Zacks: Analysts Expect Silicon Motion Technology Corp. (SIMO) Will Post Earnings of $0.81 Per Share

Wall Street analysts expect Silicon Motion Technology Corp. (NASDAQ:SIMO) to announce $0.81 earnings per share for the current fiscal quarter, according to Zacks. Three analysts have issued estimates for Silicon Motion Technology’s earnings, with the highest EPS estimate coming in at $0.84 and the lowest estimate coming in at $0.75. Silicon Motion Technology reported earnings per share of $0.79 during the same quarter last year, which would indicate a positive year over year growth rate of 2.5%. The company is expected to issue its next quarterly earnings report after the market closes on Tuesday, January 29th.

According to Zacks, analysts expect that Silicon Motion Technology will report full year earnings of $3.39 per share for the current fiscal year, with EPS estimates ranging from $3.33 to $3.41. For the next financial year, analysts expect that the company will post earnings of $3.43 per share, with EPS estimates ranging from $3.10 to $3.65. Zacks Investment Research’s EPS calculations are a mean average based on a survey of research analysts that cover Silicon Motion Technology.

Silicon Motion Technology (NASDAQ:SIMO) last issued its quarterly earnings results on Tuesday, October 30th. The semiconductor producer reported $0.95 EPS for the quarter, topping the consensus estimate of $0.88 by $0.07. Silicon Motion Technology had a net margin of 17.10% and a return on equity of 17.92%. The firm had revenue of $138.60 million for the quarter, compared to analysts’ expectations of $137.36 million. During the same period in the previous year, the business earned $0.57 earnings per share. Silicon Motion Technology’s revenue for the quarter was up 9.0% compared to the same quarter last year.

Several equities research analysts have commented on the stock. KeyCorp assumed coverage on shares of Silicon Motion Technology in a research report on Tuesday, September 25th. They issued a “sector weight” rating and a $60.00 price target on the stock. BidaskClub cut shares of Silicon Motion Technology from a “buy” rating to a “hold” rating in a research report on Saturday, September 22nd. Morgan Stanley upgraded shares of Silicon Motion Technology from an “equal weight” rating to an “overweight” rating and set a $59.00 price target on the stock in a research report on Friday, September 21st. ValuEngine cut shares of Silicon Motion Technology from a “buy” rating to a “hold” rating in a research report on Monday, October 8th. Finally, Zacks Investment Research upgraded Silicon Motion Technology from a “hold” rating to a “buy” rating and set a $57.00 price objective on the stock in a report on Monday, October 8th. Two equities research analysts have rated the stock with a sell rating, five have issued a hold rating and eight have assigned a buy rating to the company. The stock currently has an average rating of “Hold” and an average price target of $53.37.

Several institutional investors and hedge funds have recently modified their holdings of SIMO. Quantbot Technologies LP bought a new stake in shares of Silicon Motion Technology in the 3rd quarter valued at approximately $118,000. SG Americas Securities LLC bought a new stake in Silicon Motion Technology during the third quarter worth approximately $121,000. Dynamic Technology Lab Private Ltd acquired a new position in Silicon Motion Technology during the third quarter valued at approximately $252,000. Henry James International Management Inc. acquired a new position in Silicon Motion Technology during the third quarter valued at approximately $271,000. Finally, Stevens Capital Management LP acquired a new position in Silicon Motion Technology during the third quarter valued at approximately $278,000. Institutional investors own 73.37% of the company’s stock.

Silicon Motion Technology stock traded up $0.49 during midday trading on Friday, hitting $35.20. The company’s stock had a trading volume of 1,754 shares, compared to its average volume of 350,734. Silicon Motion Technology has a 12 month low of $31.73 and a 12 month high of $61.85. The stock has a market cap of $1.24 billion, a PE ratio of 16.86 and a beta of 0.85.

The business also recently disclosed a special dividend, which will be paid on Wednesday, February 27th. Shareholders of record on Friday, February 15th will be issued a dividend of $0.30 per share. This represents a yield of 3.41%. The ex-dividend date is Thursday, February 14th. This is an increase from Silicon Motion Technology’s previous special dividend of $0.15. Silicon Motion Technology’s payout ratio is presently 56.94%.

Silicon Motion Technology announced that its board has initiated a stock buyback program on Wednesday, November 21st that authorizes the company to buyback $200.00 million in outstanding shares. This buyback authorization authorizes the semiconductor producer to buy up to 15.6% of its stock through open market purchases. Stock buyback programs are often an indication that the company’s management believes its shares are undervalued.

Silicon Motion Technology Company Profile

Silicon Motion Technology Corporation, together with its subsidiaries, designs, develops, and markets semiconductor solutions for the mobile and enterprise storage, and mobile communications markets worldwide. It offers embedded storage and expandable storage products, including NAND flash controllers, such as embedded multimediacard (eMMC), universal flash storage, client solid-state drive (SSD), secure digital card, flash memory card controller, and universal serial bus flash drive controller products.

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