Broadcom Inc (AVGO, Financial), a global technology leader that designs, develops, and supplies a broad range of semiconductor and infrastructure software solutions, has reported an insider sell according to a recent SEC filing. Chief Legal & Corporate Affairs Officer Mark Brazeal sold 2,500 shares of the company on March 25, 2024.
Mark Brazeal has been active in the market over the past year, selling a total of 6,532 shares and making no purchases of the company's stock during that period.
The insider transaction history for Broadcom Inc shows a pattern of insider activity. Over the past year, there have been 2 insider buys and 16 insider sells for the company.
On the valuation front, Broadcom Inc's shares were trading at $1,352.35 on the day of the insider's recent transaction, bringing the company's market cap to approximately $611.13 billion. The price-earnings ratio stands at 48.88, which is above the industry median of 31.31 and also exceeds the historical median price-earnings ratio for the company.
Considering the stock's price of $1,352.35 against the GuruFocus Value (GF Value) of $770.31, Broadcom Inc has a price-to-GF-Value ratio of 1.76, indicating that the stock is Significantly Overvalued according to the GF Value metric.
The GF Value is determined by considering historical trading multiples such as price-earnings ratio, price-sales ratio, price-book ratio, and price-to-free cash flow, along with a GuruFocus adjustment factor based on the company's past returns and growth, and future business performance estimates from Morningstar analysts.
The recent insider sell by Chief Legal & Corporate Affairs Officer Mark Brazeal provides investors with information about executive transactions at Broadcom Inc, which can be a factor to consider in their investment decisions.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
