Yahoo Finance Broadcom Inc CEO Hock Tan Sells 20,000 Shares
Broadcom Inc (NASDAQ:AVGO), 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. President and CEO Hock Tan sold 20,000 shares of the company on December 21, 2023.The transaction was executed at an average price of $1,122.46 per share, resulting in a total value of $22,449,200. Following this transaction, the insider's stake in Broadcom Inc has been adjusted accordingly.Over the past year, Hock Tan has engaged in multiple transactions involving the company's stock. The insider has sold a total of 70,000 shares and has not made any purchases of the stock during this period.
The insider transaction history at Broadcom Inc reveals a pattern of more insider sells than buys over the past year. There have been 14 insider sells and only 2 insider buys, indicating a trend where insiders have been more inclined to sell shares than to acquire them.Broadcom Inc's stock market capitalization stands at $525.244 billion, reflecting the scale of the company within the technology sector.The company's price-earnings ratio is currently 34.06, which is above the industry median of 26.805 and also exceeds Broadcom Inc's historical median price-earnings ratio. This suggests a premium valuation compared to the broader industry and the company's own trading history.
In terms of valuation, Broadcom Inc's shares are trading at a significant premium according to the GuruFocus Value. With a current share price of $1,122.46 and a GF Value of $714.55, the price-to-GF-Value ratio is 1.57, categorizing the stock as Significantly Overvalued based on the GF Value metric.The GF Value is calculated considering historical trading multiples, a GuruFocus adjustment factor based on past returns and growth, and future business performance estimates provided by Morningstar analysts.The recent insider sell by the CEO of Broadcom Inc provides investors with information on insider sentiment and may 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.
This article first appeared on GuruFocus.
