Silicon Motion Technology (NASDAQ:SIMO) Downgraded by StockNews.com to Hold

Silicon Motion Technology (NASDAQ:SIMO) was downgraded by analysts at StockNews.com from a “buy” rating to a “hold” rating in a research report issued on Thursday.

A number of other brokerages have also commented on SIMO. Craig Hallum lowered their price objective on Silicon Motion Technology from $96.00 to $90.00 and set a “buy” rating on the stock in a report on Thursday, October 31st. Needham & Company LLC reissued a “buy” rating and set a $70.00 price objective on shares of Silicon Motion Technology in a report on Friday, February 7th. Susquehanna decreased their target price on Silicon Motion Technology from $110.00 to $95.00 and set a “positive” rating for the company in a research note on Friday, November 1st. Finally, Wedbush restated an “outperform” rating and set a $90.00 target price on shares of Silicon Motion Technology in a research note on Monday, December 23rd. One equities research analyst has rated the stock with a sell rating, one has assigned a hold rating and seven have given a buy rating to the stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $80.63.

Silicon Motion Technology Stock Performance

Shares of NASDAQ SIMO opened at $54.30 on Thursday. The firm has a market cap of $1.83 billion, a price-to-earnings ratio of 20.19, a P/E/G ratio of 1.34 and a beta of 0.79. The business’s 50-day simple moving average is $54.55 and its 200-day simple moving average is $57.01. Silicon Motion Technology has a 52 week low of $48.81 and a 52 week high of $85.87.

Silicon Motion Technology (NASDAQ:SIMO) last issued its quarterly earnings data on Wednesday, February 5th. The semiconductor producer reported $0.68 EPS for the quarter, missing analysts’ consensus estimates of $0.78 by ($0.10). Silicon Motion Technology had a net margin of 11.29% and a return on equity of 11.59%. As a group, equities research analysts forecast that Silicon Motion Technology will post 2.91 earnings per share for the current year.

Silicon Motion Technology announced that its Board of Directors has approved a share buyback program on Wednesday, February 5th that permits the company to repurchase $50.00 million in shares. This repurchase authorization permits the semiconductor producer to buy up to 2.6% of its stock through open market purchases. Stock repurchase programs are generally a sign that the company’s management believes its shares are undervalued.

Institutional Trading of Silicon Motion Technology

A number of hedge funds have recently modified their holdings of the company. Massachusetts Financial Services Co. MA lifted its position in shares of Silicon Motion Technology by 33.0% in the 4th quarter. Massachusetts Financial Services Co. MA now owns 696,293 shares of the semiconductor producer’s stock worth $37,635,000 after acquiring an additional 172,867 shares during the period. Geode Capital Management LLC lifted its position in shares of Silicon Motion Technology by 0.8% during the 4th quarter. Geode Capital Management LLC now owns 36,248 shares of the semiconductor producer’s stock worth $1,959,000 after buying an additional 300 shares during the period. Diametric Capital LP lifted its position in shares of Silicon Motion Technology by 52.1% during the 4th quarter. Diametric Capital LP now owns 10,007 shares of the semiconductor producer’s stock worth $541,000 after buying an additional 3,428 shares during the period. Wellington Management Group LLP lifted its position in shares of Silicon Motion Technology by 40.1% during the 4th quarter. Wellington Management Group LLP now owns 797,192 shares of the semiconductor producer’s stock worth $43,088,000 after buying an additional 228,333 shares during the period. Finally, Pertento Partners LLP lifted its position in shares of Silicon Motion Technology by 31.2% during the 4th quarter. Pertento Partners LLP now owns 1,166,914 shares of the semiconductor producer’s stock worth $63,072,000 after buying an additional 277,462 shares during the period. Institutional investors own 78.02% of the company’s stock.

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.