Silicon Motion Technology (NASDAQ:SIMO) Hits New 1-Year Low – Should You Sell?

Silicon Motion Technology Co. (NASDAQ:SIMO)’s stock price reached a new 52-week low on Tuesday . The company traded as low as $48.81 and last traded at $49.98, with a volume of 352481 shares. The stock had previously closed at $51.90.

Analyst Ratings Changes

SIMO has been the subject of a number of research reports. Craig Hallum decreased their target price on shares of Silicon Motion Technology from $96.00 to $90.00 and set a “buy” rating for the company in a research report on Thursday, October 31st. Wedbush reissued an “outperform” rating and issued a $90.00 price objective on shares of Silicon Motion Technology in a report on Monday, December 23rd. Needham & Company LLC dropped their target price on Silicon Motion Technology from $94.00 to $75.00 and set a “buy” rating on the stock in a report on Friday, November 1st. Susquehanna decreased their price target on Silicon Motion Technology from $110.00 to $95.00 and set a “positive” rating for the company in a report on Friday, November 1st. Finally, Roth Mkm cut their target price on shares of Silicon Motion Technology from $90.00 to $80.00 and set a “buy” rating for the company in a report on Tuesday, October 8th. One equities research analyst has rated the stock with a sell rating and nine have given a buy rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average price target of $81.67.

Silicon Motion Technology Stock Up 1.3 %

The firm has a market capitalization of $1.72 billion, a price-to-earnings ratio of 19.38, a PEG ratio of 1.26 and a beta of 0.80. The stock’s 50-day moving average price is $54.64 and its 200 day moving average price is $60.42.

Silicon Motion Technology (NASDAQ:SIMO) last issued its earnings results on Wednesday, October 30th. The semiconductor producer reported $0.92 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.85 by $0.07. The company had revenue of $212.40 million during the quarter, compared to analysts’ expectations of $209.49 million. Silicon Motion Technology had a return on equity of 11.52% and a net margin of 10.90%. The firm’s quarterly revenue was up 23.3% on a year-over-year basis. During the same period in the prior year, the business earned $0.32 EPS. On average, sell-side analysts anticipate that Silicon Motion Technology Co. will post 2.58 earnings per share for the current year.

Silicon Motion Technology Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, February 27th. Stockholders of record on Thursday, February 13th will be issued a $0.50 dividend. The ex-dividend date of this dividend is Thursday, February 13th. This represents a $2.00 annualized dividend and a dividend yield of 3.91%. Silicon Motion Technology’s dividend payout ratio is currently 75.38%.

Institutional Trading of Silicon Motion Technology

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Advisors Asset Management Inc. boosted its position in Silicon Motion Technology by 129.4% in the 3rd quarter. Advisors Asset Management Inc. now owns 445 shares of the semiconductor producer’s stock valued at $27,000 after buying an additional 251 shares during the period. GAMMA Investing LLC raised its stake in Silicon Motion Technology by 123.2% in the fourth quarter. GAMMA Investing LLC now owns 877 shares of the semiconductor producer’s stock valued at $47,000 after buying an additional 484 shares in the last quarter. Blue Trust Inc. increased its holdings in shares of Silicon Motion Technology by 139.5% in the 3rd quarter. Blue Trust Inc. now owns 1,365 shares of the semiconductor producer’s stock valued at $83,000 after acquiring an additional 795 shares during the last quarter. Van ECK Associates Corp acquired a new stake in shares of Silicon Motion Technology during the 3rd quarter worth about $151,000. Finally, XTX Topco Ltd purchased a new stake in Silicon Motion Technology during the second quarter worth approximately $220,000. Hedge funds and other institutional investors own 78.02% of the company’s stock.

Silicon Motion Technology Company Profile

Silicon Motion Technology Corporation, together with its subsidiaries, designs, develops, and markets NAND flash controllers for solid-state storage devices. The company offers controllers for computing-grade solid state drives (SSDs), which are used in PCs and other client devices; enterprise-grade SSDs used in data centers; eMMC and UFS mobile embedded storage for use in smartphones and IoT devices; flash memory cards and flash drives for use in expandable storage; and specialized SSDs that are used in industrial, commercial, and automotive applications.