MACOM Technology Solutions (NASDAQ:MTSI) Raised to "Hold" at Zacks Research

Key Points

• Zacks Research upgraded MACOM Technology Solutions from a "strong sell" to a "hold" rating, indicating improved confidence in the stock's performance.
• Several analysts have recently rated MACOM Technology Solutions positively, with one rating a "Strong Buy" and others increasing their price targets significantly, leading to a consensus target price of $146.13.
• The company's earnings report showed a better-than-expected EPS of $0.90 for the quarter, along with a year-over-year revenue increase of 32.3%.

MACOM Technology Solutions (NASDAQ:MTSI - Get Free Report) was upgraded by Zacks Research from a "strong sell" rating to a "hold" rating in a research note issued on Wednesday,Zacks.com reports.

MTSI has been the subject of several other reports. Wall Street Zen upgraded MACOM Technology Solutions from a "hold" rating to a "buy" rating in a research report on Sunday, July 20th. Truist Financial boosted their price objective on shares of MACOM Technology Solutions from $136.00 to $154.00 and gave the company a "buy" rating in a research report on Monday, July 7th. Bank of America boosted their price target on MACOM Technology Solutions from $140.00 to $160.00 and gave the company a "buy" rating in a report on Tuesday, June 24th. Benchmark reissued a "buy" rating and issued a $160.00 price objective on shares of MACOM Technology Solutions in a research note on Friday, May 9th. Finally, Stifel Nicolaus lifted their target price on MACOM Technology Solutions from $140.00 to $155.00 and gave the company a "buy" rating in a research report on Friday, July 18th. One analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and two have given a Hold rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $146.13.

MACOM Technology Solutions Stock Performance

MACOM Technology Solutions stock opened at $123.58 on Wednesday. The company has a debt-to-equity ratio of 0.32, a current ratio of 3.83 and a quick ratio of 3.10. The firm has a market capitalization of $9.20 billion, a P/E ratio of -122.36, a price-to-earnings-growth ratio of 2.30 and a beta of 1.38. MACOM Technology Solutions has a 1-year low of $84.00 and a 1-year high of $152.50. The company's 50-day moving average is $134.83 and its 200 day moving average is $120.39.

MACOM Technology Solutions (NASDAQ:MTSI - Get Free Report) last released its earnings results on Thursday, August 7th. The semiconductor company reported $0.90 EPS for the quarter, beating analysts' consensus estimates of $0.89 by $0.01. MACOM Technology Solutions had a positive return on equity of 14.02% and a negative net margin of 7.71%.The firm had revenue of $252.08 million for the quarter, compared to analysts' expectations of $249.89 million. During the same quarter in the prior year, the firm posted $0.66 earnings per share. The company's quarterly revenue was up 32.3% on a year-over-year basis. MACOM Technology Solutions has set its Q4 2025 guidance at 0.910-0.950 EPS. Research analysts forecast that MACOM Technology Solutions will post 2.43 EPS for the current year.

Insider Buying and Selling

In related news, CFO John Kober sold 2,250 shares of the firm's stock in a transaction dated Thursday, May 29th. The stock was sold at an average price of $125.65, for a total transaction of $282,712.50. Following the sale, the chief financial officer owned 47,128 shares of the company's stock, valued at $5,921,633.20. This trade represents a 4.56% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CEO Stephen G. Daly sold 14,665 shares of MACOM Technology Solutions stock in a transaction dated Monday, June 2nd. The shares were sold at an average price of $122.71, for a total value of $1,799,542.15. Following the completion of the transaction, the chief executive officer owned 36,327 shares in the company, valued at $4,457,686.17. This trade represents a 28.76% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 39,669 shares of company stock valued at $5,092,012. 16.30% of the stock is owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the company. Price T Rowe Associates Inc. MD boosted its stake in MACOM Technology Solutions by 38.9% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 3,998,136 shares of the semiconductor company's stock valued at $519,399,000 after acquiring an additional 1,120,510 shares in the last quarter. Norges Bank purchased a new position in shares of MACOM Technology Solutions in the 2nd quarter valued at approximately $113,936,000. Fiera Capital Corp purchased a new stake in MACOM Technology Solutions during the 2nd quarter worth approximately $41,744,000. AQR Capital Management LLC increased its stake in MACOM Technology Solutions by 5,891.8% during the 1st quarter. AQR Capital Management LLC now owns 247,400 shares of the semiconductor company's stock valued at $23,510,000 after purchasing an additional 243,271 shares in the last quarter. Finally, Nuveen LLC acquired a new position in MACOM Technology Solutions during the 1st quarter valued at approximately $23,767,000. Hedge funds and other institutional investors own 76.14% of the company's stock.

MACOM Technology Solutions Company Profile

MACOM Technology Solutions Holdings, Inc, together with its subsidiaries, designs and manufactures analog semiconductor solutions for use in wireless and wireline applications across the radio frequency (RF), microwave, millimeter wave, and lightwave spectrum in the United States, China, Australia, Japan, Malaysia, Singapore, South Korea, Taiwan, Thailand, and internationally.

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