Silicon Motion Technology (NASDAQ:SIMO) Stock Price Up 7.7% - What's Next?

Key Points

• Silicon Motion Technology's stock price rose by 7.7%, reaching as high as $90.12, despite a significant decrease in trading volume, down 57% from the average.
• Analysts have shown strong support for the stock, with multiple firms upgrading their target prices, leading to a consensus target price of $87.78 and a majority rating it as "Buy."
• For the latest quarter, Silicon Motion reported earnings of $0.69 per share, exceeding expectations, although revenue declined by 5.7% year-over-year.

Silicon Motion Technology Corporation (NASDAQ:SIMO - Get Free Report)'s stock price traded up 7.7% during mid-day trading on Thursday . The stock traded as high as $89.49 and last traded at $90.12. 178,368 shares changed hands during mid-day trading, a decline of 57% from the average session volume of 412,447 shares. The stock had previously closed at $83.70.

Wall Street Analysts Forecast Growth

Several analysts have issued reports on SIMO shares. Craig Hallum increased their target price on Silicon Motion Technology from $70.00 to $100.00 and gave the company a "buy" rating in a research report on Thursday, July 31st. Roth Capital increased their price objective on Silicon Motion Technology from $70.00 to $90.00 and gave the company a "buy" rating in a report on Tuesday, June 17th. Susquehanna raised their target price 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. Needham & Company LLC lifted their price objective on Silicon Motion Technology from $65.00 to $90.00 and gave the company a "buy" rating in a research note on Thursday, July 31st. Finally, Citigroup upgraded Silicon Motion Technology to a "buy" rating in a research note on Wednesday, June 18th. Nine analysts have rated the stock with a Buy rating, According to MarketBeat.com, the company presently has a consensus rating of "Buy" and an average price target of $90.63.

Silicon Motion Technology Trading Up 0.3%

The firm has a market capitalization of $3.07 billion, a price-to-earnings ratio of 38.10, a PEG ratio of 4.43 and a beta of 0.99. The company has a fifty day moving average price of $77.14 and a two-hundred day moving average price of $63.83.

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 for the quarter, topping the consensus estimate of $0.54 by $0.15. The business had revenue of $198.68 million for the quarter, compared to analysts' expectations of $180.40 million. Silicon Motion Technology had a return on equity of 10.14% and a net margin of 10.36%.The business's revenue for the quarter was down 5.7% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.96 EPS. Silicon Motion Technology has set its Q3 2025 guidance at EPS. As a group, equities research analysts expect that Silicon Motion Technology Corporation will post 3.08 earnings per share for the current year.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in the business. Invesco Ltd. lifted its holdings in Silicon Motion Technology by 61.3% in the first quarter. Invesco Ltd. now owns 1,675,648 shares of the semiconductor producer's stock valued at $84,721,000 after acquiring an additional 636,869 shares during the last quarter. Reinhart Partners LLC. lifted its holdings in Silicon Motion Technology by 7.9% in the second quarter. Reinhart Partners LLC. now owns 1,471,583 shares of the semiconductor producer's stock valued at $110,620,000 after acquiring an additional 107,292 shares during the last quarter. Acadian Asset Management LLC lifted its holdings in Silicon Motion Technology by 4.1% in the second quarter. Acadian Asset Management LLC now owns 1,310,353 shares of the semiconductor producer's stock valued at $98,453,000 after acquiring an additional 51,978 shares during the last quarter. Frontier Capital Management Co. LLC lifted its holdings in Silicon Motion Technology by 115.4% in the second quarter. Frontier Capital Management Co. LLC now owns 1,281,115 shares of the semiconductor producer's stock valued at $96,301,000 after acquiring an additional 686,261 shares during the last quarter. Finally, Pertento Partners LLP lifted its holdings in Silicon Motion Technology by 4.1% in the second quarter. Pertento Partners LLP now owns 1,259,004 shares of the semiconductor producer's stock valued at $94,639,000 after acquiring an additional 49,541 shares during the last quarter. 78.02% of the stock is currently owned by institutional investors and hedge funds.

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.