Cirrus Logic (NASDAQ:CRUS) Shares Down 4.4% - Here's Why

Cirrus Logic, Inc. (NASDAQ:CRUS - Get Free Report)'s share price traded down 4.4% during mid-day trading on Wednesday . The stock traded as low as $102.39 and last traded at $102.91. 215,176 shares traded hands during trading, a decline of 66% from the average session volume of 635,393 shares. The stock had previously closed at $107.66.

Analyst Upgrades and Downgrades

Several equities research analysts recently issued reports on the stock. Benchmark restated a "buy" rating and set a $125.00 price objective on shares of Cirrus Logic in a research report on Wednesday, March 19th. Wall Street Zen cut shares of Cirrus Logic from a "strong-buy" rating to a "buy" rating in a research report on Thursday, June 5th. Stifel Nicolaus set a $120.00 price objective on shares of Cirrus Logic in a research report on Wednesday, May 7th. Finally, Barclays raised their price objective on shares of Cirrus Logic from $80.00 to $90.00 and gave the stock an "equal weight" rating in a research report on Wednesday, May 7th. One analyst has rated the stock with a hold rating and six have assigned a buy rating to the stock. According to MarketBeat.com, Cirrus Logic presently has a consensus rating of "Moderate Buy" and an average target price of $128.33.

Cirrus Logic Stock Down 2.5%

The firm has a 50-day moving average price of $103.16 and a 200 day moving average price of $100.65. The firm has a market capitalization of $5.38 billion, a PE ratio of 17.46 and a beta of 0.95.

Cirrus Logic (NASDAQ:CRUS - Get Free Report) last posted its quarterly earnings data on Tuesday, May 6th. The semiconductor company reported $1.67 EPS for the quarter, beating the consensus estimate of $1.15 by $0.52. Cirrus Logic had a net margin of 17.48% and a return on equity of 17.66%. The business had revenue of $424.46 million during the quarter, compared to analyst estimates of $380.26 million. During the same quarter last year, the firm posted $1.24 earnings per share. The business's revenue for the quarter was up 14.2% compared to the same quarter last year. Equities research analysts expect that Cirrus Logic, Inc. will post 5.63 earnings per share for the current year.

Cirrus Logic declared that its Board of Directors has initiated a share repurchase program on Tuesday, May 6th that permits the company to repurchase $500.00 million in shares. This repurchase authorization permits the semiconductor company to reacquire up to 9.6% of its stock through open market purchases. Stock repurchase programs are usually a sign that the company's leadership believes its shares are undervalued.

Insider Buying and Selling

In other Cirrus Logic news, Director Alexander M. Davern sold 1,000 shares of the firm's stock in a transaction that occurred on Wednesday, May 21st. The shares were sold at an average price of $105.62, for a total transaction of $105,620.00. Following the sale, the director owned 20,907 shares of the company's stock, valued at approximately $2,208,197.34. This trade represents a 4.56% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, EVP Jeffrey W. Baumgartner sold 10,000 shares of Cirrus Logic stock in a transaction on Tuesday, June 3rd. The shares were sold at an average price of $100.00, for a total transaction of $1,000,000.00. Following the completion of the transaction, the executive vice president directly owned 14,001 shares in the company, valued at $1,400,100. The trade was a 41.66% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 13,000 shares of company stock worth $1,305,620 over the last 90 days. 1.16% of the stock is owned by insiders.

Hedge Funds Weigh In On Cirrus Logic

A number of institutional investors have recently modified their holdings of the business. Vanguard Group Inc. increased its holdings in shares of Cirrus Logic by 0.4% in the 1st quarter. Vanguard Group Inc. now owns 6,420,646 shares of the semiconductor company's stock valued at $639,849,000 after acquiring an additional 24,614 shares during the period. LSV Asset Management increased its holdings in shares of Cirrus Logic by 6.4% in the 1st quarter. LSV Asset Management now owns 2,402,284 shares of the semiconductor company's stock valued at $239,400,000 after acquiring an additional 145,524 shares during the period. Mackenzie Financial Corp grew its position in Cirrus Logic by 12.0% in the 4th quarter. Mackenzie Financial Corp now owns 1,835,186 shares of the semiconductor company's stock valued at $182,748,000 after buying an additional 196,483 shares during the last quarter. Castlekeep Investment Advisors LLC purchased a new position in Cirrus Logic in the 4th quarter valued at $170,796,000. Finally, Wellington Management Group LLP grew its position in Cirrus Logic by 4.1% in the 4th quarter. Wellington Management Group LLP now owns 1,643,287 shares of the semiconductor company's stock valued at $163,639,000 after buying an additional 65,441 shares during the last quarter. 87.96% of the stock is owned by institutional investors and hedge funds.

Cirrus Logic Company Profile

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.

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