Semtech (NASDAQ:SMTC) Shares Gap Down After Analyst Downgrade

Shares of Semtech Co. (NASDAQ:SMTC) gapped down prior to trading on Friday after Robert W. Baird lowered their price target on the stock from $80.00 to $60.00. The stock had previously closed at $60.50, but opened at $58.56. Robert W. Baird currently has an outperform rating on the stock. Semtech shares last traded at $52.29, with a volume of 2,008,877 shares traded.

Several other equities analysts also recently weighed in on the company. Piper Sandler reiterated an “overweight” rating and set a $75.00 target price (up from $60.00) on shares of Semtech in a research report on Tuesday, November 26th. Northland Securities boosted their target price on shares of Semtech from $60.00 to $66.00 and gave the company an “outperform” rating in a report on Tuesday, December 10th. Stifel Nicolaus boosted their target price on shares of Semtech from $65.00 to $75.00 and gave the company a “buy” rating in a report on Monday, January 6th. Susquehanna increased their target price on Semtech from $55.00 to $60.00 and gave the stock a “positive” rating in a research report on Thursday, November 21st. Finally, B. Riley increased their target price on Semtech from $61.00 to $85.00 and gave the stock a “buy” rating in a research report on Tuesday, November 26th. Three analysts have rated the stock with a hold rating and eleven have assigned a buy rating to the stock. According to MarketBeat, Semtech has a consensus rating of “Moderate Buy” and a consensus target price of $72.00.

Insider Activity

In other Semtech news, CFO Mark Lin sold 6,114 shares of the company’s stock in a transaction dated Tuesday, December 17th. The shares were sold at an average price of $65.74, for a total value of $401,934.36. Following the completion of the transaction, the chief financial officer now directly owns 3,531 shares of the company’s stock, valued at $232,127.94. This represents a 63.39 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, SVP Imran Sherazi sold 2,946 shares of Semtech stock in a transaction that occurred on Thursday, December 19th. The stock was sold at an average price of $63.30, for a total value of $186,481.80. Following the sale, the senior vice president now owns 6,317 shares in the company, valued at $399,866.10. This represents a 31.80 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 16,747 shares of company stock worth $1,095,061 over the last 90 days. Company insiders own 0.60% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in SMTC. Huntington National Bank boosted its stake in Semtech by 105.2% during the 3rd quarter. Huntington National Bank now owns 589 shares of the semiconductor company’s stock valued at $27,000 after acquiring an additional 302 shares during the last quarter. Smartleaf Asset Management LLC lifted its holdings in Semtech by 190.6% during the 4th quarter. Smartleaf Asset Management LLC now owns 770 shares of the semiconductor company’s stock worth $48,000 after buying an additional 505 shares during the last quarter. NBC Securities Inc. grew its position in shares of Semtech by 115.8% in the 3rd quarter. NBC Securities Inc. now owns 1,377 shares of the semiconductor company’s stock worth $62,000 after acquiring an additional 739 shares in the last quarter. AlphaQuest LLC increased its holdings in shares of Semtech by 173.5% in the 4th quarter. AlphaQuest LLC now owns 1,217 shares of the semiconductor company’s stock valued at $75,000 after acquiring an additional 772 shares during the last quarter. Finally, International Assets Investment Management LLC raised its position in shares of Semtech by 4,464.9% during the 3rd 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 in the last quarter.

Semtech Price Performance

The business’s fifty day simple moving average is $65.85 and its 200 day simple moving average is $50.49. The stock has a market cap of $4.13 billion, a price-to-earnings ratio of -4.18 and a beta of 1.64.

Semtech (NASDAQ:SMTC) last posted its quarterly earnings results on Monday, November 25th. The semiconductor company reported $0.26 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.23 by $0.03. The business had revenue of $236.80 million during the quarter, compared to the consensus estimate of $232.89 million. During the same quarter in the previous year, the business posted $0.02 earnings per share. The company’s quarterly revenue was up 17.9% compared to the same quarter last year.

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.