SkyWater Technology (NASDAQ:SKYT) Shares Up 10.7% - Should You Buy?

Key Points

• SkyWater Technology's stock surged by 10.7% to close at $13.66 after previously trading at $12.34, with 691,934 shares traded during the day.
• Analysts have positive outlooks on SkyWater Technology, with a consensus rating of "Buy" and a price target increased to $15.00 by Needham & Company LLC.
• Recent insider sales indicate that CEO Thomas Sonderman sold 8,355 shares at an average price of $10.58, reducing his holdings by 1.55%.

SkyWater Technology, Inc. (NASDAQ:SKYT - Get Free Report)'s stock price traded up 10.7% during mid-day trading on Thursday . The company traded as high as $13.63 and last traded at $13.66. 691,934 shares traded hands during mid-day trading, a decline of 15% from the average session volume of 813,999 shares. The stock had previously closed at $12.34.

Analysts Set New Price Targets

Several equities research analysts have issued reports on the stock. Wall Street Zen raised shares of SkyWater Technology from a "sell" rating to a "hold" rating in a research note on Friday, September 5th. Needham & Company LLC raised their target price on shares of SkyWater Technology from $11.00 to $15.00 and gave the stock a "buy" rating in a research report on Thursday, August 7th. Three analysts have rated the stock with a Buy rating, According to MarketBeat.com, the company currently has a consensus rating of "Buy" and a consensus target price of $13.00.

SkyWater Technology Stock Performance

The stock's fifty day simple moving average is $11.04 and its two-hundred day simple moving average is $9.22. The company has a market cap of $745.83 million, a price-to-earnings ratio of -45.53 and a beta of 3.41. The company has a debt-to-equity ratio of 0.68, a quick ratio of 0.97 and a current ratio of 1.06.

Insider Activity

In other news, CEO Thomas Sonderman sold 8,355 shares of the firm's stock in a transaction dated Wednesday, September 10th. The stock was sold at an average price of $10.58, for a total value of $88,395.90. Following the transaction, the chief executive officer directly owned 532,174 shares in the company, valued at $5,630,400.92. This trade represents a 1.55% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Loren A. Unterseher sold 188,976 shares of SkyWater Technology stock in a transaction dated Friday, September 12th. The shares were sold at an average price of $10.47, for a total value of $1,978,578.72. Following the completion of the transaction, the director directly owned 7,171,626 shares in the company, valued at $75,086,924.22. This represents a 2.57% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 3,072,822 shares of company stock valued at $36,383,762 over the last 90 days. 37.85% of the stock is currently owned by insiders.

Hedge Funds Weigh In On SkyWater Technology

Hedge funds have recently made changes to their positions in the business. Federated Hermes Inc. purchased a new stake in SkyWater Technology during the 2nd quarter worth $25,000. BNP Paribas Financial Markets lifted its stake in shares of SkyWater Technology by 56.4% during the second quarter. BNP Paribas Financial Markets now owns 2,749 shares of the company's stock worth $27,000 after purchasing an additional 991 shares in the last quarter. Financial Management Professionals Inc. purchased a new stake in shares of SkyWater Technology in the second quarter worth about $32,000. GAMMA Investing LLC grew its stake in shares of SkyWater Technology by 941.3% in the first quarter. GAMMA Investing LLC now owns 4,613 shares of the company's stock valued at $33,000 after buying an additional 4,170 shares in the last quarter. Finally, CWM LLC raised its holdings in shares of SkyWater Technology by 320.2% during the 1st quarter. CWM LLC now owns 5,719 shares of the company's stock valued at $41,000 after buying an additional 4,358 shares during the period. Hedge funds and other institutional investors own 70.00% of the company's stock.

SkyWater Technology Company Profile

SkyWater Technology, Inc, together with its subsidiaries, operates as a pure-play technology foundry that engages in the provision of semiconductor development, manufacturing, and packaging services in the United States. The company offers engineering and process development support services to co-create technologies with customers; and semiconductor manufacturing services for various silicon-based analog and mixed-signal, micro-electromechanical systems, and rad-hard integrated circuits.