Silicon Motion Technology (NASDAQ:SIMO) Stock Rated "Buy" in New Coverage at China Renaissance

Key Points

• China Renaissance initiated coverage of Silicon Motion Technology with a Buy rating and a $300 price target, implying 46.94% upside from the reported $204.17 share price.
• Analyst sentiment is broadly positive: ten analysts rate the stock Buy and one rates it Hold, producing a consensus “Moderate Buy” rating and an average price target of $328.50.
• Silicon Motion reported quarterly EPS of $2.43 versus the $2.13 consensus and revenue of $451 million, up 127% year over year; institutional investors and hedge funds own 78.02% of the shares.

Research analysts at China Renaissance began coverage on shares of Silicon Motion Technology (NASDAQ:SIMO - Get Free Report) in a research report issued on Wednesday, Briefing.com reports. The firm set a "buy" rating and a $300.00 price target on the semiconductor producer's stock. China Renaissance's price objective would indicate a potential upside of 46.94% from the company's current price.

A number of other research analysts have also issued reports on the stock. B. Riley Financial decreased their target price on shares of Silicon Motion Technology from $350.00 to $288.00 and set a "buy" rating on the stock in a research report on Friday, October 23rd. Needham & Company LLC increased their target price on shares of Silicon Motion Technology from $240.00 to $355.00 and gave the stock a "buy" rating in a report on Thursday, July 30th. Roth Capital reiterated a "buy" rating and issued a $350.00 price target on shares of Silicon Motion Technology in a research note on Thursday, July 30th. Zacks Research lowered Silicon Motion Technology from a "strong-buy" rating to a "hold" rating in a research report on Friday, October 2nd. Finally, Susquehanna upped their target price on Silicon Motion Technology from $275.00 to $350.00 and gave the stock a "positive" rating in a report on Friday, July 31st. Ten research analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. According to data from MarketBeat.com, Silicon Motion Technology presently has an average rating of "Moderate Buy" and a consensus price target of $328.50.

Silicon Motion Technology Stock Performance

Shares of NASDAQ:SIMO opened at $204.17 on Wednesday. Silicon Motion Technology has a 52-week low of $79.76 and a 52-week high of $355.00. The company has a market capitalization of $6.92 billion, a P/E ratio of 23.94 and a beta of 1.69. The company has a 50-day simple moving average of $250.60 and a 200 day simple moving average of $211.95.

Silicon Motion Technology (NASDAQ:SIMO - Get Free Report) last released its quarterly earnings data on Wednesday, July 29th. The semiconductor producer reported $2.43 EPS for the quarter, beating the consensus estimate of $2.13 by $0.30. The company had revenue of $451.00 million during the quarter, compared to analyst estimates of $403.41 million. Silicon Motion Technology's revenue for the quarter was up 127.0% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.69 earnings per share. As a group, equities analysts forecast that Silicon Motion Technology will post 10.60 earnings per share for the current year.

Hedge Funds Weigh In On Silicon Motion Technology

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. Kornitzer Capital Management Inc. KS bought a new position in shares of Silicon Motion Technology in the 1st quarter worth about $4,827,000. Schwartz Investment Counsel Inc. lifted its stake in shares of Silicon Motion Technology by 36.4% in the 1st quarter. Schwartz Investment Counsel Inc. now owns 300,000 shares of the semiconductor producer's stock valued at $33,687,000 after purchasing an additional 80,000 shares during the period. AIGH Capital Management LLC acquired a new position in shares of Silicon Motion Technology in the 1st quarter valued at about $22,458,000. Calamos Advisors LLC bought a new stake in shares of Silicon Motion Technology during the 1st quarter valued at about $2,686,000. Finally, Elevation Point Wealth Partners LLC bought a new stake in shares of Silicon Motion Technology during the 1st quarter valued at about $496,000. 78.02% of the stock is owned by institutional investors and hedge funds.

About Silicon Motion Technology

Silicon Motion Technology Corporation is a fabless semiconductor company that designs, develops and markets NAND flash storage controllers. Its products manage the storage, performance, reliability and power consumption of data stored in NAND flash memory and are used in a range of consumer, mobile, computing and industrial applications.

The company's product portfolio includes controllers for solid-state drives (SSDs), embedded storage products such as eMMC and UFS devices, and other flash-based storage solutions.

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