Semtech Co. COO Sells Shares of Stock

On January 15th, Semtech Co. (NASDAQ:SMTC) announced that its Chief Operating Officer, Asaf Silberstein, sold 2,000 shares of the company’s stock. The sale occurred at an average price of $70.00 per share, amounting to a total transaction value of $140,000. Following this sale, Silberstein now holds a total of 76,417 shares in Semtech, which are valued at approximately $5,349,190. This transaction resulted in a 2.55% reduction in his ownership stake in the company. The details of this transaction were made public through a filing submitted to the Securities and Exchange Commission (SEC).

Recent Performance of Semtech Stock

In recent trading, Semtech’s stock performed well, increasing by $6.07 during midday trading on a Friday to reach $75.00. In total, 2,810,638 shares were traded, significantly higher than the average volume of 1,844,980 shares. The company's fifty-day moving average stands at $61.24, while the two-hundred-day moving average is at $46.76. The stock has experienced a 12-month low of $18.72 and a high of $75.75. Currently, Semtech boasts a market capitalization of $5.68 billion and a price-to-earnings ratio of -5.75, with a beta value of 1.65.

Financial Results

Semtech released its earnings results on November 25th, reporting an earnings per share (EPS) of $0.26 for the quarter, which surpassed the analysts’ expectations of $0.23 by a margin of $0.03. The company's return on equity is currently -154.99%, and it has a negative net margin of -99.08%. Semtech's revenue for this quarter was reported at $236.80 million, exceeding the anticipated $232.89 million by analysts. This represented a 17.9% increase compared to the same quarter from the previous year, during which the company earned an EPS of $0.02.

Institutional Interest in Semtech

Several institutional investors have recently adjusted their positions in Semtech. Disciplined Growth Investors Inc. MN increased its holding of Semtech shares by 343.3% in the second quarter, accumulating a total of 2,494,985 shares valued at $74,550,000 after acquiring an additional 1,932,116 shares. Meanwhile, Driehaus Capital Management LLC initiated a new position in Semtech worth $43,395,000 during the same quarter. Additionally, Millennium Management LLC raised its stake in Semtech by 26.6%, adding 765,877 shares for a total of 3,646,449 shares worth $108,956,000. Whale Rock Capital Management LLC also bought a new stake valued at approximately $32,126,000 in the third quarter, while Clearline Capital LP increased its holdings by 143.1%, owning 899,021 shares after a purchase of 529,194 shares during the period.

Analyst Ratings

Semtech has been the focus of several analysts who have updated their ratings. Benchmark Research upgraded Semtech’s price target from $56.00 to $82.00 and assigned a "buy" rating in their report from November 26th. B. Riley raised their price objective from $61.00 to $85.00 while also giving the stock a "buy" rating. Susquehanna increased their target price from $55.00 to $60.00 and rated the stock "positive". Piper Sandler reiterated an "overweight" rating with a price target raised to $75.00 from the previous $60.00. Craig Hallum also increased their target price from $48.00 to $70.00 with a "buy" rating. Overall, three analysts have a hold rating while eleven analysts are positive about Semtech, according to recent data from MarketBeat, which reflects a consensus rating of "Moderate Buy" with an average price target of $71.09.

About Semtech

Semtech Corporation designs, develops, and markets analog and mixed-signal semiconductors, along with advanced algorithms. Their product range includes signal integrity solutions, optical data communication devices, video transport products, integrated circuits for data centers and networks, and video products for both broadcasting and professional audio-visual applications.

Semtech, Shares, COO