Semtech (NASDAQ:SMTC) Shares Down 7% – Time to Sell?

Semtech Corporation (NASDAQ:SMTC) traded down 7% during trading on Monday . The company traded as low as $118.78 and last traded at $117.1260. Approximately 324,640 shares were traded during mid-day trading, a decline of 88% from the average session volume of 2,692,834 shares. The stock had previously closed at $125.92.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on the stock. Benchmark increased their target price on shares of Semtech from $120.00 to $230.00 and gave the stock a “buy” rating in a research note on Wednesday, May 27th. Morgan Stanley lifted their target price on shares of Semtech from $155.00 to $175.00 and gave the company an “equal weight” rating in a report on Wednesday, May 27th. Mizuho set a $225.00 target price on Semtech in a research report on Wednesday, May 27th. Northland Securities lowered Semtech from an “outperform” rating to a “market perform” rating in a research report on Tuesday, May 26th. Finally, Robert W. Baird boosted their price objective on Semtech from $110.00 to $225.00 and gave the company an “outperform” rating in a report on Wednesday, May 27th. One analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating, three have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average price target of $189.07.

Semtech Stock Down 8.4%

The company has a quick ratio of 1.62, a current ratio of 2.37 and a debt-to-equity ratio of 0.86. The stock has a market cap of $10.37 billion, a price-to-earnings ratio of -285.38 and a beta of 2.31. The business’s fifty day moving average is $148.34 and its two-hundred day moving average is $111.33.

Semtech (NASDAQ:SMTC) last posted its quarterly earnings data on Tuesday, May 26th. The semiconductor company reported $0.51 earnings per share for the quarter, topping analysts’ consensus estimates of $0.45 by $0.06. The business had revenue of $291.02 million for the quarter, compared to analyst estimates of $283.53 million. Semtech had a positive return on equity of 18.31% and a negative net margin of 3.05%.The company’s revenue was up 15.9% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.38 earnings per share. Semtech has set its Q2 2027 guidance at 0.590-0.630 EPS. Equities analysts forecast that Semtech Corporation will post 1.81 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, COO Asaf Silberstein sold 8,500 shares of Semtech stock in a transaction dated Wednesday, July 8th. The stock was sold at an average price of $127.80, for a total value of $1,086,300.00. Following the completion of the transaction, the chief operating officer owned 96,862 shares in the company, valued at approximately $12,378,963.60. This trade represents a 8.07% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Paul V. Walsh, Jr. sold 500 shares of the business’s stock in a transaction dated Wednesday, June 24th. The stock was sold at an average price of $164.99, for a total value of $82,495.00. Following the transaction, the director directly owned 28,100 shares of the company’s stock, valued at approximately $4,636,219. This represents a 1.75% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 22,234 shares of company stock worth $3,203,091 over the last ninety days. Company insiders own 0.44% of the company’s stock.

Institutional Investors Weigh In On Semtech

A number of large investors have recently modified their holdings of the company. Think Investments LP purchased a new stake in shares of Semtech during the 3rd quarter worth $58,618,000. Ameriprise Financial Inc. increased its holdings in Semtech by 10.3% in the second quarter. Ameriprise Financial Inc. now owns 7,112,097 shares of the semiconductor company’s stock valued at $321,040,000 after buying an additional 666,456 shares during the last quarter. Atreides Management LP acquired a new stake in Semtech in the second quarter valued at $29,880,000. Assenagon Asset Management S.A. lifted its holdings in Semtech by 323.0% during the 1st quarter. Assenagon Asset Management S.A. now owns 781,003 shares of the semiconductor company’s stock worth $60,051,000 after buying an additional 596,373 shares during the last quarter. Finally, Capital International Investors acquired a new position in shares of Semtech during the 4th quarter worth about $39,593,000.

Semtech Company Profile

Semtech Corporation is a leading supplier of high-performance analog and mixed-signal semiconductors and advanced algorithms. The company’s products address a broad range of applications in the Internet of Things (IoT), data center and telecom, industrial, home automation, automotive, and aerospace markets. Semtech’s portfolio includes power management, signal integrity, protection devices, wireless and sensing technologies that enable smarter, more connected systems worldwide.

A core offering from Semtech is its LoRa® technology, a low-power, long-range wireless communication platform that has become a de facto standard for global IoT deployments.