MaxLinear (NASDAQ:MXL) Trading Down 4.9% – Time to Sell?

MaxLinear, Inc. (NASDAQ:MXL)’s share price dropped 4.9% on Wednesday . The stock traded as low as $15.79 and last traded at $15.83. Approximately 679,878 shares traded hands during trading, a decline of 69% from the average daily volume of 2,220,188 shares. The stock had previously closed at $16.65.

Analysts Set New Price Targets

Several equities research analysts recently commented on the company. Benchmark reaffirmed a “buy” rating and issued a $28.00 price target on shares of MaxLinear in a report on Thursday, January 30th. Wells Fargo & Company lifted their price target on MaxLinear from $19.00 to $20.00 and gave the stock an “equal weight” rating in a report on Thursday, January 30th. Susquehanna lowered their price target on shares of MaxLinear from $25.00 to $23.00 and set a “neutral” rating on the stock in a research report on Thursday, January 30th. Craig Hallum cut their price objective on shares of MaxLinear from $28.00 to $25.00 and set a “buy” rating for the company in a research report on Thursday, October 24th. Finally, Needham & Company LLC reiterated a “hold” rating on shares of MaxLinear in a report on Thursday, January 30th. One research analyst has rated the stock with a sell rating, three have issued a hold rating and four have given a buy rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $25.50.

MaxLinear Price Performance

The company’s 50 day simple moving average is $20.13 and its 200 day simple moving average is $16.11. The company has a debt-to-equity ratio of 0.24, a current ratio of 1.77 and a quick ratio of 1.28. The company has a market capitalization of $1.34 billion, a PE ratio of -5.40 and a beta of 1.77.

MaxLinear (NASDAQ:MXL) last issued its quarterly earnings data on Wednesday, January 29th. The semiconductor company reported ($0.27) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.13) by ($0.14). MaxLinear had a negative net margin of 68.01% and a negative return on equity of 21.94%. As a group, sell-side analysts predict that MaxLinear, Inc. will post -0.37 earnings per share for the current year.

Insider Activity

In other MaxLinear news, insider Connie H. Kwong sold 5,000 shares of the company’s stock in a transaction dated Wednesday, December 4th. The shares were sold at an average price of $18.61, for a total transaction of $93,050.00. Following the transaction, the insider now directly owns 49,147 shares in the company, valued at approximately $914,625.67. This represents a 9.23 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, Director Ted L. Tewksbury III sold 5,800 shares of the stock in a transaction dated Thursday, November 21st. The shares were sold at an average price of $15.36, for a total transaction of $89,088.00. Following the completion of the transaction, the director now directly owns 69,717 shares of the company’s stock, valued at approximately $1,070,853.12. This trade represents a 7.68 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 42,800 shares of company stock valued at $833,338 over the last quarter. Corporate insiders own 8.60% of the company’s stock.

Hedge Funds Weigh In On MaxLinear

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Vaughan Nelson Investment Management L.P. acquired a new stake in shares of MaxLinear during the 3rd quarter worth about $16,696,000. Assenagon Asset Management S.A. lifted its stake in shares of MaxLinear by 339.9% during the fourth quarter. Assenagon Asset Management S.A. now owns 1,250,769 shares of the semiconductor company’s stock valued at $24,740,000 after buying an additional 966,468 shares during the period. Victory Capital Management Inc. boosted its position in MaxLinear by 422.1% during the fourth quarter. Victory Capital Management Inc. now owns 815,931 shares of the semiconductor company’s stock worth $16,139,000 after acquiring an additional 659,662 shares during the last quarter. FMR LLC grew its stake in MaxLinear by 184.5% in the 3rd quarter. FMR LLC now owns 456,929 shares of the semiconductor company’s stock worth $6,616,000 after acquiring an additional 296,339 shares during the period. Finally, Jacobs Levy Equity Management Inc. raised its holdings in MaxLinear by 36.6% in the 3rd quarter. Jacobs Levy Equity Management Inc. now owns 1,089,065 shares of the semiconductor company’s stock valued at $15,770,000 after acquiring an additional 291,874 shares during the last quarter. Institutional investors and hedge funds own 90.79% of the company’s stock.

MaxLinear Company Profile

MaxLinear, Inc provides communications systems-on-chip solutions worldwide. Its products integrate various portions of a high-speed communication system, including radio frequency, high-performance analog, mixed-signal, digital signal processing, security engines, data compression and networking layers, and power management.