Semtech (NASDAQ:SMTC) Trading Down 7.3% - Here's Why

Shares of Semtech Co. (NASDAQ:SMTC - Get Free Report) fell 7.3% during mid-day trading on Thursday . The company traded as low as $62.51 and last traded at $61.59. 117,649 shares changed hands during mid-day trading, a decline of 94% from the average session volume of 1,883,683 shares. The stock had previously closed at $66.46.

Analyst Upgrades and Downgrades

A number of brokerages recently issued reports on SMTC. Stifel Nicolaus decreased their price target on shares of Semtech from $75.00 to $70.00 and set a "buy" rating for the company in a research note on Monday. Benchmark boosted their target price on shares of Semtech from $56.00 to $82.00 and gave the stock a "buy" rating in a research note on Tuesday, November 26th. UBS Group began coverage on Semtech in a research note on Friday, January 17th. They issued a "buy" rating and a $85.00 price target on the stock. Robert W. Baird dropped their price objective on Semtech from $80.00 to $60.00 and set an "outperform" rating on the stock in a report on Friday. Finally, Susquehanna boosted their target price on Semtech from $55.00 to $60.00 and gave the stock a "positive" rating in a research note on Thursday, November 21st. Three research analysts have rated the stock with a hold rating and eleven have issued a buy rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $67.91.

Semtech Trading Down 31.0 %

The company has a market cap of $2.85 billion, a price-to-earnings ratio of -2.88, a PEG ratio of 2.98 and a beta of 1.64. The company's 50 day moving average price is $65.85 and its 200 day moving average price is $50.74.

Semtech (NASDAQ:SMTC - Get Free Report) last announced its quarterly earnings data on Monday, November 25th. The semiconductor company reported $0.26 earnings per share for the quarter, topping analysts' consensus estimates of $0.23 by $0.03. The business had revenue of $236.80 million for the quarter, compared to analyst estimates of $232.89 million. During the same period in the prior year, the company earned $0.02 EPS. The company's revenue was up 17.9% on a year-over-year basis.

Insiders Place Their Bets

In other news, COO Asaf Silberstein sold 2,000 shares of the stock in a transaction that occurred on Wednesday, January 15th. The shares were sold at an average price of $70.00, for a total value of $140,000.00. Following the sale, the chief operating officer now directly owns 76,417 shares in the company, valued at $5,349,190. This represents a 2.55 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO Mark Lin sold 2,990 shares of Semtech stock in a transaction that occurred on Wednesday, January 29th. The stock was sold at an average price of $59.45, for a total value of $177,755.50. Following the transaction, the chief financial officer now owns 5,446 shares of the company's stock, valued at $323,764.70. This represents a 35.44 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have sold 16,747 shares of company stock worth $1,095,061. 0.60% of the stock is owned by company insiders.

Hedge Funds Weigh In On Semtech

Several hedge funds have recently bought and sold shares of the stock. Disciplined Growth Investors Inc. MN increased its position in Semtech by 4.6% during the 3rd quarter. Disciplined Growth Investors Inc. MN now owns 2,609,984 shares of the semiconductor company's stock worth $119,172,000 after purchasing an additional 114,999 shares in the last quarter. Geode Capital Management LLC boosted its stake in shares of Semtech by 8.0% during the 3rd quarter. Geode Capital Management LLC now owns 1,617,783 shares of the semiconductor company's stock worth $73,883,000 after purchasing an additional 119,572 shares during the last quarter. Charles Schwab Investment Management Inc. grew its holdings in shares of Semtech by 0.4% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 1,061,871 shares of the semiconductor company's stock worth $65,677,000 after buying an additional 3,991 shares in the last quarter. Victory Capital Management Inc. lifted its stake in shares of Semtech by 130.7% during the third quarter. Victory Capital Management Inc. now owns 824,198 shares of the semiconductor company's stock valued at $37,633,000 after buying an additional 466,868 shares during the period. Finally, Whale Rock Capital Management LLC acquired a new stake in Semtech during the third quarter worth approximately $32,126,000.

About Semtech

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.