Broadcom (AVGO, Financial) President Charlie Kawwas has sold 40,000 shares of the company worth about $9.28 million. Broadcom's market valuation of $1.11 trillion put an average price of $231.98 on the transaction.
Over the year, the company has returned an impressive 128 percent, with shares trading closer than a 52-week high.
Indirectly, Kawwas still holds almost 700,000 shares through a trust and directly 82,990 shares, including 75,000 restricted stock units. However, analysts said Broadcom remains a top semiconductor company even after the insider sale. Key differentiators include the fact that the company has already achieved 15 years in a row of increasing dividends and has a good outlook for future growth.
Broadcom's stock also has benefited from overall optimism in the semiconductor market. Nvidia's (NVDA, Financial) sustained demand for AI infrastructure, which helped drive a 15 percent revenue surge from its NVDA partner Foxconn (FXCOF, Financial), it reported. This development has pushed shares of other semiconductor players, including AMD (AMD, Financial) and Broadcom, higher.
Broadcom is bullish with major investment firms. In the past three months, UBS, Bernstein, and JPMorgan have raised their price targets for the company, citing strong AI revenue growth and its strategic move into the AI networking and custom computing segments. Goldman Sachs was also standing by Broadcom with a Buy rating. It said that the company's revenue trajectory is strong and that it overhauled non-GAAP EPS forecasts for fiscal 2026 and 2027.
As AI and software continue to grow, Broadcom is cementing its place as one of the key semiconductor names of the future.
