MaxLinear (NASDAQ:MXL) Trading Up 8.3% – Should You Buy?

MaxLinear, Inc (NASDAQ:MXL)’s stock price was up 8.3% during trading on Monday . The company traded as high as $97.53 and last traded at $96.0850. 667,406 shares were traded during trading, a decline of 78% from the average daily volume of 2,991,675 shares. The stock had previously closed at $88.76.

Wall Street Analyst Weigh In

Several equities research analysts have weighed in on the company. Susquehanna reissued a “neutral” rating and issued a $30.00 price target on shares of MaxLinear in a report on Monday, April 20th. Roth Mkm upgraded shares of MaxLinear from a “neutral” rating to a “buy” rating and set a $60.00 price objective on the stock in a report on Friday, April 24th. Loop Capital raised shares of MaxLinear from a “hold” rating to a “buy” rating and increased their price objective for the company from $17.00 to $75.00 in a research report on Wednesday, April 29th. Benchmark initiated coverage on shares of MaxLinear in a research note on Wednesday, May 27th. They issued a “buy” rating and a $125.00 target price for the company. Finally, Needham & Company LLC raised shares of MaxLinear from a “hold” rating to a “buy” rating and set a $60.00 target price on the stock in a research report on Friday, April 24th. Five analysts have rated the stock with a Buy rating, four have given a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, MaxLinear presently has an average rating of “Hold” and a consensus price target of $65.00.

MaxLinear Price Performance

The company has a quick ratio of 1.12, a current ratio of 1.70 and a debt-to-equity ratio of 0.27. The stock’s 50 day moving average price is $75.47 and its two-hundred day moving average price is $38.28. The stock has a market cap of $7.98 billion, a price-to-earnings ratio of -58.61 and a beta of 3.98.

MaxLinear (NASDAQ:MXL) last posted its earnings results on Thursday, April 23rd. The semiconductor company reported $0.22 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.18 by $0.04. The company had revenue of $137.19 million during the quarter, compared to the consensus estimate of $137.15 million. MaxLinear had a negative net margin of 25.96% and a negative return on equity of 2.33%. The firm’s quarterly revenue was up 43.0% on a year-over-year basis. During the same period in the previous year, the firm posted ($0.05) earnings per share. Equities research analysts forecast that MaxLinear, Inc will post 0.52 EPS for the current fiscal year.

Insider Activity

In related news, insider Connie H. Kwong sold 35,000 shares of the firm’s stock in a transaction dated Friday, May 8th. The stock was sold at an average price of $96.96, for a total transaction of $3,393,600.00. Following the sale, the insider directly owned 13,947 shares of the company’s stock, valued at $1,352,301.12. This trade represents a 71.51% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Thomas E. Pardun sold 11,000 shares of MaxLinear stock in a transaction that occurred on Tuesday, May 26th. The shares were sold at an average price of $105.00, for a total value of $1,155,000.00. Following the transaction, the director owned 55,252 shares of the company’s stock, valued at approximately $5,801,460. This represents a 16.60% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders sold 65,168 shares of company stock valued at $5,559,358. Insiders own 7.70% of the company’s stock.

Institutional Investors Weigh In On MaxLinear

Several hedge funds have recently bought and sold shares of the stock. Vanguard Group Inc. increased its holdings in shares of MaxLinear by 4.8% during the 4th quarter. Vanguard Group Inc. now owns 13,326,387 shares of the semiconductor company’s stock valued at $232,279,000 after purchasing an additional 605,903 shares in the last quarter. The Manufacturers Life Insurance Company boosted its holdings in MaxLinear by 27.8% during the second quarter. The Manufacturers Life Insurance Company now owns 2,889,111 shares of the semiconductor company’s stock worth $41,054,000 after buying an additional 628,719 shares in the last quarter. Invesco Ltd. grew its position in MaxLinear by 419.9% during the fourth quarter. Invesco Ltd. now owns 2,149,589 shares of the semiconductor company’s stock valued at $37,467,000 after buying an additional 1,736,141 shares during the period. Geode Capital Management LLC grew its position in MaxLinear by 1.4% during the fourth quarter. Geode Capital Management LLC now owns 2,038,144 shares of the semiconductor company’s stock valued at $35,531,000 after buying an additional 28,548 shares during the period. Finally, Marshall Wace LLP increased its holdings in MaxLinear by 31.8% in the third quarter. Marshall Wace LLP now owns 1,826,259 shares of the semiconductor company’s stock valued at $29,366,000 after buying an additional 441,088 shares in the last quarter. Hedge funds and other institutional investors own 90.79% of the company’s stock.

MaxLinear Company Profile

MaxLinear, Inc is a provider of radio-frequency (RF), analog, and mixed-signal integrated circuits for broadband communications, data center connectivity, and video infrastructure applications. The company’s product portfolio includes high-performance RF front-end modules, broadband power amplifiers, optical and Ethernet transceivers, and network processors designed to support demanding signal processing requirements.

MaxLinear’s semiconductor solutions are used by cable and satellite television operators, fiber-to-the-home service providers, network equipment manufacturers, and data center operators.