Red Cedar Investment Management LLC Lowers Holdings in Broadcom Inc. $AVGO

Red Cedar Investment Management LLC lessened its stake in Broadcom Inc. (NASDAQ:AVGO) by 6.5% during the 3rd quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 49,802 shares of the semiconductor manufacturer’s stock after selling 3,444 shares during the period. Broadcom comprises approximately 1.9% of Red Cedar Investment Management LLC’s investment portfolio, making the stock its 11th largest holding. Red Cedar Investment Management LLC’s holdings in Broadcom were worth $16,430,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds also recently added to or reduced their stakes in the company. Arthur M. Cohen & Associates LLC lifted its stake in shares of Broadcom by 0.6% in the third quarter. Arthur M. Cohen & Associates LLC now owns 4,781 shares of the semiconductor manufacturer’s stock worth $1,577,000 after buying an additional 30 shares in the last quarter. Jackson Hole Capital Partners LLC increased its stake in Broadcom by 1.4% during the third quarter. Jackson Hole Capital Partners LLC now owns 2,170 shares of the semiconductor manufacturer’s stock worth $716,000 after purchasing an additional 30 shares during the period. McHugh Group LLC increased its position in shares of Broadcom by 0.4% during the third quarter. McHugh Group LLC now owns 8,433 shares of the semiconductor manufacturer’s stock worth $2,782,000 after acquiring an additional 31 shares during the period. Smith Thornton Advisors LLC increased its stake in shares of Broadcom by 1.4% during the third quarter. Smith Thornton Advisors LLC now owns 2,313 shares of the semiconductor manufacturer’s stock worth $763,000 after buying an additional 31 shares during the period. Finally, FWG Investments LLC. raised its stake in Broadcom by 2.7% in the third quarter. FWG Investments LLC. now owns 1,177 shares of the semiconductor manufacturer’s stock valued at $388,000 after buying an additional 31 shares in the last quarter. Hedge funds and other institutional investors own 76.43% of the company’s stock.

Insider Activity at Broadcom

In related news, Director Harry L. You acquired 1,000 shares of Broadcom stock in a transaction dated Thursday, December 18th. The stock was acquired at an average cost of $325.13 per share, with a total value of $325,130.00. Following the purchase, the director directly owned 36,602 shares in the company, valued at $11,900,408.26. The trade was a 2.81% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Hock E. Tan sold 70,000 shares of the firm’s stock in a transaction dated Tuesday, January 6th. The stock was sold at an average price of $347.30, for a total transaction of $24,311,000.00. Following the completion of the transaction, the chief executive officer owned 132,836 shares of the company’s stock, valued at approximately $46,133,942.80. The trade was a 34.51% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 779,901 shares of company stock worth $284,069,237. 2.00% of the stock is owned by corporate insiders.

Key Broadcom News

Here are the key news stories impacting Broadcom this week:

• Positive Sentiment: Wolfe Research upgraded AVGO to “outperform” with a $400 price target, signaling analyst confidence and suggesting ~20% upside from current levels. AVGO: Broadcom just upgraded at Wolfe Research — here’s why
• Positive Sentiment: Coverage highlighting Broadcom’s custom AI chips as a viable alternative to GPUs is lifting sentiment — investors see revenue and market-share upside if hyperscalers broaden their vendor mix. Better Artificial Intelligence (AI) Stock: Broadcom vs. Nvidia
• Positive Sentiment: Macro tailwind: reports that hyperscalers plan to spend heavily on AI infrastructure in 2026 support longer-term demand for Broadcom’s data-center products. Hyperscalers to Spend Over $500 Billion on AI in 2026: Here Are the 3 Stocks to Buy
• Positive Sentiment: Prominent investors are taking stakes — reports say Cathie Wood’s fund bought roughly $26M of AVGO, which can attract momentum flows and retail attention. Jim Cramer doesn’t want to call the bottom on Broadcom (AVGO)
• Neutral Sentiment: Comparative coverage (Nvidia, AMD, Broadcom) keeps focus on competitive position—Nvidia remains the AI leader, which tempers how much market share Broadcom can capture. Nvidia vs. AMD vs. Broadcom: What’s the Best AI Chip Stock to Own for 2026
• Neutral Sentiment: Broadcom continues to show up in “top AI/infrastructure” lists and retail searches, boosting liquidity and attention but not guaranteeing immediate upside. Investors Heavily Search Broadcom Inc. (AVGO): Here is What You Need to Know
• Negative Sentiment: Critical analysis questions whether Broadcom’s valuation and capital allocation fully justify the AI hype — raises caution on buying at rich multiples. Broadcom’s AI Success Is Undeniable – The Investment Case Is Not
• Negative Sentiment: High-profile skeptics (e.g., Jim Cramer) say it’s too soon to call a bottom, which can keep some traders on the sidelines and add selling pressure during weakness. Jim Cramer doesn’t want to call the bottom on Broadcom (AVGO)

Broadcom Stock Performance

Shares of AVGO opened at $331.30 on Friday. Broadcom Inc. has a 12-month low of $138.10 and a 12-month high of $414.61. The stock has a market capitalization of $1.57 trillion, a PE ratio of 69.60, a price-to-earnings-growth ratio of 1.10 and a beta of 1.21. The company has a debt-to-equity ratio of 0.76, a current ratio of 1.71 and a quick ratio of 1.58. The business’s fifty day moving average price is $355.76 and its 200 day moving average price is $337.63.

Broadcom (NASDAQ:AVGO) last issued its earnings results on Thursday, December 11th. The semiconductor manufacturer reported $1.95 earnings per share for the quarter, topping the consensus estimate of $1.87 by $0.08. The firm had revenue of $18.02 billion for the quarter, compared to analyst estimates of $17.46 billion. Broadcom had a return on equity of 37.45% and a net margin of 36.20%.The firm’s revenue for the quarter was up 28.2% on a year-over-year basis. During the same period last year, the company earned $1.42 earnings per share. Equities research analysts forecast that Broadcom Inc. will post 5.38 EPS for the current year.

Broadcom Increases Dividend

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

Wall Street Analyst Weigh In

Several research firms have recently weighed in on AVGO. Truist Financial boosted their target price on Broadcom from $500.00 to $510.00 and gave the company a “buy” rating in a report on Friday, December 19th. Wall Street Zen upgraded Broadcom from a “hold” rating to a “buy” rating in a research report on Saturday, December 13th. The Goldman Sachs Group restated a “buy” rating and issued a $450.00 price objective on shares of Broadcom in a research report on Monday, January 5th. Susquehanna reiterated a “positive” rating and set a $450.00 target price (up from $400.00) on shares of Broadcom in a research report on Thursday, December 4th. Finally, Oppenheimer boosted their target price on Broadcom from $435.00 to $450.00 and gave the stock an “outperform” rating in a report on Friday, December 12th. Two investment analysts have rated the stock with a Strong Buy rating, thirty have given a Buy rating and one has issued a Hold rating to the company’s stock. According to MarketBeat, the stock presently has a consensus rating of “Buy” and an average target price of $437.28.

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.