SMTC Co. (NASDAQ:SMTX) Receives Consensus Recommendation of “Strong Buy” from Brokerages

Shares of SMTC Co. (NASDAQ:SMTX) have been assigned a consensus broker rating score of 1.00 (Strong Buy) from the one analysts that provide coverage for the company, Zacks Investment Research reports. One research analyst has rated the stock with a strong buy recommendation.

Brokerages have set a one year consensus price objective of $6.00 for the company and are expecting that the company will post $0.03 EPS for the current quarter, according to Zacks. Zacks has also given SMTC an industry rank of 203 out of 255 based on the ratings given to its competitors.

A number of equities analysts recently issued reports on the stock. ValuEngine upgraded shares of SMTC from a “hold” rating to a “buy” rating in a research note on Wednesday, September 25th. Zacks Investment Research raised shares of SMTC from a “hold” rating to a “buy” rating and set a $4.25 price objective on the stock in a research report on Tuesday.

SMTX stock traded up $0.12 on Wednesday, reaching $4.17. 121,312 shares of the company traded hands, compared to its average volume of 99,279. The firm has a fifty day simple moving average of $3.48 and a 200-day simple moving average of $3.11. The company has a market cap of $117.17 million, a P/E ratio of -13.90 and a beta of 0.88. SMTC has a one year low of $2.02 and a one year high of $5.98. The company has a debt-to-equity ratio of 1.09, a current ratio of 1.18 and a quick ratio of 0.78.

SMTC (NASDAQ:SMTX) last released its earnings results on Monday, November 11th. The technology company reported ($0.20) EPS for the quarter, missing analysts’ consensus estimates of ($0.11) by ($0.09). SMTC had a positive return on equity of 7.03% and a negative net margin of 2.26%. The company had revenue of $88.68 million during the quarter, compared to analysts’ expectations of $77.00 million. On average, sell-side analysts forecast that SMTC will post 0.12 EPS for the current year.

In other SMTC news, COO Richard E. Fitzgerald bought 43,907 shares of the business’s stock in a transaction on Thursday, November 14th. The shares were acquired at an average cost of $2.68 per share, for a total transaction of $117,670.76. Following the purchase, the chief operating officer now owns 89,524 shares in the company, valued at approximately $239,924.32. The purchase was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CEO Edward J. Smith bought 14,515 shares of SMTC stock in a transaction on Thursday, November 14th. The stock was acquired at an average cost of $2.67 per share, with a total value of $38,755.05. Following the acquisition, the chief executive officer now owns 347,152 shares in the company, valued at approximately $926,895.84. The disclosure for this purchase can be found here. Insiders have purchased 61,922 shares of company stock valued at $166,841 in the last three months. 34.50% of the stock is owned by insiders.

Several large investors have recently made changes to their positions in SMTX. Patriot Financial Group Insurance Agency LLC purchased a new stake in shares of SMTC during the fourth quarter valued at $45,000. Ridgewood Investments LLC raised its position in SMTC by 52.6% in the 3rd quarter. Ridgewood Investments LLC now owns 30,988 shares of the technology company’s stock worth $67,000 after buying an additional 10,681 shares during the last quarter. River & Mercantile Asset Management LLP purchased a new position in SMTC in the 2nd quarter worth about $1,067,000. Finally, Wynnefield Capital Inc. lifted its stake in SMTC by 12.2% during the 2nd quarter. Wynnefield Capital Inc. now owns 1,972,360 shares of the technology company’s stock valued at $7,613,000 after acquiring an additional 214,386 shares during the period. 11.95% of the stock is currently owned by hedge funds and other institutional investors.

SMTC Company Profile

SMTC Corporation provides electronics manufacturing services worldwide. The company offers end-to-end electronics manufacturing services, including product design and engineering; printed circuit board assembly; production, enclosure, cable assembly, and precision metal fabrication; systems integration and testing; and configuration to order, build to order, and direct order fulfillment services.

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