AVGO

Piper Sandler Maintains Broadcom (AVGO) Overweight Recommendation

Fintel reports that on August 29, 2023, Piper Sandler maintained coverage of Broadcom (NASDAQ:AVGO) with a Overweight recommendation.

Analyst Price Forecast Suggests 4.29% Upside

As of August 2, 2023, the average one-year price target for Broadcom is 898.04. The forecasts range from a low of 589.84 to a high of $1,102.50. The average price target represents an increase of 4.29% from its latest reported closing price of 861.08.

See our leaderboard of companies with the largest price target upside.

The projected annual revenue for Broadcom is 35,900MM, an increase of 2.45%. The projected annual non-GAAP EPS is 41.57.

Broadcom Declares $4.60 Dividend

On June 1, 2023 the company declared a regular quarterly dividend of $4.60 per share ($18.40 annualized). Shareholders of record as of June 22, 2023 received the payment on June 30, 2023. Previously, the company paid $4.60 per share.

At the current share price of $861.08 / share, the stock's dividend yield is 2.14%.

Looking back five years and taking a sample every week, the average dividend yield has been 3.38%, the lowest has been 2.02%, and the highest has been 6.93%. The standard deviation of yields is 0.71 (n=235).

The current dividend yield is 1.74 standard deviations below the historical average.

Additionally, the company's dividend payout ratio is 0.55. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.

The company's 3-Year dividend growth rate is 0.42%, demonstrating that it has increased its dividend over time.

What is the Fund Sentiment?

There are 3736 funds or institutions reporting positions in Broadcom. This is an increase of 245 owner(s) or 7.02% in the last quarter. Average portfolio weight of all funds dedicated to AVGO is 0.94%, an increase of 13.56%. Total shares owned by institutions decreased in the last three months by 9.62% to 405,988K shares. AVGO / Broadcom Inc Put/Call Ratios The put/call ratio of AVGO is 1.17, indicating a bearish outlook.

What are Other Shareholders Doing?

AVGO / Broadcom Inc Shares Held by Institutions

Capital World Investors holds 27,823K shares representing 6.74% ownership of the company. In it's prior filing, the firm reported owning 27,354K shares, representing an increase of 1.68%. The firm increased its portfolio allocation in AVGO by 27.97% over the last quarter.

Capital International Investors holds 22,911K shares representing 5.55% ownership of the company. In it's prior filing, the firm reported owning 27,586K shares, representing a decrease of 20.41%. The firm increased its portfolio allocation in AVGO by 5.33% over the last quarter.

Capital Research Global Investors holds 19,206K shares representing 4.65% ownership of the company. In it's prior filing, the firm reported owning 21,168K shares, representing a decrease of 10.21%. The firm increased its portfolio allocation in AVGO by 15.19% over the last quarter.

AWSHX - WASHINGTON MUTUAL INVESTORS FUND holds 13,313K shares representing 3.23% ownership of the company. In it's prior filing, the firm reported owning 14,627K shares, representing a decrease of 9.87%. The firm decreased its portfolio allocation in AVGO by 2.14% over the last quarter.

VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 13,004K shares representing 3.15% ownership of the company. In it's prior filing, the firm reported owning 12,905K shares, representing an increase of 0.76%. The firm increased its portfolio allocation in AVGO by 25.70% over the last quarter.

Broadcom Background Information
(This description is provided by the company.)

Broadcom Inc., a Delaware corporation headquartered in San Jose, CA, is a global technology leader that designs, develops and supplies a broad range of semiconductor and infrastructure software solutions. Broadcom's category-leading product portfolio serves critical markets including data center, networking, enterprise software, broadband, wireless, storage and industrial. Broadcom Inc solutions include data center networking and storage, enterprise, mainframe and cyber security software focused on automation, monitoring and security, smartphone components, telecoms and factory automation.

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This story originally appeared on Fintel.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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