Semtech (NASDAQ:SMTC) Rating Increased to Strong-Buy at BMO Capital Markets

BMO Capital Markets upgraded shares of Semtech (NASDAQ:SMTC) to a strong-buy rating in a report published on Thursday,Zacks.com reports.

Other equities analysts also recently issued research reports about the company. Benchmark reiterated a “buy” rating on shares of Semtech in a research report on Thursday. Zacks Research upgraded Semtech from a “hold” rating to a “strong-buy” rating in a report on Monday, June 29th. TD Cowen raised their target price on Semtech from $210.00 to $215.00 and gave the stock a “buy” rating in a research note on Monday, June 22nd. Susquehanna lifted their price target on Semtech from $170.00 to $200.00 and gave the stock a “positive” rating in a report on Wednesday, May 27th. Finally, Robert W. Baird boosted their price target on shares of Semtech from $110.00 to $225.00 and gave the company an “outperform” rating in a research report on Wednesday, May 27th. Two investment analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating, three have given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $189.47.

Semtech Stock Down 0.6%

Shares of NASDAQ SMTC opened at $124.09 on Thursday. The stock has a market cap of $11.56 billion, a PE ratio of -318.18 and a beta of 2.35. The company has a current ratio of 2.37, a quick ratio of 1.62 and a debt-to-equity ratio of 0.86. Semtech has a 12-month low of $49.04 and a 12-month high of $177.35. The company has a 50-day moving average of $137.87 and a 200 day moving average of $117.45.

Semtech (NASDAQ:SMTC) last released its earnings results 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 negative net margin of 3.05% and a positive return on equity of 18.31%. The business’s revenue was up 15.9% on a year-over-year basis. During the same period last year, the company posted $0.38 EPS. Semtech has set its Q2 2027 guidance at 0.590-0.630 EPS. As a group, sell-side analysts predict that Semtech will post 1.81 EPS for the current fiscal year.

Insider Buying and Selling

In other news, CEO Hong Q. Hou sold 2,000 shares of the company’s stock in a transaction on Friday, July 10th. The stock was sold at an average price of $133.00, for a total value of $266,000.00. Following the transaction, the chief executive officer owned 64,799 shares of the company’s stock, valued at $8,618,267. This represents a 2.99% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Asaf Silberstein sold 8,500 shares of the stock in a transaction on 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 transaction, the chief operating officer owned 96,862 shares of the company’s stock, valued at approximately $12,378,963.60. This represents a 8.07% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 21,734 shares of company stock valued at $3,133,986. 0.44% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of SMTC. Andar Capital Management HK Ltd purchased a new stake in shares of Semtech in the 2nd quarter valued at approximately $162,000,000. BlackRock Inc. purchased a new position in shares of Semtech during the 2nd quarter worth approximately $1,577,947,000. Think Investments LP purchased a new position in shares of Semtech during the 3rd quarter worth approximately $58,618,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC increased its holdings in Semtech by 396.3% in the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 842,125 shares of the semiconductor company’s stock valued at $136,298,000 after purchasing an additional 672,447 shares during the last quarter. Finally, Ameriprise Financial Inc. increased its holdings in Semtech by 10.3% in the 2nd quarter. Ameriprise Financial Inc. now owns 7,112,097 shares of the semiconductor company’s stock valued at $321,040,000 after purchasing an additional 666,456 shares during the last quarter.

About Semtech

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.