Semtech (NASDAQ:SMTC) Stock Gets Price Target Boost from Stifel Nicolaus

Key Points

• Stifel Nicolaus raised Semtech’s price target from $188 to $220 while maintaining a “buy” rating, implying 12.89% upside from the previous close.
• Analyst sentiment remains positive, with Semtech receiving a consensus “Moderate Buy” rating and an average price target of $208.06.
• Semtech exceeded quarterly expectations, reporting $0.71 in EPS versus $0.61 expected and revenue of $341.87 million, up 32.7% year over year.

Semtech (NASDAQ:SMTC - Get Free Report) had its target price boosted by equities researchers at Stifel Nicolaus from $188.00 to $220.00 in a research note issued to investors on Monday, Benzinga reports. The firm currently has a "buy" rating on the semiconductor company's stock. Stifel Nicolaus' price target would indicate a potential upside of 12.89% from the company's previous close.

A number of other brokerages also recently issued reports on SMTC. Morgan Stanley lifted their price target on shares of Semtech from $175.00 to $195.00 and gave the stock an "equal weight" rating in a research note on Wednesday, August 26th. Oppenheimer increased their price objective on shares of Semtech from $200.00 to $225.00 and gave the company an "outperform" rating in a research report on Thursday. Zacks Research upgraded shares of Semtech from a "hold" rating to a "strong-buy" rating in a report on Monday, September 21st. TD Cowen lifted their price objective on shares of Semtech from $210.00 to $215.00 and gave the stock a "buy" rating in a research report on Monday, June 22nd. Finally, Wall Street Zen upgraded shares of Semtech from a "buy" rating to a "strong-buy" rating in a research note on Saturday, August 29th. One investment analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and three have given a Hold rating to the company. According to data from MarketBeat, Semtech currently has a consensus rating of "Moderate Buy" and a consensus price target of $208.06.

Semtech Price Performance

Shares of NASDAQ SMTC opened at $194.88 on Monday. The company has a debt-to-equity ratio of 0.47, a current ratio of 1.70 and a quick ratio of 1.31. The company has a market cap of $18.19 billion, a price-to-earnings ratio of 129.06 and a beta of 2.41. The stock's 50-day moving average is $146.40 and its two-hundred day moving average is $132.76. Semtech has a 1-year low of $60.28 and a 1-year high of $201.99.

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

Insider Transactions at Semtech

In other Semtech news, Director Julie Ruehl sold 1,500 shares of the stock in a transaction that occurred on Friday, September 4th. The shares were sold at an average price of $145.00, for a total value of $217,500.00. Following the transaction, the director directly owned 7,140 shares in the company, valued at $1,035,300. This represents a 17.36% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Jason Elliot Green sold 2,264 shares of the firm's stock in a transaction that occurred on Tuesday, July 7th. The stock was sold at an average price of $129.90, for a total transaction of $294,093.60. Following the sale, the executive vice president directly owned 8,611 shares in the company, valued at approximately $1,118,568.90. The trade was a 20.82% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 22,768 shares of company stock valued at $3,214,795 over the last three months. 0.44% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Semtech

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Cim Investment Management Inc. purchased a new stake in shares of Semtech during the 2nd quarter worth $319,000. SkyView Investment Advisors LLC acquired a new stake in shares of Semtech in the second quarter valued at about $283,000. Sequoia Financial Advisors LLC acquired a new stake in shares of Semtech in the second quarter valued at about $374,000. Tidal Investments LLC purchased a new stake in Semtech during the second quarter worth about $22,728,000. Finally, IPG Investment Advisors LLC acquired a new position in Semtech during the second quarter worth about $296,000.

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.

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