MTSI Stock Gets Stronger EPS Estimate from Zacks Research

Key Points

• Zacks Research raised its earnings outlook for MACOM Technology Solutions, increasing Q1 2027 EPS estimates to $1.46 from $0.99 and projecting FY2027 EPS of $6.59 and FY2028 EPS of $6.81. Zacks maintained a “Strong-Buy” rating.
• MACOM recently exceeded quarterly expectations, reporting $1.40 EPS versus the $1.35 consensus and revenue of $342.24 million, up 35.8% year over year. Analysts overall have a “Moderate Buy” consensus rating with a $341.25 price target.
• Valuation and volatility remain risks: Shares opened at $322.21, with a price-to-earnings ratio above 100 and a beta of 1.77. Institutional investors own 76.14% of the stock, while company insiders sold $2.67 million of shares over the past three months.

MACOM Technology Solutions Holdings, Inc. (NASDAQ:MTSI - Free Report) - Equities researchers at Zacks Research lifted their Q1 2027 EPS estimates for MACOM Technology Solutions in a note issued to investors on Wednesday, October 7th. Zacks Research analyst Team now expects that the semiconductor company will post earnings per share of $1.46 for the quarter, up from their previous forecast of $0.99. Zacks Research has a "Strong-Buy" rating on the stock. The consensus estimate for MACOM Technology Solutions' current full-year earnings is $4.26 per share. Zacks Research also issued estimates for MACOM Technology Solutions' Q2 2027 earnings at $1.55 EPS, Q3 2027 earnings at $1.66 EPS, Q4 2027 earnings at $1.92 EPS, FY2027 earnings at $6.59 EPS, Q1 2028 earnings at $1.52 EPS, Q2 2028 earnings at $1.64 EPS, Q3 2028 earnings at $1.78 EPS, Q4 2028 earnings at $1.87 EPS and FY2028 earnings at $6.81 EPS.

MACOM Technology Solutions (NASDAQ:MTSI - Get Free Report) last released its earnings results on Thursday, August 6th. The semiconductor company reported $1.40 EPS for the quarter, topping analysts' consensus estimates of $1.35 by $0.05. MACOM Technology Solutions had a net margin of 20.70% and a return on equity of 17.82%. The business had revenue of $342.24 million during the quarter, compared to analysts' expectations of $336.08 million. During the same quarter in the previous year, the company earned $0.90 earnings per share. The company's quarterly revenue was up 35.8% on a year-over-year basis. MACOM Technology Solutions has set its Q4 2026 guidance at 1.970-2.030 EPS.

A number of other brokerages have also issued reports on MTSI. Needham & Company LLC lifted their price target on MACOM Technology Solutions from $400.00 to $410.00 and gave the stock a "buy" rating in a research note on Thursday, August 6th. Wall Street Zen raised shares of MACOM Technology Solutions from a "hold" rating to a "buy" rating in a research note on Saturday, August 8th. Weiss Ratings lowered shares of MACOM Technology Solutions from a "hold (c+)" rating to a "hold (c)" rating in a report on Friday, August 21st. Susquehanna decreased their price target on shares of MACOM Technology Solutions from $350.00 to $300.00 and set a "neutral" rating on the stock in a research note on Tuesday, July 21st. Finally, Benchmark began coverage on shares of MACOM Technology Solutions in a research report on Thursday, August 13th. They set a "buy" rating and a $375.00 price target on the stock. Two research analysts have rated the stock with a Strong Buy rating, ten have assigned a Buy rating and three have assigned a Hold rating to the company. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $341.25.

MACOM Technology Solutions Trading Down 4.1%

MTSI stock opened at $322.21 on Friday. MACOM Technology Solutions has a 12-month low of $121.97 and a 12-month high of $418.90. The business's 50-day moving average is $282.45 and its 200 day moving average is $303.46. The company has a current ratio of 2.34, a quick ratio of 1.78 and a debt-to-equity ratio of 0.04. The stock has a market cap of $24.61 billion, a price-to-earnings ratio of 103.60, a PEG ratio of 1.15 and a beta of 1.77.

Hedge Funds Weigh In On MACOM Technology Solutions

Institutional investors have recently bought and sold shares of the company. Versant Capital Management Inc boosted its holdings in MACOM Technology Solutions by 11.0% in the second quarter. Versant Capital Management Inc now owns 342 shares of the semiconductor company's stock valued at $130,000 after purchasing an additional 34 shares in the last quarter. Pacer Advisors Inc. raised its holdings in MACOM Technology Solutions by 0.4% during the first quarter. Pacer Advisors Inc. now owns 12,035 shares of the semiconductor company's stock worth $2,673,000 after purchasing an additional 51 shares in the last quarter. Arizona State Retirement System lifted its position in shares of MACOM Technology Solutions by 0.5% during the 2nd quarter. Arizona State Retirement System now owns 18,628 shares of the semiconductor company's stock worth $7,086,000 after buying an additional 85 shares during the last quarter. Nilsine Partners LLC lifted its position in shares of MACOM Technology Solutions by 1.8% during the 2nd quarter. Nilsine Partners LLC now owns 5,008 shares of the semiconductor company's stock worth $1,905,000 after buying an additional 89 shares during the last quarter. Finally, Meeder Advisory Services Inc. boosted its holdings in shares of MACOM Technology Solutions by 4.8% in the 1st quarter. Meeder Advisory Services Inc. now owns 1,980 shares of the semiconductor company's stock valued at $440,000 after buying an additional 91 shares in the last quarter. 76.14% of the stock is owned by hedge funds and other institutional investors.

Insider Buying and Selling at MACOM Technology Solutions

In other MACOM Technology Solutions news, COO Robert Dennehy sold 252 shares of the firm's stock in a transaction on Friday, August 28th. The stock was sold at an average price of $275.20, for a total value of $69,350.40. Following the completion of the sale, the chief operating officer directly owned 12,758 shares of the company's stock, valued at $3,511,001.60. This trade represents a 1.94% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO John Kober sold 7,389 shares of MACOM Technology Solutions stock in a transaction on Monday, August 17th. The stock was sold at an average price of $326.08, for a total value of $2,409,405.12. Following the transaction, the chief financial officer owned 33,583 shares in the company, valued at approximately $10,950,744.64. This represents a 18.03% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 8,294 shares of company stock worth $2,674,656 in the last three months. 0.36% of the stock is owned by corporate insiders.

MACOM Technology Solutions News Roundup

Here are the key news stories impacting MACOM Technology Solutions this week:

• Positive Sentiment: Significant earnings-estimate upgrades: Zacks raised its FY2027 EPS forecast to $6.59 from $4.84 and its FY2028 forecast to $6.81 from $4.53. The firm also increased estimates across nearly every quarter from Q1 2027 through Q4 2028, including Q1 2027 to $1.46 from $0.99 and Q4 2027 to $1.92 from $1.51.
• Positive Sentiment: Bullish analyst stance: Zacks Research maintained a “Strong-Buy” rating on MACOM. The revisions imply expectations for accelerating profitability and substantially stronger earnings than the current-year consensus estimate of $4.26 per share.
• Positive Sentiment: Favorable semiconductor backdrop: Industry sales have surpassed $1 trillion, with artificial-intelligence investment supporting demand for semiconductor components. MACOM is among the companies highlighted as potential beneficiaries of this growth. 4 Semiconductor Stocks to Grab as Sales Hit $1 Trillion for First Time
• Neutral Sentiment: Valuation remains demanding: MACOM trades at a reported price-to-earnings ratio above 100, meaning additional gains may depend on the company converting the higher forecasts into sustained operating results. Its elevated beta also indicates potentially higher volatility.

MACOM Technology Solutions Company Profile

MACOM Technology Solutions Holdings, Inc NASDAQ: MTSI is a semiconductor company that designs and manufactures high-performance products for telecommunications, data center, industrial, aerospace and defense applications. Its technologies support the generation, transmission, reception and processing of high-frequency signals across radio frequency, microwave, millimeter-wave and optical systems.

The company's product portfolio includes amplifiers, switches, diodes, mixers, modulators, filters, integrated circuits and other components used in wireless infrastructure, optical networks, satellite communications, radar, electronic warfare and test and measurement equipment.

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