SiTime (NASDAQ:SITM) Stock Falls 8.5% - Time to Sell?

SiTime Corporation (NASDAQ:SITM - Get Free Report) shares dropped 8.5% during mid-day trading on Thursday. The company traded as low as $472.38 and last traded at $480.1010. 298,652 shares traded hands during mid-day trading, a decline of 36% from the average session volume of 470,046 shares. The stock had previously closed at $524.93.

Analyst Ratings Changes

Several research firms have commented on SITM. Morgan Stanley started coverage on shares of SiTime in a report on Thursday, September 17th. They issued an "overweight" rating and a $370.00 price objective on the stock. Wall Street Zen downgraded shares of SiTime from a "buy" rating to a "hold" rating in a report on Saturday, September 26th. Zacks Research downgraded shares of SiTime from a "strong-buy" rating to a "hold" rating in a research report on Monday, October 5th. Benchmark started coverage on SiTime in a research note on Wednesday, August 19th. They set a "buy" rating and a $850.00 price objective on the stock. Finally, Needham & Company LLC lifted their price objective on SiTime from $850.00 to $900.00 and gave the company a "buy" rating in a report on Thursday, August 6th. One research analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average price target of $717.78.

SiTime Stock Performance

The firm has a market capitalization of $14.54 billion, a P/E ratio of 987.30 and a beta of 2.88. The company has a current ratio of 19.44, a quick ratio of 18.50 and a debt-to-equity ratio of 1.29. The company has a 50-day moving average of $627.56 and a 200-day moving average of $613.95.

SiTime (NASDAQ:SITM - Get Free Report) last issued its quarterly earnings results on Wednesday, August 5th. The company reported $2.34 earnings per share for the quarter, topping analysts' consensus estimates of $1.95 by $0.39. The firm had revenue of $157.43 million during the quarter, compared to the consensus estimate of $146.46 million. SiTime had a return on equity of 4.99% and a net margin of 3.01%. The business's revenue was up 126.5% compared to the same quarter last year. During the same period last year, the business posted $0.47 EPS. SiTime has set its Q3 2026 guidance at 3.500-3.650 EPS. On average, equities analysts anticipate that SiTime Corporation will post 6.37 earnings per share for the current fiscal year.

Insider Buying and Selling at SiTime

In other news, insider Fariborz Assaderaghi sold 1,374 shares of the company's stock in a transaction on Friday, October 2nd. The shares were sold at an average price of $701.05, for a total value of $963,242.70. Following the transaction, the insider owned 66,861 shares of the company's stock, valued at approximately $46,872,904.05. This represents a 2.01% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Katherine Schuelke sold 500 shares of the company's stock in a transaction that occurred on Tuesday, August 11th. The stock was sold at an average price of $698.05, for a total transaction of $349,025.00. Following the completion of the transaction, the director owned 12,010 shares in the company, valued at approximately $8,383,580.50. This trade represents a 4.00% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders sold 15,924 shares of company stock valued at $10,056,661. Insiders own 1.40% of the company's stock.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in SITM. Parallel Advisors LLC increased its stake in SiTime by 26.2% in the 1st quarter. Parallel Advisors LLC now owns 77 shares of the company's stock worth $27,000 after purchasing an additional 16 shares during the period. Wedmont Private Capital boosted its holdings in shares of SiTime by 4.5% during the second quarter. Wedmont Private Capital now owns 650 shares of the company's stock worth $485,000 after purchasing an additional 28 shares during the period. Allworth Financial LP grew its stake in shares of SiTime by 50.0% in the second quarter. Allworth Financial LP now owns 90 shares of the company's stock worth $67,000 after purchasing an additional 30 shares during the last quarter. Lodestone Wealth Management LLC lifted its holdings in SiTime by 10.5% in the 3rd quarter. Lodestone Wealth Management LLC now owns 503 shares of the company's stock worth $328,000 after buying an additional 48 shares during the period. Finally, Atlas Brown Inc. increased its stake in shares of SiTime by 2.2% during the first quarter. Atlas Brown Inc. now owns 2,342 shares of the company's stock valued at $809,000 after buying an additional 50 shares during the period. 84.31% of the stock is owned by hedge funds and other institutional investors.

About SiTime

SiTime Corporation is a fabless semiconductor company that develops precision timing solutions based on microelectromechanical systems (MEMS) technology. Its products are designed to generate, distribute, and synchronize timing signals used by electronic systems, helping equipment operate reliably and maintain accurate data transmission.

The company's portfolio includes MEMS oscillators, clock generators, clock buffers, resonators, and related timing components. These products are used in data centers, wired and wireless communications infrastructure, automotive systems, industrial equipment, consumer electronics, aerospace and defense applications, and other electronics markets.

Founded in 2005 and headquartered in Santa Clara, California, SiTime serves customers and markets internationally.

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