Zacks Investment Research upgraded shares of Silicon Motion Technology (NASDAQ:SIMO) from a sell rating to a hold rating in a research note published on Thursday.
According to Zacks, “Silicon Motion is a leading merchant supplier of client SSD controller to module makers, including most market leaders in the U.S., Taiwan and China. The company’s collaborations with flash vendors with the aim of developing proprietary controller technology aids it to overcome existing weakness of 3D NAND and outshine peers. Further, the company expects the increase in the availability of 64 layer 3D NAND to bring down high NAND prices, which will eventually improve results. Moreover, an expanding customer base and innovative products act as tailwinds for the company’s top-line growth. Acquisitions in the past have also contributed to it’s overall growth. However, intensifying competition in the USB flash drive controller market remains a headwind. Anticipated dip in smartphones sales might prove to be a drag on the revenues.”
Other analysts have also recently issued research reports about the company. Nomura cut Silicon Motion Technology from a neutral rating to a reduce rating and set a $45.00 price objective on the stock. in a research note on Wednesday, January 10th. Summit Redstone upgraded Silicon Motion Technology from a hold rating to a buy rating in a research note on Thursday, December 7th. KeyCorp restated a buy rating and set a $54.00 price objective on shares of Silicon Motion Technology in a research note on Wednesday, February 7th. BidaskClub cut Silicon Motion Technology from a buy rating to a hold rating in a research report on Friday, February 9th. Finally, Susquehanna Bancshares reiterated a neutral rating and set a $48.00 price target (down from $60.00) on shares of Silicon Motion Technology in a research report on Tuesday, January 16th. One investment analyst has rated the stock with a sell rating, four have assigned a hold rating and twelve have assigned a buy rating to the company’s stock. The stock has a consensus rating of Buy and a consensus price target of $56.70.
Silicon Motion Technology (NASDAQ:SIMO) last announced its quarterly earnings data on Tuesday, February 6th. The semiconductor producer reported $0.27 earnings per share (EPS) for the quarter, missing the Thomson Reuters’ consensus estimate of $0.48 by ($0.21). Silicon Motion Technology had a net margin of 14.34% and a return on equity of 15.33%. The firm had revenue of $136.17 million for the quarter, compared to analyst estimates of $135.00 million. equities research analysts expect that Silicon Motion Technology will post 2.97 EPS for the current fiscal year.
The business also recently declared a quarterly dividend, which will be paid on Wednesday, August 22nd. Stockholders of record on Thursday, August 9th will be given a dividend of $0.30 per share. This represents a $1.20 dividend on an annualized basis and a dividend yield of 2.54%. The ex-dividend date of this dividend is Wednesday, August 8th. Silicon Motion Technology’s payout ratio is 47.60%.
Several institutional investors have recently made changes to their positions in the company. Wells Fargo & Company MN increased its position in Silicon Motion Technology by 236.2% in the 3rd quarter. Wells Fargo & Company MN now owns 197,230 shares of the semiconductor producer’s stock valued at $9,473,000 after acquiring an additional 138,571 shares during the period. Advisors Asset Management Inc. increased its position in Silicon Motion Technology by 12.9% in the 3rd quarter. Advisors Asset Management Inc. now owns 26,799 shares of the semiconductor producer’s stock valued at $1,287,000 after acquiring an additional 3,060 shares during the period. California Public Employees Retirement System increased its position in Silicon Motion Technology by 3.0% in the 3rd quarter. California Public Employees Retirement System now owns 69,103 shares of the semiconductor producer’s stock valued at $3,319,000 after acquiring an additional 2,003 shares during the period. Ameriprise Financial Inc. increased its position in Silicon Motion Technology by 69.2% in the 3rd quarter. Ameriprise Financial Inc. now owns 144,631 shares of the semiconductor producer’s stock valued at $6,947,000 after acquiring an additional 59,175 shares during the period. Finally, SG Americas Securities LLC increased its position in Silicon Motion Technology by 14.1% in the 4th quarter. SG Americas Securities LLC now owns 11,234 shares of the semiconductor producer’s stock valued at $595,000 after acquiring an additional 1,390 shares during the period. Institutional investors and hedge funds own 85.87% of the company’s stock.
About Silicon Motion Technology
Silicon Motion Technology Corporation is a fabless semiconductor company. The Company designs, develops and markets low-power semiconductor solutions to original equipment manufacturers (OEMs) and other customers in the mobile storage and mobile communications markets. It is engaged in developing negative-AND (NAND) flash controller integrated circuits (ICs) for solid-state storage devices and specialty radio frequency (RF) ICs for mobile devices.
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