MACOM Technology Solutions (NASDAQ:MTSI) Stock Jumps 12.5% – What’s Next?

MACOM Technology Solutions Holdings, Inc. (NASDAQ:MTSI) shares were up 12.5% during trading on Wednesday. The company traded as high as $256.66 and last traded at $254.7580. Approximately 663,579 shares traded hands during trading, a decline of 56% from the average daily volume of 1,501,949 shares. The stock had previously closed at $226.48.

Wall Street Analysts Forecast Growth

A number of brokerages recently commented on MTSI. Stifel Nicolaus set a $360.00 price objective on shares of MACOM Technology Solutions in a research note on Thursday, November 5th. Benchmark began coverage on shares of MACOM Technology Solutions in a research report on Thursday, August 13th. They set a “buy” rating and a $375.00 target price for the company. Zacks Research raised shares of MACOM Technology Solutions from a “hold” rating to a “strong-buy” rating in a report on Monday, August 24th. Susquehanna lowered their price target on shares of MACOM Technology Solutions from $300.00 to $220.00 and set a “neutral” rating on the stock in a research report on Thursday, November 5th. Finally, Weiss Ratings cut shares of MACOM Technology Solutions from a “hold (c+)” rating to a “hold (c)” rating in a research note on Friday, August 21st. Two analysts have rated the stock with a Strong Buy rating, ten have assigned a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat.com, MACOM Technology Solutions presently has an average rating of “Moderate Buy” and an average target price of $316.25.

MACOM Technology Solutions Stock Performance

The company has a quick ratio of 1.99, a current ratio of 2.53 and a debt-to-equity ratio of 0.04. The company has a market cap of $19.34 billion, a PE ratio of 58.90, a P/E/G ratio of 0.84 and a beta of 1.82. The stock’s 50 day simple moving average is $269.47 and its two-hundred day simple moving average is $282.84.

MACOM Technology Solutions (NASDAQ:MTSI) last issued its earnings results on Thursday, November 5th. The semiconductor company reported $2.09 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.00 by $0.09. MACOM Technology Solutions had a return on equity of 22.46% and a net margin of 25.25%. The business had revenue of $424.82 million during the quarter, compared to analysts’ expectations of $420.35 million. During the same quarter in the previous year, the business earned $0.94 EPS. The company’s revenue for the quarter was up 62.6% on a year-over-year basis. MACOM Technology Solutions has set its Q1 2027 guidance at 2.210-2.290 EPS. As a group, research analysts anticipate that MACOM Technology Solutions Holdings, Inc. will post 7.23 earnings per share for the current year.

Insiders Place Their Bets

In related news, CFO John Kober sold 21,036 shares of the stock in a transaction dated Friday, November 6th. The stock was sold at an average price of $206.91, for a total value of $4,352,558.76. Following the completion of the transaction, the chief financial officer owned 36,553 shares of the company’s stock, valued at approximately $7,563,181.23. This represents a 36.53% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, SVP Ambra Roth sold 9,497 shares of the firm’s stock in a transaction that occurred on Monday, November 9th. The stock was sold at an average price of $226.65, for a total transaction of $2,152,495.05. Following the sale, the senior vice president directly owned 15,666 shares of the company’s stock, valued at $3,550,698.90. The trade was a 37.74% decrease in their position. 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. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 40,827 shares of company stock worth $9,629,392 in the last quarter. 0.36% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On MACOM Technology Solutions

Several institutional investors have recently made changes to their positions in the stock. Janus Henderson Group PLC increased its position in MACOM Technology Solutions by 15.5% in the first quarter. Janus Henderson Group PLC now owns 784,118 shares of the semiconductor company’s stock worth $174,109,000 after buying an additional 105,032 shares during the period. Jupiter Topco LLC acquired a new position in shares of MACOM Technology Solutions during the second quarter valued at $256,612,000. Bank of America Corp DE bought a new position in shares of MACOM Technology Solutions during the second quarter worth about $247,732,000. Bank of New York Mellon Corp bought a new position in shares of MACOM Technology Solutions during the second quarter worth about $204,593,000. Finally, Bessemer Group Inc. increased its holdings in shares of MACOM Technology Solutions by 0.5% in the 3rd quarter. Bessemer Group Inc. now owns 531,679 shares of the semiconductor company’s stock worth $151,433,000 after acquiring an additional 2,617 shares during the period. 76.14% of the stock is owned by institutional investors.

About MACOM Technology Solutions

MACOM Technology Solutions designs and supplies semiconductor products for applications that use radio frequency, microwave, millimeter-wave and optical signals. Its products include amplifiers, switches, diodes, mixers, attenuators and other components used in communications and electronic systems. The company serves customers in markets including telecommunications, data centers, aerospace and defense, and industrial applications. Its components are used in equipment such as wireless infrastructure, high-speed optical networks, radar and test systems.