Silicon Motion Technology Co. (NASDAQ:SIMO) Announces Quarterly Dividend of $0.50

Silicon Motion Technology Co. (NASDAQ:SIMO) declared a quarterly dividend on Monday, October 28th,Zacks Dividends reports. Shareholders of record on Thursday, November 14th will be paid a dividend of 0.50 per share by the semiconductor producer on Wednesday, November 27th. This represents a $2.00 dividend on an annualized basis and a dividend yield of 3.87%. The ex-dividend date of this dividend is Thursday, November 14th.

Silicon Motion Technology has decreased its dividend by an average of 29.1% per year over the last three years. Silicon Motion Technology has a dividend payout ratio of 50.9% indicating that its dividend is sufficiently covered by earnings. Analysts expect Silicon Motion Technology to earn $2.99 per share next year, which means the company should continue to be able to cover its $2.00 annual dividend with an expected future payout ratio of 66.9%.

Silicon Motion Technology Price Performance

NASDAQ SIMO opened at $51.74 on Tuesday. The company has a market cap of $1.74 billion, a P/E ratio of 19.60, a P/E/G ratio of 1.47 and a beta of 0.84. Silicon Motion Technology has a 12 month low of $51.00 and a 12 month high of $85.87. The company has a 50-day moving average of $57.54 and a 200-day moving average of $68.49.

Silicon Motion Technology (NASDAQ:SIMO) last issued its earnings results on Wednesday, October 30th. The semiconductor producer reported $0.92 earnings per share for the quarter, beating analysts’ consensus estimates of $0.85 by $0.07. The firm had revenue of $212.40 million for the quarter, compared to analysts’ expectations of $209.49 million. Silicon Motion Technology had a return on equity of 11.52% and a net margin of 10.90%. The firm’s revenue for the quarter was up 23.3% compared to the same quarter last year. During the same quarter last year, the firm earned $0.32 earnings per share. As a group, equities research analysts anticipate that Silicon Motion Technology will post 2.59 EPS for the current year.

Analyst Upgrades and Downgrades

A number of analysts recently issued reports on SIMO shares. B. Riley dropped their target price on shares of Silicon Motion Technology from $112.00 to $95.00 and set a “buy” rating for the company in a research report on Monday, August 5th. Bank of America lowered shares of Silicon Motion Technology from a “buy” rating to an “underperform” rating and reduced their target price for the company from $90.00 to $60.00 in a report on Friday, August 16th. Needham & Company LLC cut their price objective on Silicon Motion Technology from $94.00 to $75.00 and set a “buy” rating on the stock in a research report on Friday, November 1st. Morgan Stanley reduced their price objective on Silicon Motion Technology from $78.00 to $65.00 and set an “overweight” rating on the stock in a research note on Monday, September 16th. Finally, Craig Hallum lowered their target price on Silicon Motion Technology from $96.00 to $90.00 and set a “buy” rating for the company in a research note on Thursday, October 31st. One equities research analyst has rated the stock with a sell rating, one has given a hold rating and eight have issued a buy rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $81.67.

About Silicon Motion Technology

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.