Cirrus Logic, Inc. (NASDAQ:CRUS) Receives Consensus Rating of "Moderate Buy" from Brokerages

Key Points

• Cirrus Logic, Inc. has received a consensus rating of "Moderate Buy" from five brokerages, with an average twelve-month target price of $121.00.
• The company reported a quarterly earnings per share (EPS) of $1.51, surpassing the consensus estimate of $1.07, and its revenue increased by 8.9% year-over-year.
• Cirrus Logic's Board of Directors has authorized a stock repurchase plan allowing the repurchase of up to $500 million in shares, indicating management believes the stock is undervalued.

Cirrus Logic, Inc. (NASDAQ:CRUS - Get Free Report) has earned an average recommendation of "Moderate Buy" from the five analysts that are currently covering the firm, MarketBeat.com reports. One analyst has rated the stock with a hold recommendation and four have issued a buy recommendation on the company. The average 1 year price objective among analysts that have issued a report on the stock in the last year is $121.00.

A number of research firms recently commented on CRUS. Wall Street Zen lowered Cirrus Logic from a "strong-buy" rating to a "buy" rating in a research note on Monday, August 11th. Stifel Nicolaus set a $120.00 price objective on Cirrus Logic in a research note on Wednesday, May 7th. Finally, Barclays increased their price objective on Cirrus Logic from $80.00 to $90.00 and gave the company an "equal weight" rating in a research note on Wednesday, May 7th.

Insiders Place Their Bets

In related news, EVP Carl Jackson Alberty sold 2,000 shares of the stock in a transaction on Tuesday, June 3rd. The stock was sold at an average price of $100.00, for a total transaction of $200,000.00. Following the sale, the executive vice president owned 41,645 shares of the company's stock, valued at $4,164,500. This trade represents a 4.58% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Jeffrey W. Baumgartner sold 10,000 shares of the stock in a transaction on Tuesday, June 3rd. The shares were sold at an average price of $100.00, for a total value of $1,000,000.00. Following the sale, the executive vice president directly owned 14,001 shares in the company, valued at approximately $1,400,100. The trade was a 41.66% decrease in their position. The disclosure for this sale can be found here. 1.16% of the stock is owned by company insiders.

Institutional Trading of Cirrus Logic

A number of hedge funds have recently added to or reduced their stakes in CRUS. Hantz Financial Services Inc. boosted its stake in Cirrus Logic by 1,660.0% in the 2nd quarter. Hantz Financial Services Inc. now owns 264 shares of the semiconductor company's stock worth $28,000 after buying an additional 249 shares during the last quarter. Banque Cantonale Vaudoise acquired a new stake in Cirrus Logic in the 1st quarter worth about $30,000. RMG Wealth Management LLC acquired a new stake in Cirrus Logic in the 2nd quarter worth about $30,000. Ameritas Advisory Services LLC acquired a new stake in Cirrus Logic in the 2nd quarter worth about $31,000. Finally, Migdal Insurance & Financial Holdings Ltd. acquired a new stake in Cirrus Logic in the 2nd quarter worth about $39,000. 87.96% of the stock is owned by institutional investors and hedge funds.

Cirrus Logic Price Performance

Cirrus Logic stock traded down $0.29 during trading hours on Friday, hitting $112.82. The stock had a trading volume of 459,899 shares, compared to its average volume of 628,824. The stock has a market capitalization of $5.79 billion, a price-to-earnings ratio of 17.66 and a beta of 0.92. Cirrus Logic has a 1-year low of $75.83 and a 1-year high of $147.46. The stock's fifty day moving average is $105.46 and its two-hundred day moving average is $101.47.

Cirrus Logic (NASDAQ:CRUS - Get Free Report) last posted its earnings results on Tuesday, August 5th. The semiconductor company reported $1.51 earnings per share for the quarter, beating the consensus estimate of $1.07 by $0.44. The company had revenue of $407.27 million for the quarter, compared to analyst estimates of $361.97 million. Cirrus Logic had a return on equity of 18.38% and a net margin of 18.15%.Cirrus Logic's revenue was up 8.9% compared to the same quarter last year. During the same quarter in the prior year, the company earned $1.12 earnings per share. Cirrus Logic has set its Q2 2026 guidance at EPS. As a group, sell-side analysts anticipate that Cirrus Logic will post 5.63 EPS for the current year.

Cirrus Logic announced that its board has approved a share repurchase plan on Tuesday, May 6th that authorizes the company to buyback $500.00 million in outstanding shares. This buyback authorization authorizes the semiconductor company to buy up to 9.6% of its shares through open market purchases. Shares buyback plans are typically an indication that the company's leadership believes its shares are undervalued.

About Cirrus Logic

Cirrus Logic, Inc, a fabless semiconductor company, develops low-power high-precision mixed-signal processing solutions in China, the United States, and internationally. The company offers audio products, including amplifiers; codecs components that integrate analog-to-digital converters (ADCs) and digital-to-analog converters (DACs) into a single integrated circuit (IC); smart codecs, a codec with integrated digital signal processing; standalone digital signal processors; and SoundClear technology, which consists of a portfolio of tools, software, and algorithms that helps to enhance user experience with features, such as louder, high-fidelity sound, audio playback, voice capture, and hearing augmentation for use in smartphones, tablets, laptops, AR/VR headsets, home theater systems, automotive entertainment systems, and professional audio systems.