Semtech (NASDAQ:SMTC) Stock Price Down 5.5% – Here’s Why

Semtech Co. (NASDAQ:SMTC)’s stock price traded down 5.5% on Tuesday . The company traded as low as $64.13 and last traded at $64.49. 235,871 shares changed hands during trading, a decline of 87% from the average session volume of 1,868,792 shares. The stock had previously closed at $68.27.

Analysts Set New Price Targets

Several research analysts have recently issued reports on SMTC shares. Susquehanna raised their target price on shares of Semtech from $55.00 to $60.00 and gave the stock a “positive” rating in a report on Thursday, November 21st. Northland Securities boosted their price objective on shares of Semtech from $60.00 to $66.00 and gave the company an “outperform” rating in a research report on Tuesday, December 10th. 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 report on Monday, November 25th. Piper Sandler restated an “overweight” rating and set a $75.00 price target (up previously from $60.00) on shares of Semtech in a report on Tuesday, November 26th. Finally, Summit Insights lowered Semtech from a “buy” rating to a “hold” rating in a research report on Wednesday, August 28th. Three analysts have rated the stock with a hold rating and ten have assigned a buy rating to the stock. Based on data from MarketBeat, Semtech presently has an average rating of “Moderate Buy” and an average target price of $68.70.

Semtech Stock Up 1.0 %

The company has a 50-day moving average of $52.88 and a two-hundred day moving average of $41.96. The company has a market capitalization of $4.81 billion, a P/E ratio of -4.87 and a beta of 1.65.

Semtech (NASDAQ:SMTC) last released its earnings results on Monday, November 25th. The semiconductor company reported $0.26 earnings per share for the quarter, topping analysts’ consensus estimates of $0.23 by $0.03. Semtech had a negative net margin of 99.08% and a negative return on equity of 154.99%. The firm had revenue of $236.80 million for the quarter, compared to the consensus estimate of $232.89 million. During the same period in the prior year, the firm earned $0.02 EPS. The company’s revenue was up 17.9% compared to the same quarter last year. As a group, equities analysts expect that Semtech Co. will post -0.01 EPS for the current fiscal year.

Insider Activity

In related news, CFO Mark Lin sold 6,114 shares of the firm’s stock in a transaction that occurred on Tuesday, December 17th. The shares were sold at an average price of $65.74, for a total transaction of $401,934.36. Following the completion of the sale, the chief financial officer now owns 3,531 shares of the company’s stock, valued at $232,127.94. This trade represents a 63.39 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Company insiders own 0.60% of the company’s stock.

Institutional Investors Weigh In On Semtech

Several institutional investors and hedge funds have recently added to or reduced their stakes in SMTC. Huntington National Bank increased its holdings in Semtech by 105.2% during the third quarter. Huntington National Bank now owns 589 shares of the semiconductor company’s stock valued at $27,000 after buying an additional 302 shares during the last quarter. Arizona State Retirement System increased its stake in shares of Semtech by 2.3% in the 2nd quarter. Arizona State Retirement System now owns 18,074 shares of the semiconductor company’s stock worth $540,000 after purchasing an additional 407 shares in the last quarter. Hanseatic Management Services Inc. raised its holdings in Semtech by 3.2% in the 3rd quarter. Hanseatic Management Services Inc. now owns 14,406 shares of the semiconductor company’s stock worth $658,000 after purchasing an additional 447 shares during the period. Nisa Investment Advisors LLC lifted its position in Semtech by 6.9% during the second quarter. Nisa Investment Advisors LLC now owns 7,159 shares of the semiconductor company’s stock valued at $214,000 after purchasing an additional 461 shares in the last quarter. Finally, Creative Planning grew its holdings in Semtech by 3.4% during the second quarter. Creative Planning now owns 18,018 shares of the semiconductor company’s stock valued at $538,000 after purchasing an additional 588 shares during the period.

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.