Semtech (NASDAQ:SMTC) Reaches New 52-Week High After Better-Than-Expected Earnings

Semtech Co. (NASDAQ:SMTC)’s stock price hit a new 52-week high during trading on Monday after the company announced better than expected quarterly earnings. The company traded as high as $53.45 and last traded at $52.98, with a volume of 485160 shares. The stock had previously closed at $50.89.

The semiconductor company reported $0.26 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.23 by $0.03. Semtech had a negative net margin of 107.21% and a negative return on equity of 154.99%. The company had revenue of $236.80 million for the quarter, compared to analysts’ expectations of $232.89 million. During the same period in the previous year, the company posted $0.02 EPS. Semtech’s revenue was up 17.9% compared to the same quarter last year.

Wall Street Analysts Forecast Growth

Several research firms have issued reports on SMTC. Benchmark boosted their target price on Semtech from $56.00 to $82.00 and gave the stock a “buy” rating in a research report on Tuesday. Needham & Company LLC reiterated a “buy” rating and issued a $70.00 price objective (up previously from $50.00) on shares of Semtech in a research report on Tuesday. B. Riley raised their target price on Semtech from $61.00 to $85.00 and gave the company a “buy” rating in a report on Tuesday. Piper Sandler reaffirmed an “overweight” rating and set a $75.00 price target (up from $60.00) on shares of Semtech in a research note on Tuesday. Finally, Roth Mkm raised their price objective on shares of Semtech from $50.00 to $60.00 and gave the company a “buy” rating in a research note on Monday. Three analysts have rated the stock with a hold rating and ten have assigned a buy rating to the company. According to MarketBeat.com, Semtech currently has an average rating of “Moderate Buy” and an average target price of $67.70.

Hedge Funds Weigh In On Semtech

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Vanguard Group Inc. raised its position in shares of Semtech by 1.6% during the 1st quarter. Vanguard Group Inc. now owns 8,458,425 shares of the semiconductor company’s stock worth $232,522,000 after purchasing an additional 131,133 shares during the last quarter. Millennium Management LLC lifted its position in shares of Semtech by 26.6% in the second quarter. Millennium Management LLC now owns 3,646,449 shares of the semiconductor company’s stock valued at $108,956,000 after acquiring an additional 765,877 shares in the last quarter. Disciplined Growth Investors Inc. MN boosted its stake in shares of Semtech by 4.6% during the third quarter. Disciplined Growth Investors Inc. MN now owns 2,609,984 shares of the semiconductor company’s stock valued at $119,172,000 after acquiring an additional 114,999 shares during the last quarter. Geode Capital Management LLC increased its position in Semtech by 8.0% during the 3rd quarter. Geode Capital Management LLC now owns 1,617,783 shares of the semiconductor company’s stock worth $73,883,000 after purchasing an additional 119,572 shares in the last quarter. Finally, Driehaus Capital Management LLC acquired a new position in Semtech in the 2nd quarter valued at about $43,395,000.

Semtech Stock Performance

The company has a market capitalization of $4.75 billion, a PE ratio of -4.66 and a beta of 1.54. The stock’s fifty day simple moving average is $45.83 and its 200-day simple moving average is $38.96.

Semtech Company Profile

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.