Semtech (NASDAQ:SMTC) Given New $200.00 Price Target at Stifel Nicolaus

Key Points

• Stifel Nicolaus lowered Semtech’s price target from $220 to $200 but maintained a “buy” rating, implying 38.69% potential upside from the previous close. Analysts overall give the stock a “Moderate Buy” consensus with an average target of $211.53.
• Semtech shares opened at $144.21 after falling 10%, despite the company reporting quarterly EPS of $0.71—beating estimates by $0.10—and revenue of $341.87 million, up 32.7% year over year.
• Recent analyst actions have generally been positive, with several firms upgrading Semtech to “outperform” or “strong buy,” while hedge funds including BlackRock and Andar Capital initiated substantial positions.

Semtech (NASDAQ:SMTC - Get Free Report) had its target price reduced by Stifel Nicolaus from $220.00 to $200.00 in a research report issued to clients and investors on Friday, Benzinga reports. The brokerage currently has a "buy" rating on the semiconductor company's stock. Stifel Nicolaus' target price points to a potential upside of 38.69% from the company's previous close.

A number of other analysts have also recently commented on the stock. Wall Street Zen upgraded shares of Semtech from a "buy" rating to a "strong-buy" rating in a report on Saturday, August 29th. Northland Securities upgraded shares of Semtech from a "market perform" rating to an "outperform" rating and set a $186.00 price target for the company in a research note on Friday. Seaport Research Partners started coverage on shares of Semtech in a research report on Tuesday, September 22nd. They set a "buy" rating and a $200.00 price target for the company. Zacks Research raised shares of Semtech from a "hold" rating to a "strong-buy" rating in a research note on Monday, September 21st. Finally, UBS Group upped their price objective on shares of Semtech from $225.00 to $230.00 and gave the stock a "buy" rating in a report on Wednesday, August 26th. One analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $211.53.

Semtech Trading Down 10.0%

SMTC opened at $144.21 on Friday. The stock has a market cap of $13.46 billion, a PE ratio of 95.50 and a beta of 2.41. The company has a quick ratio of 1.31, a current ratio of 1.70 and a debt-to-equity ratio of 0.47. The business has a 50 day moving average of $157.02 and a 200-day moving average of $139.23. Semtech has a 52 week low of $60.28 and a 52 week high of $201.99.

Semtech (NASDAQ:SMTC - Get Free Report) last released its quarterly earnings results on Tuesday, August 25th. The semiconductor company reported $0.71 earnings per share for the quarter, beating the consensus estimate of $0.61 by $0.10. The company had revenue of $341.87 million for the quarter, compared to analyst estimates of $328.67 million. Semtech had a return on equity of 21.74% and a net margin of 13.11%. The firm's revenue was up 32.7% on a year-over-year basis. During the same period in the previous year, the company posted $0.41 earnings per share. Semtech has set its Q3 2027 guidance at 1.020-1.080 EPS. Equities research analysts predict that Semtech will post 2.64 earnings per share for the current fiscal year.

Insider Buying and Selling at Semtech

In other Semtech news, Director Julie Ruehl sold 1,500 shares of the business's stock in a transaction on Friday, September 4th. The stock was sold at an average price of $145.00, for a total value of $217,500.00. Following the sale, the director directly owned 7,140 shares of the company's stock, valued at approximately $1,035,300. The trade was a 17.36% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Hong Hou sold 2,000 shares of the stock in a transaction on Friday, September 4th. The stock was sold at an average price of $138.71, for a total value of $277,420.00. Following the completion of the sale, the chief executive officer directly owned 60,799 shares in the company, valued at approximately $8,433,429.29. This represents a 3.18% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 13,737 shares of company stock valued at $2,267,877 in the last ninety days. Corporate insiders own 0.44% of the company's stock.

Hedge Funds Weigh In On Semtech

A number of hedge funds have recently bought and sold shares of SMTC. Andar Capital Management HK Ltd purchased a new stake in Semtech during the 2nd quarter valued at about $162,000,000. BlackRock Inc. purchased a new position in Semtech in the second quarter worth about $1,577,947,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its holdings in Semtech by 396.3% in the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 842,125 shares of the semiconductor company's stock worth $136,298,000 after buying an additional 672,447 shares during the last quarter. Assenagon Asset Management S.A. raised its holdings in Semtech by 323.0% in the first quarter. Assenagon Asset Management S.A. now owns 781,003 shares of the semiconductor company's stock worth $60,051,000 after buying an additional 596,373 shares during the last quarter. Finally, Jennison Associates LLC lifted its stake in shares of Semtech by 15.6% in the first quarter. Jennison Associates LLC now owns 744,380 shares of the semiconductor company's stock worth $57,235,000 after buying an additional 100,552 shares in the last quarter.

Semtech Company Profile

Semtech Corporation is a global semiconductor and technology company that designs and supplies analog and mixed-signal products for communications, industrial, automotive, consumer, and infrastructure applications. Its solutions are used to manage, protect, connect, and transmit data in electronic systems.

The company's portfolio includes signal-integrity products, protection devices, power-management components, optical and high-speed connectivity solutions, and video-processing technologies.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.