Broadcom Ltd (AVGO): Are Hedge Funds Right About This Stock?

Now, specific money managers have jumped into Broadcom Ltd (NASDAQ:AVGO) headfirst. Lone Pine Capital, managed by Stephen Mandel, established the most valuable position in Broadcom Ltd (NASDAQ:AVGO). Lone Pine Capital had $449.7 million invested in the company at the end of the quarter. Robert Boucai’s Newbrook Capital Advisors also initiated a $78.3 million position during the quarter. The other funds with brand new AVGO positions are Stanley Druckenmiller’s Duquesne Capital, Citadel Investment Group, and Louis Bacon’s Moore Global Investments.

Let’s now review hedge fund activity in other stocks similar to Broadcom Ltd (NASDAQ:AVGO). These stocks are Mitsubishi UFJ Financial Group Inc (ADR) (NYSE:MTU), Enterprise Products Partners L.P. (NYSE:EPD), China Life Insurance Company Ltd. (ADR) (NYSE:LFC), and The Chubb Corporation (NYSE:CB). This group of stocks’ market caps are similar to AVGO’s market cap.

As you can see these stocks had an average of 23 hedge funds with bullish positions and the average amount invested in these stocks was $484 million. That figure was $8.27 billion in AVGO’s case. The Chubb Corporation (NYSE:CB) is the most popular stock in this table. On the other hand China Life Insurance Company Ltd. (ADR) (NYSE:LFC) is the least popular one with only 12 bullish hedge fund positions. Compared to these stocks Broadcom Ltd (NASDAQ:AVGO) is more popular among hedge funds. Considering that hedge funds are fond of this stock in relation to its market cap peers and have an immense amount of money invested into it, it may be a good idea to analyze it in detail and potentially include it in your portfolio.

Disclosure: None