Broadcom shares slip to 11th in trading activity amid insider selling surge and hedge fund split as analysts remain bullish on AI-driven growth

Broadcom (AVGO) fell 0.19% on August 18, with a trading volume of $4.47 billion, a 35.86% decline from the prior day, ranking 11th in market activity. Congressional members executed 34 trades in AVGO over the past six months, including 19 purchases and 15 sales, with notable buys by Rep. Nancy Pelosi ($5M) and Rep. Lisa McClain ($95K). Insider selling dominated, with 34 sales totaling $346.9 million, including CEO Hock Tan’s $51 million and CFO Kirsten Spears’ $23.7 million. Hedge funds showed mixed activity, with 2,217 institutions adding shares and 1,754 trimming positions, led by FMR LLC’s $4.2 billion purchase and Capital International’s $3.4 billion reduction. Government contracts awarded $82.5 million to Broadcom, including a $55 million CA software renewal. Analysts remain bullish, with 18 firms issuing “buy” ratings and a median price target of $302.50.

Insider transactions underscored a net outflow, with no purchases recorded among the 34 trades. Key figures like Henry Samueli (18 sales, $246 million) and Mark Brazeal (4 sales, $36 million) contributed to the trend. Institutional investors highlighted divergent strategies, as GAMMA Investing liquidated 99.3% of its holdings and Jane Street Group sold 97.8%. Despite this, major firms like Vanguard added 1.3% to their positions. Government contracts focused on technical support and software maintenance, reflecting Broadcom’s ongoing role in enterprise infrastructure. Analysts emphasized the company’s AI-driven growth potential, with Goldman Sachs and Morgan Stanley raising price targets to $340 and $338, respectively, citing leadership in semiconductor innovation and networking solutions.

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