What's Going On With Broadcom Stock Monday?

Broadcom Inc AVGO shares are in the spotlight Monday as the stock begins trading on a split-adjusted basis.

What To Know: Broadcom announced in June that it would be splitting its stock on a 10-for-1 basis to make ownership more accessible for investors and employees.

Shareholders of record as of July 11 received nine shares for every one share held as the stock began trading on a split-adjusted basis on Monday.

Broadcom shares are up more than 50% year-to-date. The stock got a bump in early July after Speaker of the House Nancy Pelosi (D-Calif.) disclosed the purchase of call options in the semiconductor giant.

According to Benzinga's Government Trades tool, the Congresswoman reported buying 20 call options in Broadcom stock for a total cost somewhere between $1 million and $5 million. The calls have a strike price of $800 and are set to expire on June 20, 2025.

See Also: Goldman Sachs Q2 Earnings: Revenue And EPS Beat, Investment Banking Fees Up 21%, Dividend Hike

How To Buy AVGO Stock

By now you're likely curious about how to participate in the market for Broadcom – be it to purchase shares, or even attempt to bet against the company.

Buying shares is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to buy ‘fractional shares,' which allows you to own portions of stock without buying an entire share. In the case of Broadcom, which is trading at $170.07 as of publishing time, $100 would buy you 0.59 shares of stock.

If you're looking to bet against a company, the process is more complex. You'll need access to an options trading platform, or a broker who will allow you to ‘go short' a share of stock by lending you the shares to sell. The process of shorting a stock can be found at this resource. Otherwise, if your broker allows you to trade options, you can either buy a put option, or sell a call option at a strike price above where shares are currently trading – either way it allows you to profit off of the share price decline.

AVGO Price Action: Broadcom shares were down 0.15% at $159.81 at the time of publication, according to Benzinga Pro.

Photo: Dennis Diatel from Shutterstock.