MaxLinear (NASDAQ:MXL) Trading 5.2% Higher - Time to Buy?

Key Points

• MaxLinear shares rose 5.2% to about $70.61, although trading volume was 76% below the average session volume.
• Analyst views remain mixed: five analysts rate the stock a Buy, four Hold, and one Sell, resulting in a consensus Hold rating and an average price target of $88.64.
• The company exceeded quarterly expectations with EPS of $0.35 versus $0.33 estimated and revenue of $168.85 million, up 55.2% year over year; however, CEO Kishore Seendripu later sold 351,454 shares for approximately $30.2 million.

MaxLinear, Inc (NASDAQ:MXL - Get Free Report) shares were up 5.2% during trading on Wednesday . The company traded as high as $71.24 and last traded at $70.6090. Approximately 740,784 shares were traded during trading, a decline of 76% from the average session volume of 3,080,761 shares. The stock had previously closed at $67.12.

Wall Street Analysts Forecast Growth

MXL has been the topic of a number of recent analyst reports. Northland Securities set a $110.00 price objective on MaxLinear in a research report on Wednesday, June 3rd. Weiss Ratings restated a "sell (d-)" rating on shares of MaxLinear in a research report on Friday, July 17th. Wall Street Zen upgraded MaxLinear from a "hold" rating to a "buy" rating in a research note on Sunday, July 26th. Benchmark assumed coverage on MaxLinear in a report on Wednesday, May 27th. They issued a "buy" rating and a $125.00 price target on the stock. Finally, Wells Fargo & Company lifted their price target on MaxLinear from $42.00 to $75.00 and gave the company an "equal weight" rating in a research report on Monday, July 20th. Five research analysts have rated the stock with a Buy rating, four have given a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Hold" and an average price target of $88.64.

MaxLinear Trading Up 6.4%

The stock has a 50 day moving average of $71.81 and a 200 day moving average of $62.77. The company has a debt-to-equity ratio of 0.26, a current ratio of 1.78 and a quick ratio of 1.15. The firm has a market cap of $6.47 billion, a P/E ratio of -59.99 and a beta of 3.93.

MaxLinear (NASDAQ:MXL - Get Free Report) last issued its quarterly earnings results on Thursday, July 23rd. The semiconductor company reported $0.35 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.33 by $0.02. The firm had revenue of $168.85 million during the quarter, compared to analyst estimates of $164.64 million. MaxLinear had a positive return on equity of 2.24% and a negative net margin of 18.24%.The company's revenue was up 55.2% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.02 earnings per share. As a group, equities research analysts predict that MaxLinear, Inc will post 0.78 EPS for the current year.

Insider Buying and Selling

In other MaxLinear news, CEO Kishore Seendripu sold 351,454 shares of the stock in a transaction that occurred on Monday, August 17th. The shares were sold at an average price of $85.95, for a total transaction of $30,207,471.30. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. 7.70% of the stock is owned by insiders.

Institutional Investors Weigh In On MaxLinear

A number of institutional investors have recently made changes to their positions in the business. Ameritas Advisory Services LLC bought a new stake in shares of MaxLinear in the second quarter worth about $32,000. Carolina Wealth Advisors LLC bought a new position in MaxLinear during the 2nd quarter valued at approximately $47,000. Global Retirement Partners LLC purchased a new stake in MaxLinear in the 2nd quarter worth approximately $56,000. State of Wyoming purchased a new stake in MaxLinear in the 2nd quarter worth approximately $126,000. Finally, CoreCap Advisors LLC bought a new stake in shares of MaxLinear in the 2nd quarter worth approximately $134,000. Hedge funds and other institutional investors own 90.79% of the company's stock.

About MaxLinear

MaxLinear, Inc is a fabless semiconductor company that designs and develops high-performance analog and mixed-signal integrated circuits. Its products are used in broadband communications, wired and wireless infrastructure, data center, networking, and industrial applications.

The company's portfolio includes solutions for broadband access and connectivity, including cable and fiber-optic infrastructure, Ethernet and high-speed interconnects, optical communications, power management, interface products, and embedded processors.

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