Ceva (NASDAQ:CEVA) Trading Up 9.2% Following Better-Than-Expected Earnings

Key Points

• Ceva, Inc. (NASDAQ:CEVA) experienced a 9.2% increase in stock price after reporting earnings of $0.07 per share, surpassing analysts' expectations of $0.05.
• Despite the beat on earnings, Ceva's revenue of $25.68 million decreased by 9.5% compared to the same quarter last year, indicating ongoing challenges.
• Wall Street analysts have mixed views, with price targets ranging from $30.00 to $40.00, reflecting a consensus rating of "Moderate Buy."

Ceva, Inc. (NASDAQ:CEVA - Get Free Report)'s share price was up 9.2% during mid-day trading on Tuesday following a stronger than expected earnings report. The stock traded as high as $23.19 and last traded at $23.30. Approximately 100,094 shares were traded during mid-day trading, a decline of 64% from the average daily volume of 280,367 shares. The stock had previously closed at $21.33.

The semiconductor company reported $0.07 earnings per share for the quarter, beating analysts' consensus estimates of $0.05 by $0.02. The firm had revenue of $25.68 million during the quarter, compared to analyst estimates of $25.33 million. Ceva had a negative return on equity of 3.04% and a negative net margin of 9.48%. The business's quarterly revenue was down 9.5% compared to the same quarter last year. During the same quarter last year, the business posted $0.17 earnings per share.

Analyst Ratings Changes

Several research analysts have issued reports on CEVA shares. Oppenheimer dropped their target price on Ceva from $40.00 to $33.00 and set an "outperform" rating for the company in a research report on Friday, May 9th. Rosenblatt Securities restated a "buy" rating and set a $40.00 target price on shares of Ceva in a research report on Thursday. Finally, Barclays dropped their target price on Ceva from $40.00 to $30.00 and set an "overweight" rating for the company in a research report on Thursday, May 8th. One research analyst has rated the stock with a hold rating and five have issued a buy rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average price target of $35.60.

Institutional Trading of Ceva

Institutional investors and hedge funds have recently modified their holdings of the stock. FNY Investment Advisers LLC bought a new stake in shares of Ceva during the second quarter valued at approximately $42,000. AlphaQuest LLC increased its position in shares of Ceva by 123.6% during the second quarter. AlphaQuest LLC now owns 2,451 shares of the semiconductor company's stock worth $54,000 after purchasing an additional 1,355 shares in the last quarter. Tower Research Capital LLC TRC grew its holdings in shares of Ceva by 422.2% during the second quarter. Tower Research Capital LLC TRC now owns 2,731 shares of the semiconductor company's stock valued at $60,000 after buying an additional 2,208 shares during the last quarter. GAMMA Investing LLC grew its holdings in shares of Ceva by 44.5% during the first quarter. GAMMA Investing LLC now owns 3,437 shares of the semiconductor company's stock valued at $88,000 after buying an additional 1,058 shares during the last quarter. Finally, Universal Beteiligungs und Servicegesellschaft mbH purchased a new stake in shares of Ceva during the first quarter valued at $225,000. Institutional investors own 85.37% of the company's stock.

Ceva Price Performance

The company has a market capitalization of $556.69 million, a PE ratio of -55.50 and a beta of 1.25. The firm's fifty day simple moving average is $22.20 and its 200 day simple moving average is $25.18.

Ceva Company Profile

CEVA, Inc provides silicon and software IP solutions to semiconductor and original equipment manufacturer (OEM) companies worldwide. Its 5G mobile and infrastructure products include Ceva-XC vector digital signal processors (DSPs) for 5G handsets, 5G RAN, and general-purpose baseband processing; PentaG-RAN, an open ran platform for base station and radio; and PentaG2 - 5G NR modem platform for UE, as well as for non-handset 5G vertical markets, such as fixed wireless access, industry 4.0, robotics, and AR/VR devices.