Semtech Price Target Increased to $74.00

Semtech Corporation (NASDAQ:SMTC) has received a notable boost in its price target from Needham & Company LLC, who raised their target from $70.00 to $74.00 in a report published on Thursday. The analysts at Needham also reaffirmed their "buy" rating on the semiconductor company’s stock. This new price target indicates a potential upside of approximately 15.43% from Semtech's current stock price.

Recent Analysts' Ratings

Several other research firms have also evaluated Semtech shares recently. For instance, Stifel Nicolaus adjusted their target price for Semtech from $58.00 to $65.00 while maintaining a "buy" recommendation in a report issued on November 26th. Furthermore, Northland Securities increased their price target for Semtech from $60.00 to $66.00, rating the company as "outperform" in a separate note on the same day. In addition, Piper Sandler upgraded their rating to "overweight" and set a target price of $75.00, up from a previous estimate of $60.00.

Susquehanna, on November 21st, also raised their price target from $55.00 to $60.00, giving Semtech a "positive" rating. Lastly, B. Riley increased their price objective significantly from $61.00 to $85.00, confirming a "buy" rating in their report released on November 26th. Overall, the investment community has shown interest in Semtech, with three analysts rating it as a hold while ten have issued buy ratings. Current data from MarketBeat indicates a consensus rating of "Moderate Buy" and an average price target of $68.70.

Semtech's Stock Performance

As of Thursday, Semtech's stock opened at $64.11. Over the last year, the shares have fluctuated, reaching a low of $18.16 and a high of $70.27. The company's 50-day moving average is $50.53, while the 200-day moving average is $41.06. Semtech boasts a market capitalization of approximately $4.85 billion with a price-to-earnings ratio of -4.91 and a beta of 1.65.

Recent Earnings Report

On November 25th, Semtech published its quarterly earnings report, revealing earnings per share of $0.26, which surpassed analysts’ expectations of $0.23 by $0.03. The company posted revenue of $236.80 million for the quarter, which was also better than the anticipated $232.89 million. Despite having a negative return on equity of 154.99% and a net margin of 99.08%, Semtech's revenue for the quarter represented a year-over-year increase of 17.9%. This is a significant improvement compared to the same quarter last year when the company earned only $0.02 EPS. Analysts predict that Semtech will report an EPS of -0.02 for the current fiscal year.

Institutional Trading Activity

In recent trading sessions, many large investors have adjusted their holdings in Semtech. For example, Huntington National Bank significantly increased its stake by 105.2% in the third quarter, now owning 589 shares of Semtech worth $27,000 after acquiring an additional 302 shares. Ridgewood Investments LLC also took a new position in Semtech worth about $44,000 during the second quarter. Additionally, Canada Pension Plan Investment Board acquired a new stake valued at approximately $60,000 in the same quarter. Other notable trades include NBC Securities Inc., which raised its holdings by 115.8% and Quarry LP acquiring a new stake valued at approximately $63,000.

About Semtech Corporation

Semtech Corporation is known for its design, development, and manufacture of analog and mixed-signal semiconductors, along with advanced algorithms. The company provides a wide range of products including signal integrity solutions, optical data communications, video transport, and integrated circuits for various applications including data centers, enterprise networks, and wireless base stations.

Semtech, Stock, Investment