Broadcom (NASDAQ:AVGO) Given Sector Perform Rating at Royal Bank Of Canada

Broadcom (NASDAQ:AVGO)‘s stock had its “sector perform” rating reissued by research analysts at Royal Bank Of Canada in a report issued on Thursday, September 3rd, Benzinga reports. They currently have a $400.00 target price on the semiconductor manufacturer’s stock. Royal Bank Of Canada’s target price suggests a potential upside of 14.17% from the stock’s current price.

Other research analysts have also recently issued reports about the stock. Cantor Fitzgerald increased their price target on shares of Broadcom from $525.00 to $600.00 and gave the stock an “overweight” rating in a report on Thursday, September 3rd. Benchmark increased their price target on shares of Broadcom from $485.00 to $545.00 and gave the stock a “buy” rating in a report on Thursday, June 4th. Deutsche Bank Aktiengesellschaft restated a “buy” rating and set a $515.00 target price (up from $430.00) on shares of Broadcom in a research report on Thursday, June 4th. Raymond James Financial restated an “outperform” rating and set a $475.00 target price (up from $450.00) on shares of Broadcom in a research report on Thursday, September 3rd. Finally, Oppenheimer restated an “outperform” rating and set a $535.00 target price (up from $450.00) on shares of Broadcom in a research report on Thursday, June 4th. One research analyst has rated the stock with a Strong Buy rating, thirty-six have given a Buy rating and four have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $527.20.

Broadcom Stock Performance

NASDAQ AVGO traded down $4.63 during trading hours on Thursday, hitting $350.36. 20,823,200 shares of the stock were exchanged, compared to its average volume of 25,250,080. The company has a market cap of $1.67 trillion, a price-to-earnings ratio of 44.75 and a beta of 1.44. Broadcom has a 12-month low of $289.96 and a 12-month high of $495.00. The stock has a 50-day moving average of $377.21 and a 200 day moving average of $380.26. 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 (NASDAQ:AVGO) last posted its quarterly earnings results on Wednesday, September 2nd. The semiconductor manufacturer reported $3.32 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.22 by $0.10. The firm had revenue of $29.59 billion during the quarter, compared to analysts’ expectations of $29.24 billion. Broadcom had a net margin of 42.94% and a return on equity of 48.33%. The firm’s revenue for the quarter was up 85.5% on a year-over-year basis. During the same period in the prior year, the company posted $1.69 earnings per share. As a group, equities research analysts forecast that Broadcom will post 10.36 earnings per share for the current year.

Insider Activity

In other news, insider Mark Brazeal sold 25,000 shares of the stock in a transaction that occurred on Friday, July 10th. The shares were sold at an average price of $401.33, for a total value of $10,033,250.00. Following the sale, the insider directly owned 194,989 shares in the company, valued at $78,254,935.37. This represents a 11.36% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Justine Page sold 1,602 shares of the stock in a transaction that occurred on Monday, June 29th. The shares were sold at an average price of $373.86, for a total transaction of $598,923.72. Following the completion of the sale, the director owned 17,426 shares in the company, valued at $6,514,884.36. This represents a 8.42% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 53,492 shares of company stock worth $20,840,292 over the last ninety days. 1.90% of the stock is currently owned by insiders.

Institutional Trading of Broadcom

Large investors have recently modified their holdings of the business. State Street Corp grew its position in shares of Broadcom by 8.7% in the second quarter. State Street Corp now owns 208,031,610 shares of the semiconductor manufacturer’s stock valued at $75,367,711,000 after purchasing an additional 16,651,378 shares during the last quarter. Geode Capital Management LLC grew its position in shares of Broadcom by 1.4% in the fourth quarter. Geode Capital Management LLC now owns 111,277,280 shares of the semiconductor manufacturer’s stock valued at $38,396,634,000 after purchasing an additional 1,548,699 shares during the last quarter. Norges Bank acquired a new stake in shares of Broadcom in the fourth quarter valued at approximately $24,252,196,000. Bank of America Corp DE grew its position in shares of Broadcom by 4.6% in the second quarter. Bank of America Corp DE now owns 61,423,013 shares of the semiconductor manufacturer’s stock valued at $23,202,543,000 after purchasing an additional 2,685,916 shares during the last quarter. Finally, Wellington Management Group LLP grew its position in shares of Broadcom by 3.8% in the second quarter. Wellington Management Group LLP now owns 51,580,703 shares of the semiconductor manufacturer’s stock valued at $19,484,611,000 after purchasing an additional 1,892,721 shares during the last quarter. 76.43% of the stock is currently owned by institutional investors and hedge funds.

Key Broadcom News

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Broadcom’s custom-chip opportunity remains the primary bullish catalyst. Analysts and bullish investors point to hyperscaler partnerships, AI networking demand, and management’s projections for approximately $115 billion in AI semiconductor revenue in fiscal 2027 and $230 billion in fiscal 2028. The AI Boom Isn’t Over: 3 Stocks You Need to Watch
• Positive Sentiment: Recent coverage also highlights Broadcom’s share-repurchase activity and AI-chip deals with major hyperscalers, reinforcing the view that the company can benefit as customers diversify beyond standard AI processors. Its software business and dividend-growth history provide additional long-term support. Broadcom Is Up 7.4% After Massive Buybacks and AI Chip Deals
• Neutral Sentiment: Broadcom’s valuation reflects substantial optimism, with a reported price-to-earnings ratio above 44 and the stock trading below its 50-day and 200-day moving averages. Analysts remain constructive, but the market is demanding strong execution against ambitious AI forecasts.
• Neutral Sentiment: Broader semiconductor sentiment has also been affected by higher Treasury yields, rising oil prices, and profit-taking after a strong market advance. These factors may be amplifying the reaction to company-specific news. Why Are Intel, AMD, and Broadcom Stocks Down?
• Negative Sentiment: China is reportedly surveying Broadcom switches used in state-backed data centers as Beijing encourages domestic semiconductor suppliers and reduces reliance on foreign technology. The review raises risks of lost Chinese business, tighter restrictions, and slower adoption of Broadcom’s networking products. China Surveys Broadcom Switch Use in State Data Centers
• Negative Sentiment: Investors are increasingly focused on whether Broadcom can convert its aggressive AI outlook into results while managing geopolitical exposure and elevated expectations. The China developments add a new risk to an AI thesis already priced for considerable growth. Broadcom: China Just Added a New Risk to the AI Story

About Broadcom

Broadcom Inc (NASDAQ:AVGO) designs, develops and supplies semiconductor and infrastructure software products for businesses, telecommunications providers and other organizations worldwide. Its semiconductor portfolio includes networking and connectivity components, custom application-specific integrated circuits, broadband and wireless communications products, storage adapters, optical components, and industrial solutions.

The company also provides enterprise infrastructure software through businesses including VMware, which offers virtualization and private- and hybrid-cloud solutions; mainframe and enterprise software; and cybersecurity products.