Broadcom (NASDAQ:AVGO) Stock Rating Cut to “Neutral” at Rothschild & Co Redburn

Broadcom (NASDAQ:AVGO) was downgraded by stock analysts at Rothschild & Co Redburn from a “buy” rating to a “neutral” rating in a research note issued on Friday, Briefing.com reports. They currently have a $398.00 price target on the semiconductor manufacturer’s stock. Rothschild & Co Redburn‘s price target would suggest a potential upside of 9.23% from the company’s current price.

Several other research firms also recently issued reports on AVGO. Arete Research boosted their price objective on Broadcom from $488.00 to $530.00 and gave the company a “buy” rating in a report on Tuesday, July 21st. Sanford C. Bernstein reissued a “buy” rating on shares of Broadcom in a research note on Monday, September 21st. TD Cowen restated a “buy” rating and set a $475.00 target price (down from $500.00) on shares of Broadcom in a report on Thursday, September 3rd. HSBC dropped their target price on Broadcom from $600.00 to $560.00 and set a “buy” rating for the company in a research report on Thursday, September 3rd. Finally, BMO Capital Markets boosted their price target on shares of Broadcom from $455.00 to $575.00 and gave the stock an “outperform” rating in a research note on Thursday, September 3rd. One research analyst has rated the stock with a Strong Buy rating, thirty-eight have given a Buy rating and six have assigned a Hold rating to the company’s stock. According to MarketBeat, Broadcom has an average rating of “Moderate Buy” and a consensus price target of $525.19.

Broadcom Stock Up 5.5%

Shares of NASDAQ AVGO opened at $364.36 on Friday. The firm has a market cap of $1.74 trillion, a price-to-earnings ratio of 46.53 and a beta of 1.49. The company has a quick ratio of 2.29, a current ratio of 2.50 and a debt-to-equity ratio of 0.57. Broadcom has a 52-week low of $289.77 and a 52-week high of $495.00. The business’s 50 day moving average is $345.59 and its two-hundred day moving average is $366.48.

Broadcom (NASDAQ:AVGO) last released its quarterly earnings results on Wednesday, September 2nd. The semiconductor manufacturer reported $3.32 EPS for the quarter, topping analysts’ consensus estimates of $3.22 by $0.10. Broadcom had a return on equity of 48.33% and a net margin of 42.94%. The company had revenue of $29.59 billion for the quarter, compared to analysts’ expectations of $29.24 billion. During the same period in the prior year, the firm earned $1.69 earnings per share. The firm’s revenue was up 85.5% compared to the same quarter last year. Research analysts predict that Broadcom will post 10.20 EPS for the current year.

Institutional Trading of Broadcom

A number of large investors have recently modified their holdings of AVGO. Kidder Stephen W boosted its position in Broadcom by 20.2% in the third quarter. Kidder Stephen W now owns 16,151 shares of the semiconductor manufacturer’s stock valued at $5,672,000 after buying an additional 2,713 shares in the last quarter. Te Ahumairangi Investment Management Ltd grew its stake in Broadcom by 38.4% during the third quarter. Te Ahumairangi Investment Management Ltd now owns 21,429 shares of the semiconductor manufacturer’s stock worth $7,526,000 after buying an additional 5,944 shares during the last quarter. Snowwater Investment Partners LLC increased its holdings in shares of Broadcom by 31.3% during the third quarter. Snowwater Investment Partners LLC now owns 877 shares of the semiconductor manufacturer’s stock worth $308,000 after buying an additional 209 shares in the last quarter. Xcelsior Advisor Partners LLC increased its holdings in shares of Broadcom by 223.6% during the third quarter. Xcelsior Advisor Partners LLC now owns 46,596 shares of the semiconductor manufacturer’s stock worth $16,364,000 after buying an additional 32,195 shares in the last quarter. Finally, Pursue Wealth Partners LLC acquired a new stake in shares of Broadcom during the third quarter worth approximately $423,000. Hedge funds and other institutional investors own 76.43% of the company’s stock.

Key Stories Impacting Broadcom

Here are a few of the latest stories about AVGO:

• Positive Sentiment: Nvidia’s CEO transition has put a spotlight on alternatives, including Broadcom’s custom AI accelerators (ASICs). Investors may see an opening for Broadcom as cloud providers diversify chip suppliers. Why Broadcom Stock Rallied Thursday Morning
• Neutral Sentiment: A recent four-day rally of more than 20% has renewed attention on the shares. The article notes that five of six comparable surges since 2009 were followed by gains over the next year, though that historical pattern does not guarantee future performance. Broadcom Stock Just Jumped More Than 20% in 4 Days
• Negative Sentiment: Broadcom’s growing reliance on a small group of customers is another risk: its five largest end customers accounted for about 55% of recent-quarter revenue, according to a recent analysis. Here’s My Biggest Worry About Broadcom Stock

Broadcom Company Profile

Broadcom Inc. is a global technology company that designs and supplies semiconductor products and infrastructure software. Its semiconductor portfolio includes chips and components used in networking, broadband communications, wireless connectivity, data storage, and industrial applications. The company serves businesses across a range of industries, including communications, enterprise technology, and consumer electronics. Broadcom also provides infrastructure software, including products for virtualization, cloud computing, cybersecurity, and enterprise operations.