Semtech (NASDAQ:SMTC) Stock Price Up 7.3% - Here's Why

Semtech Co. (NASDAQ:SMTC - Get Free Report) shares rose 7.3% during mid-day trading on Monday . The company traded as high as $40.19 and last traded at $40.63. Approximately 427,435 shares were traded during mid-day trading, a decline of 80% from the average daily volume of 2,119,632 shares. The stock had previously closed at $37.85.

Analyst Ratings Changes

Several brokerages have recently commented on SMTC. Stifel Nicolaus lifted their target price on Semtech from $35.00 to $42.00 and gave the stock a "buy" rating in a research note on Friday, May 23rd. Piper Sandler reaffirmed an "overweight" rating and set a $55.00 price objective (down from $75.00) on shares of Semtech in a research report on Monday, February 10th. Benchmark reissued a "buy" rating and issued a $68.00 price objective on shares of Semtech in a research report on Wednesday, May 28th. Needham & Company LLC reaffirmed a "buy" rating and set a $54.00 target price on shares of Semtech in a report on Wednesday, May 28th. Finally, Morgan Stanley set a $43.00 price target on shares of Semtech in a research note on Wednesday, May 28th. Two research analysts have rated the stock with a hold rating and eleven have issued a buy rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $58.58.

Semtech Stock Up 8.0%

The firm has a market capitalization of $3.54 billion, a P/E ratio of -3.13, a PEG ratio of 2.12 and a beta of 1.88. The firm has a 50 day moving average of $33.07 and a 200-day moving average of $46.65.

Semtech (NASDAQ:SMTC - Get Free Report) last announced its quarterly earnings data on Thursday, March 13th. The semiconductor company reported $0.40 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.32 by $0.08. The firm had revenue of $251.00 million for the quarter, compared to analyst estimates of $249.40 million. During the same quarter in the previous year, the company earned ($0.06) earnings per share. The company's quarterly revenue was up 30.1% on a year-over-year basis. As a group, research analysts expect that Semtech Co. will post -0.02 EPS for the current year.

Insiders Place Their Bets

In other news, CFO Mark Lin sold 2,907 shares of the business's stock in a transaction dated Thursday, March 27th. The stock was sold at an average price of $37.71, for a total transaction of $109,622.97. Following the completion of the transaction, the chief financial officer now owns 13,481 shares of the company's stock, valued at approximately $508,368.51. The trade was a 17.74% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Insiders own 0.60% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of SMTC. Vanguard Group Inc. increased its stake in shares of Semtech by 1.4% in the 1st quarter. Vanguard Group Inc. now owns 11,702,315 shares of the semiconductor company's stock worth $402,560,000 after acquiring an additional 159,770 shares in the last quarter. Ameriprise Financial Inc. raised its holdings in Semtech by 15.8% in the first quarter. Ameriprise Financial Inc. now owns 6,445,641 shares of the semiconductor company's stock worth $221,737,000 after buying an additional 877,422 shares during the last quarter. Hood River Capital Management LLC lifted its stake in shares of Semtech by 1.8% in the fourth quarter. Hood River Capital Management LLC now owns 3,450,042 shares of the semiconductor company's stock worth $213,385,000 after buying an additional 59,743 shares in the last quarter. Whale Rock Capital Management LLC grew its holdings in shares of Semtech by 364.2% during the fourth quarter. Whale Rock Capital Management LLC now owns 3,266,202 shares of the semiconductor company's stock valued at $202,015,000 after buying an additional 2,562,602 shares during the last quarter. Finally, Wellington Management Group LLP grew its holdings in shares of Semtech by 7.9% during the first quarter. Wellington Management Group LLP now owns 2,313,213 shares of the semiconductor company's stock valued at $79,575,000 after buying an additional 170,132 shares during the last quarter.

Semtech Company Profile

Semtech Corporation designs, develops, manufactures, and markets analog and mixed-signal semiconductor and advanced algorithms. It provides signal integrity products, including a portfolio of optical data communications and video transport products used in various infrastructure, and industrial applications; a portfolio of integrated circuits for data centers, enterprise networks, passive optical networks, wireless base station optical transceivers, and high-speed interface applications; and video products for broadcast applications, as well as video-over-IP technology for professional audio video applications.

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