Vanguard Group Inc. Purchases 605,903 Shares of MaxLinear, Inc $MXL

Key Points

• Vanguard increased its stake in MaxLinear by 4.8% in the fourth quarter, adding 605,903 shares and bringing its total holding to 13.3 million shares, worth about $232.3 million. Vanguard now owns roughly 15.25% of the semiconductor company.
• MaxLinear shares surged, with the stock opening at $99.83 and trading near its 52-week high of $101.30, far above its 50-day and 200-day moving averages. The company’s market cap is now about $8.94 billion.
• Recent results and analyst views were mixed but improving: MaxLinear beat EPS expectations in its latest quarter and posted 43% revenue growth year over year, while analysts currently rate the stock a “Hold” on average, though several firms recently raised their targets and upgraded the shares.

Vanguard Group Inc. grew its position in shares of MaxLinear, Inc (NASDAQ:MXL - Free Report) by 4.8% in the fourth quarter, according to its most recent filing with the SEC. The fund owned 13,326,387 shares of the semiconductor company's stock after acquiring an additional 605,903 shares during the quarter. Vanguard Group Inc. owned about 15.25% of MaxLinear worth $232,279,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds have also recently modified their holdings of the business. AIGH Capital Management LLC bought a new stake in MaxLinear in the third quarter worth $17,809,000. The Manufacturers Life Insurance Company lifted its position in MaxLinear by 27.8% during the second quarter. The Manufacturers Life Insurance Company now owns 2,889,111 shares of the semiconductor company's stock valued at $41,054,000 after purchasing an additional 628,719 shares during the last quarter. Alyeska Investment Group L.P. grew its stake in shares of MaxLinear by 279.8% in the 3rd quarter. Alyeska Investment Group L.P. now owns 769,349 shares of the semiconductor company's stock worth $12,371,000 after buying an additional 566,800 shares in the last quarter. Marshall Wace LLP grew its stake in shares of MaxLinear by 31.8% in the 3rd quarter. Marshall Wace LLP now owns 1,826,259 shares of the semiconductor company's stock worth $29,366,000 after buying an additional 441,088 shares in the last quarter. Finally, Squarepoint Ops LLC bought a new stake in shares of MaxLinear in the 2nd quarter worth about $5,894,000. 90.79% of the stock is owned by hedge funds and other institutional investors.

MaxLinear Trading Up 21.2%

Shares of MXL opened at $99.83 on Friday. The company's fifty day simple moving average is $27.43 and its 200-day simple moving average is $20.85. The company has a market cap of $8.94 billion, a P/E ratio of -65.68 and a beta of 3.95. The company has a current ratio of 1.70, a quick ratio of 1.12 and a debt-to-equity ratio of 0.27. MaxLinear, Inc has a twelve month low of $10.96 and a twelve month high of $101.30.

MaxLinear (NASDAQ:MXL - Get Free Report) last released its quarterly earnings results on Thursday, April 23rd. The semiconductor company reported $0.22 EPS for the quarter, topping analysts' consensus estimates of $0.18 by $0.04. The firm had revenue of $137.19 million during the quarter, compared to analysts' expectations of $137.15 million. MaxLinear had a negative net margin of 25.96% and a negative return on equity of 2.33%. The firm's revenue for the quarter was up 43.0% compared to the same quarter last year. During the same period in the previous year, the company earned ($0.05) EPS. As a group, analysts expect that MaxLinear, Inc will post 0.52 EPS for the current year.

Insider Activity

In other news, insider Connie H. Kwong sold 35,000 shares of the stock in a transaction that occurred on Friday, May 8th. The stock was sold at an average price of $96.96, for a total value of $3,393,600.00. Following the sale, the insider directly owned 13,947 shares in the company, valued at approximately $1,352,301.12. This represents a 71.51% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, insider Steven G. Litchfield sold 20,000 shares of the firm's stock in a transaction that occurred on Friday, March 6th. The stock was sold at an average price of $15.68, for a total value of $313,600.00. Following the sale, the insider directly owned 343,435 shares of the company's stock, valued at $5,385,060.80. This represents a 5.50% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 99,097 shares of company stock valued at $5,150,815. 7.70% of the stock is owned by insiders.

Analyst Ratings Changes

Several brokerages have recently issued reports on MXL. Weiss Ratings restated a "sell (d-)" rating on shares of MaxLinear in a research report on Tuesday, April 21st. Susquehanna reissued a "neutral" rating and set a $30.00 price objective on shares of MaxLinear in a research note on Monday, April 20th. Deutsche Bank Aktiengesellschaft restated a "hold" rating and set a $40.00 price objective on shares of MaxLinear in a research report on Friday, April 24th. Stifel Nicolaus raised their price objective on MaxLinear from $34.00 to $49.00 and gave the company a "buy" rating in a research note on Friday, April 24th. Finally, Loop Capital upgraded MaxLinear from a "hold" rating to a "buy" rating and lifted their target price for the stock from $17.00 to $75.00 in a report on Wednesday, April 29th. Five analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat, MaxLinear currently has an average rating of "Hold" and an average price target of $44.20.

MaxLinear Company Profile

MaxLinear, Inc is a provider of radio-frequency (RF), analog, and mixed-signal integrated circuits for broadband communications, data center connectivity, and video infrastructure applications. The company's product portfolio includes high-performance RF front-end modules, broadband power amplifiers, optical and Ethernet transceivers, and network processors designed to support demanding signal processing requirements.

MaxLinear's semiconductor solutions are used by cable and satellite television operators, fiber-to-the-home service providers, network equipment manufacturers, and data center operators.

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