To the untrained eye, there are a significant amount of metrics for Broadcom Corporation (NASDAQ:BRCM) readers to watch, but it is absolutely crucial to take note of a stock’s short interest. Some indicators typically used are: (a) the chunk of a stock’s shares that short sellers are currently shorting, in addition to (b) the difference in shorting activity.
Augmented bearish shorting usually means what it implies: Wall Street has become less bullish on the stock. Short selling that’s too high, however, sometimes has a bullish effect on share price, as the shorts may be forced to buy their shares.
Within our database, it’s not a secret that we watch hedge fund interest, but it’s eqaully as crucial to combine this information with overall short sale information. A few, large investors may share that they’re short on a certain stock, but it isn’t an SEC requirement. Nonetheless, many retail investors may want to stay away from highly shorted equities with high hedgie investment, while others may desire short-squeeze opportunities. For traders wanting a time-tested piggybacking strategy, discover the details of our premium strategy.
With that in mind, let’s take a look at the key data surrounding Broadcom Corporation (NASDAQ:BRCM).
Studying the newest FINRA data, which is released two times a month, we can discover that Broadcom Corporation (NASDAQ:BRCM) sports a short interest of 1.70% of float. This indicates a slight increase from the prior two-week period. With a total float of 552.61M shares, this is a short ratio of 1.30.
It’s also important to monitor hedge fund sentiment from their quarterly 13F filings. According to our data, Citadel Investment Group, managed by Ken Griffin, holds the largest position in Broadcom Corporation (NASDAQ:BRCM). Citadel Investment Group has a $244.4 million position in the stock, comprising 0.4% of its 13F portfolio. On Citadel Investment Group’s heels is Coatue Management, managed by Philippe Laffont, which held a $225.8 million position; the fund has 2.8% of its 13F portfolio invested in the stock. Some other peers that are bullish include David Tepper’s Appaloosa Management LP, Jim Simons’s Renaissance Technologies and Steven Cohen’s SAC Capital Advisors.
Also, insider trading activity, especially when it’s bullish, is particularly usable when the company we’re looking at has seen transactions within the past half-year. Over the last six-month time period, Broadcom Corporation (NASDAQ:BRCM) has seen zero unique insiders buying, and 10 insider sales (see the details of insider trades here).
Let’s also review activity in other stocks similar to Broadcom Corporation (NASDAQ:BRCM). These stocks are Skyworks Solutions Inc (NASDAQ:SWKS), Taiwan Semiconductor Mfg. Co. Ltd. (ADR) (NYSE:TSM), Marvell Technology Group Ltd. (NASDAQ:MRVL), Xilinx, Inc. (NASDAQ:XLNX), and Analog Devices, Inc. (NASDAQ:ADI). This group of stocks are the members of the semiconductor – integrated circuits industry and their market caps are similar to BRCM’s market cap.