Semtech (NASDAQ:SMTC) Hits New 1-Year High Following Better-Than-Expected Earnings

Shares of Semtech Co. (NASDAQ:SMTC) hit a new 52-week high on Monday following a better than expected earnings announcement. The stock traded as high as $53.45 and last traded at $52.98, with a volume of 485160 shares traded. The stock had previously closed at $50.89.

The semiconductor company reported $0.26 earnings per share for the quarter, beating analysts’ consensus estimates of $0.23 by $0.03. Semtech had a negative return on equity of 154.99% and a negative net margin of 107.21%. The business had revenue of $236.80 million for the quarter, compared to the consensus estimate of $232.89 million. During the same quarter in the previous year, the company posted $0.02 earnings per share. Semtech’s revenue for the quarter was up 17.9% compared to the same quarter last year.

Analysts Set New Price Targets

Several research analysts have weighed in on the stock. Needham & Company LLC reiterated a “buy” rating and issued a $50.00 price objective on shares of Semtech in a research note on Wednesday, August 28th. Benchmark reiterated a “buy” rating and set a $56.00 price objective on shares of Semtech in a report on Monday, October 7th. Summit Insights downgraded Semtech from a “buy” rating to a “hold” rating in a research note on Wednesday, August 28th. Roth Mkm raised their price target on Semtech from $50.00 to $60.00 and gave the stock a “buy” rating in a research note on Monday. Finally, Susquehanna boosted their price target on Semtech from $55.00 to $60.00 and gave the company a “positive” rating in a research note on Thursday. Three analysts have rated the stock with a hold rating and ten have given a buy rating to the company’s stock. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $54.10.

Hedge Funds Weigh In On Semtech

Several large investors have recently made changes to their positions in the business. Disciplined Growth Investors Inc. MN increased its stake in Semtech by 343.3% during the second quarter. Disciplined Growth Investors Inc. MN now owns 2,494,985 shares of the semiconductor company’s stock valued at $74,550,000 after acquiring an additional 1,932,116 shares during the period. Driehaus Capital Management LLC acquired a new stake in shares of Semtech in the 2nd quarter valued at $43,395,000. Millennium Management LLC increased its position in shares of Semtech by 26.6% during the 2nd quarter. Millennium Management LLC now owns 3,646,449 shares of the semiconductor company’s stock worth $108,956,000 after purchasing an additional 765,877 shares in the last quarter. Whale Rock Capital Management LLC bought a new position in Semtech during the 3rd quarter valued at about $32,126,000. Finally, Clearline Capital LP boosted its position in Semtech by 143.1% in the second quarter. Clearline Capital LP now owns 899,021 shares of the semiconductor company’s stock valued at $26,863,000 after buying an additional 529,194 shares in the last quarter.

Semtech Price Performance

The company’s 50 day simple moving average is $45.56 and its two-hundred day simple moving average is $38.86. The stock has a market capitalization of $4.02 billion, a P/E ratio of -3.90 and a beta of 1.54.

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.