Semtech (NASDAQ:SMTC) Trading 9.6% Higher – Still a Buy?

Semtech Co. (NASDAQ:SMTC) shares shot up 9.6% on Thursday . The stock traded as high as $66.89 and last traded at $66.10. 404,557 shares were traded during mid-day trading, a decline of 79% from the average session volume of 1,903,760 shares. The stock had previously closed at $60.30.

Analyst Ratings Changes

SMTC has been the subject of a number of recent analyst reports. Needham & Company LLC lifted their price target on shares of Semtech from $70.00 to $74.00 and gave the stock a “buy” rating in a research note on Thursday, December 12th. Susquehanna boosted their target price on Semtech from $55.00 to $60.00 and gave the company a “positive” rating in a research report on Thursday, November 21st. Stifel Nicolaus raised their price target on Semtech from $65.00 to $75.00 and gave the stock a “buy” rating in a research note on Monday, January 6th. B. Riley lifted their price objective on shares of Semtech from $61.00 to $85.00 and gave the company a “buy” rating in a report on Tuesday, November 26th. Finally, Northland Securities increased their price target on Semtech from $60.00 to $66.00 and gave the stock an “outperform” rating in a research report on Tuesday, December 10th. Three equities research analysts have rated the stock with a hold rating and eleven have assigned a buy rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $71.09.

Semtech Trading Up 11.1 %

The stock has a market capitalization of $5.07 billion, a PE ratio of -5.16 and a beta of 1.65. The company’s 50-day moving average is $65.15 and its 200 day moving average is $49.14.

Semtech (NASDAQ:SMTC) last announced its quarterly earnings data on Monday, November 25th. The semiconductor company reported $0.26 earnings per share for the quarter, beating analysts’ consensus estimates of $0.23 by $0.03. Semtech had a negative net margin of 99.08% and a negative return on equity of 154.99%. The firm had revenue of $236.80 million for the quarter, compared to analyst estimates of $232.89 million. During the same period in the previous year, the company earned $0.02 earnings per share. The business’s quarterly revenue was up 17.9% compared to the same quarter last year.

Insider Buying and Selling

In other Semtech news, COO Asaf Silberstein sold 2,000 shares of the company’s stock in a transaction that occurred on Wednesday, January 15th. The stock was sold at an average price of $70.00, for a total value of $140,000.00. Following the sale, the chief operating officer now owns 76,417 shares in the company, valued at approximately $5,349,190. This represents a 2.55 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. Also, SVP Imran Sherazi sold 1,338 shares of Semtech stock in a transaction that occurred on Friday, January 17th. The shares were sold at an average price of $75.00, for a total transaction of $100,350.00. Following the transaction, the senior vice president now directly owns 14 shares of the company’s stock, valued at approximately $1,050. This trade represents a 98.96 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 13,757 shares of company stock valued at $917,305 over the last quarter. 0.60% of the stock is currently owned by company insiders.

Institutional Trading of Semtech

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Whale Rock Capital Management LLC purchased a new stake in shares of Semtech during the 3rd quarter worth about $32,126,000. Victory Capital Management Inc. boosted its position in Semtech by 130.7% during the third quarter. Victory Capital Management Inc. now owns 824,198 shares of the semiconductor company’s stock worth $37,633,000 after purchasing an additional 466,868 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its holdings in Semtech by 198.2% in the third quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 414,801 shares of the semiconductor company’s stock valued at $18,940,000 after purchasing an additional 275,717 shares during the period. WCM Investment Management LLC purchased a new stake in shares of Semtech in the fourth quarter valued at approximately $15,180,000. Finally, Wellington Management Group LLP acquired a new position in shares of Semtech during the 3rd quarter worth approximately $10,556,000.

About Semtech

Semtech Corporation designs, develops, manufactures, and markets analog and mixed-signal semiconductor and advanced algorithms. It provides signal integrity products, including a portfolio of optical data communications and video transport products used in various infrastructure, and industrial applications; a portfolio of integrated circuits for data centers, enterprise networks, passive optical networks, wireless base station optical transceivers, and high-speed interface applications; and video products for broadcast applications, as well as video-over-IP technology for professional audio video applications.