Silicon Motion Technology (NASDAQ:SIMO) Stock Passes Above Two Hundred Day Moving Average – Should You Sell?

Silicon Motion Technology Co. (NASDAQ:SIMO) passed above its 200-day moving average during trading on Wednesday . The stock has a 200-day moving average of $55.56 and traded as high as $57.25. Silicon Motion Technology shares last traded at $56.58, with a volume of 1,108,580 shares trading hands.

Analysts Set New Price Targets

Several analysts have issued reports on SIMO shares. Wedbush restated an “outperform” rating and issued a $90.00 target price on shares of Silicon Motion Technology in a report on Monday, December 23rd. StockNews.com cut Silicon Motion Technology from a “buy” rating to a “hold” rating in a report on Thursday, February 13th. Finally, Needham & Company LLC restated a “buy” rating and issued a $70.00 target price on shares of Silicon Motion Technology in a report on Friday, February 7th. One research analyst has rated the stock with a sell rating, one has given a hold rating and seven have given a buy rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $80.63.

Silicon Motion Technology Trading Up 3.9 %

The firm has a market capitalization of $1.91 billion, a PE ratio of 21.03, a PEG ratio of 1.36 and a beta of 0.71. The business has a fifty day moving average price of $54.04 and a two-hundred day moving average price of $55.56.

Silicon Motion Technology (NASDAQ:SIMO) last released its quarterly earnings results on Wednesday, February 5th. The semiconductor producer reported $0.68 earnings per share for the quarter, missing analysts’ consensus estimates of $0.78 by ($0.10). Silicon Motion Technology had a return on equity of 11.63% and a net margin of 11.29%. On average, equities analysts forecast that Silicon Motion Technology Co. will post 3.08 earnings per share for the current fiscal year.

Silicon Motion Technology Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, February 27th. Investors of record on Thursday, February 13th were issued a dividend of $0.50 per share. This represents a $2.00 dividend on an annualized basis and a yield of 3.53%. The ex-dividend date of this dividend was Thursday, February 13th. Silicon Motion Technology’s dividend payout ratio (DPR) is 74.35%.

Silicon Motion Technology declared that its Board of Directors has approved a share repurchase plan on Wednesday, February 5th that permits the company to buyback $50.00 million in shares. This buyback authorization permits the semiconductor producer to repurchase up to 2.6% of its stock through open market purchases. Stock buyback plans are often a sign that the company’s board of directors believes its stock is undervalued.

Hedge Funds Weigh In On Silicon Motion Technology

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Menard Financial Group LLC purchased a new position in Silicon Motion Technology during the 4th quarter valued at about $88,000. Vident Advisory LLC raised its position in Silicon Motion Technology by 90.2% in the 4th quarter. Vident Advisory LLC now owns 7,346 shares of the semiconductor producer’s stock valued at $397,000 after purchasing an additional 3,483 shares in the last quarter. Squarepoint Ops LLC acquired a new stake in Silicon Motion Technology in the 4th quarter valued at about $256,000. Twinbeech Capital LP raised its position in Silicon Motion Technology by 4.2% in the 4th quarter. Twinbeech Capital LP now owns 10,773 shares of the semiconductor producer’s stock valued at $582,000 after purchasing an additional 438 shares in the last quarter. Finally, Systematic Financial Management LP raised its position in Silicon Motion Technology by 19.2% in the 4th quarter. Systematic Financial Management LP now owns 589,409 shares of the semiconductor producer’s stock valued at $31,858,000 after purchasing an additional 95,081 shares in the last quarter. 78.02% of the stock is currently owned by hedge funds and other institutional investors.

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.