Semtech (NASDAQ:SMTC) Announces Earnings Results, Beats Expectations By $0.09 EPS

Semtech (NASDAQ:SMTC) announced its earnings results on Wednesday. The semiconductor company reported $0.11 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.02 by $0.09, MarketWatch Earnings reports. Semtech had a positive return on equity of 2.56% and a negative net margin of 53.62%. The business had revenue of $238.37 million for the quarter, compared to analyst estimates of $237.37 million. During the same quarter last year, the firm earned $0.71 EPS. Semtech’s revenue for the quarter was up 13.9% compared to the same quarter last year. Semtech updated its Q3 guidance to $(0.22)-(0.09) EPS and its Q3 2024 guidance to -$0.22–$0.09 EPS.

Semtech Price Performance

Shares of SMTC stock opened at $25.18 on Friday. The company has a quick ratio of 1.46, a current ratio of 2.14 and a debt-to-equity ratio of 1.82. Semtech has a twelve month low of $17.82 and a twelve month high of $35.18. The company has a market cap of $1.61 billion, a P/E ratio of -3.67 and a beta of 1.70. The business has a fifty day simple moving average of $26.48 and a 200 day simple moving average of $24.92.

Institutional Trading of Semtech

Several institutional investors and hedge funds have recently modified their holdings of the business. Ethic Inc. raised its position in Semtech by 7.6% in the first quarter. Ethic Inc. now owns 4,548 shares of the semiconductor company’s stock valued at $315,000 after purchasing an additional 320 shares during the last quarter. Zebra Capital Management LLC raised its position in Semtech by 10.5% in the first quarter. Zebra Capital Management LLC now owns 3,456 shares of the semiconductor company’s stock valued at $240,000 after purchasing an additional 327 shares during the last quarter. Credit Suisse AG raised its position in Semtech by 0.6% in the fourth quarter. Credit Suisse AG now owns 61,814 shares of the semiconductor company’s stock valued at $1,773,000 after purchasing an additional 347 shares during the last quarter. Bridgefront Capital LLC raised its position in Semtech by 14.7% in the first quarter. Bridgefront Capital LLC now owns 2,944 shares of the semiconductor company’s stock valued at $204,000 after purchasing an additional 377 shares during the last quarter. Finally, The Manufacturers Life Insurance Company raised its position in Semtech by 1.6% in the second quarter. The Manufacturers Life Insurance Company now owns 25,914 shares of the semiconductor company’s stock valued at $660,000 after purchasing an additional 399 shares during the last quarter.

Wall Street Analyst Weigh In

SMTC has been the topic of a number of analyst reports. TheStreet upgraded Semtech from a “d+” rating to a “c-” rating in a research note on Monday, July 31st. Susquehanna upgraded Semtech from a “neutral” rating to a “positive” rating and set a $30.00 price objective on the stock in a research note on Thursday. Needham & Company LLC reiterated a “buy” rating and set a $35.00 price objective on shares of Semtech in a research note on Thursday. Craig Hallum decreased their target price on Semtech from $35.00 to $30.00 and set a “buy” rating on the stock in a report on Thursday. Finally, StockNews.com initiated coverage on Semtech in a report on Thursday, August 17th. They set a “sell” rating on the stock. One analyst has rated the stock with a sell rating, one has issued a hold rating and ten have given a buy rating to the company. According to MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $35.85.

Semtech Company Profile

Semtech Corporation designs, develops, manufactures, and markets analog and mixed-signal semiconductor products 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.