MaxLinear (NASDAQ:MXL) Sees Large Volume Increase Following Analyst Upgrade

Key Points

• Stifel Nicolaus raised its price target on MaxLinear from $34 to $49 and kept a buy rating, and the stock experienced a 65% intraday volume jump to 3,019,432 shares as it traded near $54 (previous close $60.32).
• Analyst coverage is mixed—four Buy, five Hold and one Sell—resulting in a consensus Hold rating and an average price target of $38.20.
• MaxLinear topped quarterly EPS estimates ($0.22 vs. $0.18) with revenue of $137.19M (up 43% year-over-year), but the firm remains unprofitable with a negative net margin (~25.96%) and negative return on equity.

Shares of MaxLinear, Inc (NASDAQ:MXL - Get Free Report) saw strong trading volume on Monday after Stifel Nicolaus raised their price target on the stock from $34.00 to $49.00. Stifel Nicolaus currently has a buy rating on the stock. 3,019,432 shares traded hands during mid-day trading, an increase of 65% from the previous session's volume of 1,827,506 shares.The stock last traded at $54.0330 and had previously closed at $60.32.

MXL has been the subject of several other research reports. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of MaxLinear in a research note on Tuesday, April 21st. Roth Mkm upgraded shares of MaxLinear from a "neutral" rating to a "buy" rating and set a $60.00 price target for the company in a report on Friday. Needham & Company LLC upgraded shares of MaxLinear from a "hold" rating to a "buy" rating and set a $60.00 price target for the company in a report on Friday. Benchmark upped their price target on shares of MaxLinear from $25.00 to $28.00 and gave the company a "buy" rating in a report on Friday, January 16th. Finally, Wells Fargo & Company upped their price target on shares of MaxLinear from $18.00 to $20.00 and gave the company an "equal weight" rating in a report on Friday, January 30th. Four research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Hold" and an average price target of $38.20.

Insider Buying and Selling

In other MaxLinear news, insider Steven G. Litchfield sold 20,000 shares of the stock in a transaction on Friday, March 6th. The shares were sold at an average price of $15.68, for a total value of $313,600.00. Following the completion of the sale, the insider owned 343,435 shares in the company, valued at $5,385,060.80. This trade represents a 5.50% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Insiders have sold a total of 44,929 shares of company stock valued at $746,456 in the last ninety days. Company insiders own 7.70% of the company's stock.

Hedge Funds Weigh In On MaxLinear

Several large investors have recently modified their holdings of the stock. Summit Global Investments bought a new stake in shares of MaxLinear during the 3rd quarter valued at approximately $555,000. Lisanti Capital Growth LLC bought a new stake in shares of MaxLinear during the 3rd quarter valued at approximately $1,180,000. AIGH Capital Management LLC bought a new stake in shares of MaxLinear during the 3rd quarter valued at approximately $17,809,000. Essex Investment Management Co. LLC bought a new stake in shares of MaxLinear during the 3rd quarter valued at approximately $3,864,000. Finally, Universal Beteiligungs und Servicegesellschaft mbH bought a new stake in shares of MaxLinear during the 3rd quarter valued at approximately $1,571,000. 90.79% of the stock is owned by institutional investors.

MaxLinear Stock Down 11.7%

The company has a market capitalization of $4.61 billion, a P/E ratio of -35.01 and a beta of 1.70. The company has a debt-to-equity ratio of 0.27, a quick ratio of 1.12 and a current ratio of 1.70. The firm's fifty day moving average is $20.30 and its 200-day moving average is $18.23.

MaxLinear (NASDAQ:MXL - Get Free Report) last announced its quarterly earnings results on Thursday, April 23rd. The semiconductor company reported $0.22 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.18 by $0.04. The company had revenue of $137.19 million for the quarter, compared to analyst estimates 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 was up 43.0% on a year-over-year basis. During the same period in the previous year, the firm posted ($0.05) EPS. As a group, equities research analysts predict that MaxLinear, Inc will post -0.17 EPS for the current year.

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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