Semtech (NASDAQ:SMTC) Trading Down 7.9% – Time to Sell?

Semtech Co. (NASDAQ:SMTC)’s stock price dropped 7.9% during trading on Friday . The stock traded as low as $43.48 and last traded at $43.58. Approximately 934,777 shares changed hands during trading, a decline of 48% from the average daily volume of 1,811,163 shares. The stock had previously closed at $47.33.

Wall Street Analysts Forecast Growth

A number of equities analysts have commented on SMTC shares. Stifel Nicolaus upped their price objective on shares of Semtech from $45.00 to $50.00 and gave the stock a “buy” rating in a research report on Wednesday, August 28th. Benchmark reissued a “buy” rating and set a $56.00 price target on shares of Semtech in a research report on Monday, October 7th. B. Riley increased their price objective on shares of Semtech from $58.00 to $61.00 and gave the stock a “buy” rating in a research report on Wednesday, August 28th. Needham & Company LLC reaffirmed a “buy” rating and set a $50.00 price target on shares of Semtech in a research report on Wednesday, August 28th. Finally, Roth Mkm reaffirmed a “buy” rating and issued a $50.00 target price on shares of Semtech in a research report on Wednesday, August 28th. Three equities research analysts have rated the stock with a hold rating and ten have issued a buy rating to the stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $52.60.

Semtech Stock Performance

The stock’s fifty day simple moving average is $44.63 and its two-hundred day simple moving average is $38.47. The company has a market capitalization of $3.30 billion, a price-to-earnings ratio of -3.21 and a beta of 1.54.

Semtech (NASDAQ:SMTC) last issued its earnings results on Tuesday, August 27th. The semiconductor company reported $0.11 earnings per share for the quarter, topping analysts’ consensus estimates of $0.10 by $0.01. The firm had revenue of $215.40 million during the quarter, compared to analysts’ expectations of $212.30 million. Semtech had a negative net margin of 107.21% and a negative return on equity of 154.99%. The firm’s revenue for the quarter was down 9.6% compared to the same quarter last year. During the same period last year, the firm posted ($0.06) earnings per share. On average, equities analysts anticipate that Semtech Co. will post -0.07 EPS for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the stock. Huntington National Bank raised its position in shares of Semtech by 105.2% during the third quarter. Huntington National Bank now owns 589 shares of the semiconductor company’s stock valued at $27,000 after buying an additional 302 shares during the last quarter. Ridgewood Investments LLC acquired a new position in Semtech in the second quarter valued at about $44,000. Canada Pension Plan Investment Board acquired a new stake in shares of Semtech in the second quarter valued at $60,000. NBC Securities Inc. increased its holdings in shares of Semtech by 115.8% in the third quarter. NBC Securities Inc. now owns 1,377 shares of the semiconductor company’s stock valued at $62,000 after purchasing an additional 739 shares in the last quarter. Finally, Quarry LP bought a new position in Semtech in the second quarter valued at about $63,000.

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.