Bank of America Corp DE Cuts Stake in NXP Semiconductors N.V. $NXPI

Key Points

• Bank of America reduced its NXP Semiconductors stake by 19.8% in the first quarter, selling 830,162 shares and retaining 3.36 million shares worth approximately $661.8 million. Institutional investors and hedge funds still own 90.54% of NXPI.
• NXP reported quarterly revenue of $3.50 billion, up 19.5% year over year, and EPS of $3.61, topping analyst expectations. The company issued third-quarter EPS guidance of $3.89 to $4.32 and pays an annualized dividend of $4.06 per share.
• Analyst sentiment remains generally favorable, with a consensus “Moderate Buy” rating and average price target of $307.05, although targets vary. Reports that NXP may acquire Ambarella could enhance its edge-AI and automotive capabilities but also raise financial and integration concerns.

Bank of America Corp DE decreased its position in NXP Semiconductors N.V. (NASDAQ:NXPI - Free Report) by 19.8% during the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 3,361,572 shares of the semiconductor provider's stock after selling 830,162 shares during the period. Bank of America Corp DE owned about 1.33% of NXP Semiconductors worth $661,759,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds have also made changes to their positions in NXPI. JPL Wealth Management LLC purchased a new position in shares of NXP Semiconductors during the 3rd quarter worth approximately $26,000. SHP Wealth Management purchased a new stake in shares of NXP Semiconductors in the fourth quarter valued at approximately $27,000. Acumen Wealth Advisors LLC acquired a new position in NXP Semiconductors during the fourth quarter worth $28,000. Jessup Wealth Management Inc acquired a new position in NXP Semiconductors during the fourth quarter worth $29,000. Finally, Wexford Capital LP purchased a new position in NXP Semiconductors in the third quarter worth $31,000. 90.54% of the stock is currently owned by institutional investors and hedge funds.

NXP Semiconductors Stock Performance

NASDAQ NXPI opened at $229.16 on Friday. The business's 50-day moving average price is $290.48 and its 200 day moving average price is $252.74. The company has a current ratio of 2.04, a quick ratio of 1.55 and a debt-to-equity ratio of 0.88. NXP Semiconductors N.V. has a twelve month low of $183.00 and a twelve month high of $339.95. The company has a market capitalization of $57.78 billion, a PE ratio of 19.55, a price-to-earnings-growth ratio of 0.85 and a beta of 1.79.

NXP Semiconductors (NASDAQ:NXPI - Get Free Report) last announced its quarterly earnings data on Tuesday, July 28th. The semiconductor provider reported $3.61 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.52 by $0.09. The company had revenue of $3.50 billion during the quarter, compared to analysts' expectations of $3.47 billion. NXP Semiconductors had a net margin of 22.56% and a return on equity of 27.83%. The business's quarterly revenue was up 19.5% compared to the same quarter last year. During the same period in the previous year, the company earned $2.72 EPS. NXP Semiconductors has set its Q3 2026 guidance at 3.890-4.320 EPS. On average, research analysts predict that NXP Semiconductors N.V. will post 13.5 earnings per share for the current year.

NXP Semiconductors Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Thursday, July 9th. Investors of record on Wednesday, June 24th were given a dividend of $1.014 per share. The ex-dividend date of this dividend was Wednesday, June 24th. This represents a $4.06 annualized dividend and a yield of 1.8%. NXP Semiconductors's payout ratio is 34.64%.

More NXP Semiconductors News

Here are the key news stories impacting NXP Semiconductors this week:

• Positive Sentiment: Strong quarterly performance and guidance: NXP reported second-quarter revenue of $3.50 billion, up 19.5% year over year and ahead of expectations. Adjusted EPS of $3.61 also exceeded consensus, while next-quarter guidance was better than analysts’ forecasts. NXPI Q2 Deep Dive: Broad-Based Revenue Growth and Strong Guidance Across All End Markets
• Positive Sentiment: Analyst support remains favorable: Oppenheimer and Needham reaffirmed Buy ratings, while Morgan Stanley maintained its Buy rating and raised its price target to $338. These actions reinforce the view that NXP’s growth and automotive semiconductor exposure remain attractive. Morgan Stanley Keeps Their Buy Rating on NXP Semiconductors
• Neutral Sentiment: Price-target views are mixed: TD Cowen lowered its target to $290, contrasting with Morgan Stanley’s increase. The differing outlooks suggest analysts remain divided over valuation and the durability of NXP’s recovery. TD Cowen Lowers NXP Semiconductors Price Target
• Negative Sentiment: Potential Ambarella acquisition pressures shares: NXP is reportedly in talks to acquire Ambarella, a developer of low-power AI chips and software for cameras, vehicles and robotics. The deal could improve NXP’s capabilities in software-defined vehicles, radar, electrification and edge AI, but investors may be discounting the financial and integration risks because no transaction has been announced or agreed. NXP in Talks to Buy Chip Developer Ambarella, FT Reports

Analyst Ratings Changes

A number of research firms recently commented on NXPI. Morgan Stanley boosted their price objective on shares of NXP Semiconductors from $335.00 to $338.00 and gave the stock an "overweight" rating in a report on Wednesday. BNP Paribas Exane lifted their price target on shares of NXP Semiconductors from $270.00 to $310.00 and gave the company an "outperform" rating in a research report on Wednesday, April 29th. Sanford C. Bernstein reissued a "market perform" rating and set a $290.00 price target on shares of NXP Semiconductors in a research note on Wednesday. JPMorgan Chase & Co. upped their price target on NXP Semiconductors from $250.00 to $295.00 and gave the stock a "neutral" rating in a report on Wednesday, April 29th. Finally, Loop Capital raised their price objective on NXP Semiconductors from $275.00 to $290.00 and gave the company a "buy" rating in a research note on Wednesday, April 29th. Sixteen investment analysts have rated the stock with a Buy rating, eight have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, NXP Semiconductors presently has an average rating of "Moderate Buy" and an average target price of $307.05.

Insider Buying and Selling

In other NXP Semiconductors news, EVP Christopher L. Jensen sold 1,746 shares of the company's stock in a transaction that occurred on Monday, June 1st. The stock was sold at an average price of $316.53, for a total value of $552,661.38. Following the completion of the transaction, the executive vice president owned 3,643 shares in the company, valued at $1,153,118.79. This represents a 32.40% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Andrew Micallef sold 1,000 shares of NXP Semiconductors stock in a transaction that occurred on Monday, June 15th. The shares were sold at an average price of $315.57, for a total transaction of $315,570.00. Following the sale, the executive vice president owned 8,942 shares in the company, valued at $2,821,826.94. This represents a 10.06% 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. 0.05% of the stock is owned by corporate insiders.

NXP Semiconductors Profile

NXP Semiconductors N.V. is a global semiconductor company headquartered in Eindhoven, the Netherlands, that designs and supplies mixed-signal and standard product solutions for a broad range of end markets. The company focuses on enabling secure connections and infrastructure for embedded applications, developing technologies used across automotive, industrial and Internet of Things (IoT), mobile, and communication infrastructure segments. NXP's offerings target customers that require reliable, secure, and high-performance semiconductor components for connected devices and systems.

Product lines include microcontrollers and application processors, secure elements and authentication technologies, RF and high-power analog components, connectivity solutions, and vehicle networking and infotainment systems.

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