Semtech (NASDAQ:SMTC) Shares Gap Up – Here’s What Happened

Semtech Co. (NASDAQ:SMTC) gapped up before the market opened on Friday . The stock had previously closed at $68.93, but opened at $71.50. Semtech shares last traded at $73.24, with a volume of 272,885 shares changing hands.

Analysts Set New Price Targets

Several equities research analysts have weighed in on SMTC shares. Piper Sandler reaffirmed an “overweight” rating and set a $75.00 price target (up from $60.00) on shares of Semtech in a research report on Tuesday, November 26th. UBS Group initiated coverage on shares of Semtech in a report on Friday. They issued a “buy” rating and a $85.00 price objective for the company. Northland Securities lifted their price target on Semtech from $60.00 to $66.00 and gave the company an “outperform” rating in a research note on Tuesday, December 10th. Stifel Nicolaus increased their price target on Semtech from $65.00 to $75.00 and gave the stock a “buy” rating in a research report on Monday, January 6th. Finally, Benchmark boosted their price objective on Semtech from $56.00 to $82.00 and gave the company a “buy” rating in a research report on Tuesday, November 26th. Three investment analysts have rated the stock with a hold rating and eleven have issued a buy rating to the company. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $71.09.

Semtech Stock Up 8.7 %

The stock has a 50-day moving average of $61.24 and a 200 day moving average of $46.76. The stock has a market cap of $5.67 billion, a PE ratio of -5.74 and a beta of 1.65.

Semtech (NASDAQ:SMTC) last posted its quarterly earnings results on Monday, November 25th. The semiconductor company reported $0.26 earnings per share for the quarter, beating the consensus estimate of $0.23 by $0.03. The business had revenue of $236.80 million during the quarter, compared to analysts’ expectations of $232.89 million. Semtech had a negative net margin of 99.08% and a negative return on equity of 154.99%. The business’s revenue for the quarter was up 17.9% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.02 EPS.

Insider Buying and Selling at Semtech

In other news, SVP Imran Sherazi sold 2,946 shares of Semtech stock in a transaction dated Thursday, December 19th. The stock was sold at an average price of $63.30, for a total value of $186,481.80. Following the completion of the transaction, the senior vice president now owns 6,317 shares in the company, valued at approximately $399,866.10. This trade represents a 31.80 % decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CFO Mark Lin sold 6,114 shares of the firm’s stock in a transaction that occurred on Tuesday, December 17th. The shares were sold at an average price of $65.74, for a total transaction of $401,934.36. Following the completion of the sale, the chief financial officer now directly owns 3,531 shares in the company, valued at approximately $232,127.94. This trade represents a 63.39 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 10,419 shares of company stock valued at $676,955 over the last quarter. 0.60% of the stock is owned by company insiders.

Institutional Investors Weigh In On Semtech

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Millennium Management LLC grew its stake in shares of Semtech by 26.6% during the second 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. Disciplined Growth Investors Inc. MN boosted its position in shares of Semtech by 4.6% during the 3rd quarter. Disciplined Growth Investors Inc. MN now owns 2,609,984 shares of the semiconductor company’s stock worth $119,172,000 after acquiring an additional 114,999 shares in the last quarter. Geode Capital Management LLC increased its holdings in shares of Semtech by 8.0% in the 3rd quarter. Geode Capital Management LLC now owns 1,617,783 shares of the semiconductor company’s stock valued at $73,883,000 after acquiring an additional 119,572 shares during the last quarter. Driehaus Capital Management LLC acquired a new stake in shares of Semtech during the 2nd quarter worth about $43,395,000. Finally, Charles Schwab Investment Management Inc. boosted its holdings in Semtech by 10.5% in the third quarter. Charles Schwab Investment Management Inc. now owns 1,057,880 shares of the semiconductor company’s stock valued at $48,303,000 after purchasing an additional 100,410 shares in the last quarter.

About Semtech

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.