also saw a massive increase in its holdings, boosting its ownership by 1,323.1% in the 3rd quarter, accumulating 185 shares worth $32,000 after acquiring an additional 172 shares. Bellevue Asset Management LLC joined the ranks of new investors in the 4th quarter, acquiring a stake valued at about $33,000. Overall, institutional investors and hedge funds now control 76.43% of Broadcom's stock.

Recent Performance of Broadcom Stock

As of the latest market data, Broadcom's share price opened at $194.96. The stock has shown strong performance recently, with an 8.6% increase. Broadcom's market capitalization is approximately $913.85 billion, featuring a PE ratio of 159.02 and a price-to-earnings-growth ratio of 2.29. The stock's 50-day moving average stands at $222.28 while the 200-day average is lower at $193.12. Across the past year, the stock has experienced a low of $119.76 and a high of $251.88.

Quarterly Earnings and Dividend Announcement

On December 12th, Broadcom released its quarterly earnings report. The company reported earnings of $1.42 per share, surpassing analyst expectations of $1.39. With a net margin of 11.43% and return on equity at 28.00%, Broadcom generated revenue of $14.05 billion for the quarter, close to the consensus estimate of $14.07 billion, showing a 51.2% increase year-over-year. Analysts predict an EPS of 5.38 for Broadcom in the current year.

Furthermore, Broadcom recently declared a quarterly dividend to shareholders, set to be paid on March 31st. Those on record as of March 20th will receive a dividend of $0.59. This equates to an annualized dividend of $2.36, offering a yield of 1.21%. The current dividend payout ratio is at a high 191.87%.

Analyst Insights and Changes

Recent analyst ratings have fluctuated, with Mizuho adjusting its target price for Broadcom from $260.00 to $250.00, maintaining an 'outperform' rating. Similarly, JPMorgan Chase raised their target price from $210.00 to $250.00 while giving the stock an 'overweight' rating. Jefferies Financial Group and TD Cowen also increased their price objectives to $225.00 and $240.00, respectively, both rating the stock as a 'buy'. In total, 25 analysts hold a 'buy' rating for Broadcom, while three maintain a 'hold' rating, leading to an average rating of 'Moderate Buy' and a target price of $231.48.

Insider Transactions

In insider news, Director Harry L. You sold 6,540 shares on December 17th, resulting in a total value of approximately $1,569,600. After the sale, he retained 30,450 shares valued at around $7,308,000. Director Eddy W. Hartenstein also sold 4,000 shares on January 8th for $918,560, leaving him with 46,400 shares valued at about $10,655,296. Insiders have sold a total of 191,278 shares in recent months, representing about 2.00% of the company stock.

About Broadcom Inc.

Broadcom Inc. specializes in designing, developing, and supplying semiconductor devices. The company's focus lies in complex digital and mixed-signal complementary metal oxide semiconductor devices as well as analog products worldwide, operating through its Semiconductor Solutions and Infrastructure Software segments.

Simplicity, Wealth, Broadcom