Silicon Motion Technology (NASDAQ:SIMO) Raised to "Strong-Buy" at Wall Street Zen

Key Points

• Wall Street Zen upgraded Silicon Motion (NASDAQ:SIMO) from "buy" to "strong-buy," and MarketBeat data show 11 analysts rate it Buy with a consensus target price of $205.63.
• Quarterly beat and rapid growth: SIMO reported $1.58 EPS versus $1.31 expected and revenue of $342.11M (up 105.5% year‑over‑year), with analysts forecasting about $7.3 EPS for the fiscal year.
• Strong institutional interest and valuation: The stock trades near its 52‑week high ($234.52) with a $7.97B market cap, a P/E of 46.62, and roughly 78% ownership by institutional investors and hedge funds.

Silicon Motion Technology (NASDAQ:SIMO - Get Free Report) was upgraded by analysts at Wall Street Zen from a "buy" rating to a "strong-buy" rating in a note issued to investors on Sunday.

Other equities analysts have also recently issued reports about the stock. Zacks Research cut shares of Silicon Motion Technology from a "strong-buy" rating to a "hold" rating in a research note on Monday, April 6th. Needham & Company LLC raised their target price on shares of Silicon Motion Technology from $125.00 to $155.00 and gave the company a "buy" rating in a research note on Thursday, February 5th. Weiss Ratings reiterated a "buy (b-)" rating on shares of Silicon Motion Technology in a research report on Friday, March 27th. Roth Mkm reissued a "buy" rating and issued a $250.00 price objective on shares of Silicon Motion Technology in a research note on Wednesday. Finally, Wedbush lifted their price objective on shares of Silicon Motion Technology from $180.00 to $230.00 and gave the stock an "outperform" rating in a research note on Thursday. Eleven research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $205.63.

Silicon Motion Technology Stock Performance

NASDAQ SIMO opened at $234.52 on Friday. Silicon Motion Technology has a 52-week low of $51.01 and a 52-week high of $235.00. The company has a market capitalization of $7.97 billion, a P/E ratio of 46.62, a P/E/G ratio of 1.58 and a beta of 1.67. The company has a fifty day moving average of $130.66 and a 200-day moving average of $112.00.

Silicon Motion Technology (NASDAQ:SIMO - Get Free Report) last issued its earnings results on Tuesday, April 28th. The semiconductor producer reported $1.58 EPS for the quarter, topping analysts' consensus estimates of $1.31 by $0.27. Silicon Motion Technology had a net margin of 16.02% and a return on equity of 20.24%. The company had revenue of $342.11 million for the quarter, compared to analysts' expectations of $299.53 million. During the same quarter last year, the company earned $0.60 EPS. The firm's revenue was up 105.5% compared to the same quarter last year. As a group, analysts forecast that Silicon Motion Technology will post 7.3 EPS for the current fiscal year.

Hedge Funds Weigh In On Silicon Motion Technology

A number of institutional investors have recently made changes to their positions in SIMO. Reinhart Partners LLC. boosted its position in shares of Silicon Motion Technology by 4.8% during the fourth quarter. Reinhart Partners LLC. now owns 1,573,355 shares of the semiconductor producer's stock worth $145,851,000 after buying an additional 72,421 shares during the period. Pertento Partners LLP boosted its stake in shares of Silicon Motion Technology by 2.5% during the 3rd quarter. Pertento Partners LLP now owns 1,290,409 shares of the semiconductor producer's stock worth $122,344,000 after acquiring an additional 31,405 shares during the last quarter. Hawk Ridge Capital Management LP boosted its stake in shares of Silicon Motion Technology by 111.3% during the 4th quarter. Hawk Ridge Capital Management LP now owns 787,747 shares of the semiconductor producer's stock worth $73,024,000 after acquiring an additional 415,000 shares during the last quarter. Lazard Asset Management LLC boosted its stake in shares of Silicon Motion Technology by 2.3% during the 3rd quarter. Lazard Asset Management LLC now owns 783,663 shares of the semiconductor producer's stock worth $74,299,000 after acquiring an additional 17,741 shares during the last quarter. Finally, Robeco Institutional Asset Management B.V. boosted its stake in shares of Silicon Motion Technology by 40.9% during the 4th quarter. Robeco Institutional Asset Management B.V. now owns 623,953 shares of the semiconductor producer's stock worth $57,840,000 after acquiring an additional 181,206 shares during the last quarter. 78.02% of the stock is owned by institutional investors and hedge funds.

Silicon Motion Technology Company Profile

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.

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