Semtech (NASDAQ:SMTC) Sets New 1-Year High – Here’s Why

Semtech Co. (NASDAQ:SMTC)’s stock price hit a new 52-week high during mid-day trading on Wednesday . The stock traded as high as $71.20 and last traded at $70.72, with a volume of 536345 shares traded. The stock had previously closed at $64.48.

Wall Street Analyst Weigh In

Several analysts recently issued reports on SMTC shares. Benchmark increased their price objective on Semtech from $56.00 to $82.00 and gave the stock a “buy” rating in a report on Tuesday, November 26th. Roth Mkm increased their target price on shares of Semtech from $50.00 to $60.00 and gave the stock a “buy” rating in a research report on Monday, November 25th. B. Riley increased their target price on shares of Semtech from $61.00 to $85.00 and gave the stock a “buy” rating in a research report on Tuesday, November 26th. Stifel Nicolaus increased their target price on shares of Semtech from $65.00 to $75.00 and gave the stock a “buy” rating in a research report on Monday, January 6th. Finally, Northland Securities increased their target price on shares of Semtech from $60.00 to $66.00 and gave the stock an “outperform” rating in a research report on Tuesday, December 10th. Three investment analysts have rated the stock with a hold rating and eleven have assigned a buy rating to the stock. Based on data from MarketBeat, Semtech currently has a consensus rating of “Moderate Buy” and an average target price of $71.09.

Semtech Stock Down 4.9 %

The company has a market capitalization of $5.22 billion, a price-to-earnings ratio of -5.28 and a beta of 1.65. The company has a 50-day moving average price of $61.24 and a 200-day moving average price of $46.76.

Semtech (NASDAQ:SMTC) last issued its quarterly earnings results on Monday, November 25th. The semiconductor company reported $0.26 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.23 by $0.03. The company had revenue of $236.80 million for the quarter, compared to the consensus estimate of $232.89 million. Semtech had a negative return on equity of 154.99% and a negative net margin of 99.08%. The firm’s revenue was up 17.9% compared to the same quarter last year. During the same period last year, the business posted $0.02 earnings per share.

Insider Buying and Selling

In other Semtech news, SVP Imran Sherazi sold 2,946 shares of the firm’s stock in a transaction dated Thursday, December 19th. The shares were sold at an average price of $63.30, for a total transaction of $186,481.80. Following the completion of the transaction, the senior vice president now owns 6,317 shares in the company, valued at $399,866.10. This trade represents a 31.80 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CFO Mark Lin sold 1,359 shares of the firm’s stock in a transaction dated Friday, January 3rd. The stock was sold at an average price of $65.15, for a total transaction of $88,538.85. Following the transaction, the chief financial officer now owns 4,164 shares of the company’s stock, valued at approximately $271,284.60. This represents a 24.61 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 10,419 shares of company stock valued at $676,955 over the last three months. 0.60% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Huntington National Bank lifted its stake in Semtech by 105.2% during the third quarter. Huntington National Bank now owns 589 shares of the semiconductor company’s stock worth $27,000 after purchasing an additional 302 shares during the period. Canada Pension Plan Investment Board bought a new position in Semtech during the second quarter worth about $60,000. NBC Securities Inc. lifted its stake in Semtech by 115.8% during the third quarter. NBC Securities Inc. now owns 1,377 shares of the semiconductor company’s stock worth $62,000 after purchasing an additional 739 shares during the period. Quarry LP bought a new position in shares of Semtech in the second quarter valued at approximately $63,000. Finally, International Assets Investment Management LLC raised its stake in shares of Semtech by 4,464.9% in the third quarter. International Assets Investment Management LLC now owns 1,689 shares of the semiconductor company’s stock valued at $77,000 after acquiring an additional 1,652 shares during the last quarter.

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.