Silicon Motion Technology Corporation (NASDAQ:SIMO) Given Consensus Recommendation of "Buy" by Analysts

Key Points

• Analysts have given Silicon Motion Technology Corporation (NASDAQ:SIMO) an average rating of "Buy", with a 12-month price target of $87.78.
• The company recently reported earnings of $0.69 EPS for the quarter, exceeding expectations, with revenues of $198.68 million.
• Silicon Motion Technology has declared a quarterly dividend of $0.50, yielding 2.7%, scheduled for payment on August 21st.

Shares of Silicon Motion Technology Corporation (NASDAQ:SIMO - Get Free Report) have been assigned an average recommendation of "Buy" from the ten research firms that are covering the company, Marketbeat.com reports. Ten analysts have rated the stock with a buy rating. The average 12-month price target among analysts that have covered the stock in the last year is $87.7778.

Several analysts recently issued reports on the company. B. Riley reissued a "buy" rating and set a $90.00 target price (up previously from $75.00) on shares of Silicon Motion Technology in a research note on Thursday, June 5th. Citigroup raised Silicon Motion Technology to a "buy" rating in a research note on Wednesday, June 18th. Susquehanna lifted their price objective on Silicon Motion Technology from $90.00 to $95.00 and gave the stock a "positive" rating in a research note on Friday, August 1st. Wedbush reaffirmed an "outperform" rating and issued a $90.00 price objective on shares of Silicon Motion Technology in a research note on Wednesday, April 30th. Finally, Craig Hallum lifted their price objective on Silicon Motion Technology from $70.00 to $100.00 and gave the stock a "buy" rating in a research note on Thursday, July 31st.

Hedge Funds Weigh In On Silicon Motion Technology

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Orion Porfolio Solutions LLC boosted its holdings in shares of Silicon Motion Technology by 0.9% in the 2nd quarter. Orion Porfolio Solutions LLC now owns 17,733 shares of the semiconductor producer's stock worth $1,333,000 after purchasing an additional 159 shares during the period. Assetmark Inc. boosted its holdings in Silicon Motion Technology by 15.1% during the 2nd quarter. Assetmark Inc. now owns 2,191 shares of the semiconductor producer's stock valued at $165,000 after acquiring an additional 287 shares during the period. Geode Capital Management LLC boosted its holdings in Silicon Motion Technology by 0.8% during the 4th quarter. Geode Capital Management LLC now owns 36,248 shares of the semiconductor producer's stock valued at $1,959,000 after acquiring an additional 300 shares during the period. EverSource Wealth Advisors LLC boosted its holdings in Silicon Motion Technology by 169.4% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 582 shares of the semiconductor producer's stock valued at $44,000 after acquiring an additional 366 shares during the period. Finally, Twinbeech Capital LP boosted its holdings in Silicon Motion Technology by 4.2% during the 4th quarter. Twinbeech Capital LP now owns 10,773 shares of the semiconductor producer's stock valued at $582,000 after acquiring an additional 438 shares during the period. Hedge funds and other institutional investors own 78.02% of the company's stock.

Silicon Motion Technology Stock Performance

Shares of NASDAQ SIMO traded up $0.06 during trading on Friday, hitting $74.20. The company had a trading volume of 153,006 shares, compared to its average volume of 352,035. The stock has a 50 day simple moving average of $73.76 and a 200 day simple moving average of $60.67. The firm has a market capitalization of $2.52 billion, a P/E ratio of 31.31, a price-to-earnings-growth ratio of 3.70 and a beta of 0.92. Silicon Motion Technology has a 12 month low of $37.21 and a 12 month high of $85.11.

Silicon Motion Technology (NASDAQ:SIMO - Get Free Report) last issued its earnings results on Wednesday, July 30th. The semiconductor producer reported $0.69 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.54 by $0.15. The company had revenue of $198.68 million for the quarter, compared to the consensus estimate of $180.40 million. Silicon Motion Technology had a return on equity of 10.14% and a net margin of 10.36%.The firm's quarterly revenue was down 5.7% on a year-over-year basis. During the same quarter last year, the company earned $0.96 EPS. Silicon Motion Technology has set its Q3 2025 guidance at EPS. As a group, analysts predict that Silicon Motion Technology will post 3.08 EPS for the current year.

Silicon Motion Technology Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, August 21st. Stockholders of record on Thursday, August 7th will be issued a $0.50 dividend. The ex-dividend date is Thursday, August 7th. This represents a $2.00 dividend on an annualized basis and a dividend yield of 2.7%. Silicon Motion Technology's payout ratio is 83.97%.

About Silicon Motion Technology

Silicon Motion Technology Corporation, together with its subsidiaries, designs, develops, and markets NAND flash controllers for solid-state storage devices. The company offers controllers for computing-grade solid state drives (SSDs), which are used in PCs and other client devices; enterprise-grade SSDs used in data centers; eMMC and UFS mobile embedded storage for use in smartphones and IoT devices; flash memory cards and flash drives for use in expandable storage; and specialized SSDs that are used in industrial, commercial, and automotive applications.