SiTime (NASDAQ:SITM) Shares Gap Up – What’s Next?

SiTime Corporation (NASDAQ:SITM)’s stock price gapped up before the market opened on Thursday . The stock had previously closed at $612.13, but opened at $655.51. SiTime shares last traded at $668.4860, with a volume of 58,864 shares trading hands.

Analyst Upgrades and Downgrades

A number of analysts recently weighed in on the stock. Barclays raised shares of SiTime from an “equal weight” rating to an “overweight” rating and upped their target price for the stock from $400.00 to $850.00 in a report on Thursday, May 7th. Stifel Nicolaus boosted their price target on shares of SiTime from $450.00 to $500.00 and gave the company a “buy” rating in a research report on Thursday, April 16th. Zacks Research cut shares of SiTime from a “strong-buy” rating to a “hold” rating in a report on Monday. The Goldman Sachs Group reiterated a “buy” rating and issued a $800.00 price objective on shares of SiTime in a research report on Thursday, May 7th. Finally, UBS Group boosted their target price on SiTime from $675.00 to $775.00 and gave the stock a “buy” rating in a research report on Thursday, May 7th. Eight analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, SiTime currently has a consensus rating of “Moderate Buy” and an average target price of $661.88.

SiTime Stock Up 9.0%

The firm has a market capitalization of $17.62 billion, a P/E ratio of -657.59 and a beta of 2.91. The firm’s 50-day simple moving average is $698.48 and its 200-day simple moving average is $496.02.

SiTime (NASDAQ:SITM) last issued its quarterly earnings results on Wednesday, May 6th. The company reported $1.44 EPS for the quarter, topping analysts’ consensus estimates of $1.14 by $0.30. The firm had revenue of $113.57 million for the quarter, compared to analyst estimates of $103.51 million. SiTime had a negative net margin of 6.38% and a positive return on equity of 0.53%. The business’s revenue for the quarter was up 88.3% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $0.26 EPS. As a group, analysts expect that SiTime Corporation will post 3.23 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, CEO Rajesh Vashist sold 30,000 shares of the company’s stock in a transaction dated Wednesday, June 3rd. The stock was sold at an average price of $701.13, for a total value of $21,033,900.00. Following the completion of the transaction, the chief executive officer directly owned 402,898 shares in the company, valued at approximately $282,483,874.74. This represents a 6.93% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Piyush B. Sevalia sold 2,419 shares of the stock in a transaction dated Friday, April 17th. The shares were sold at an average price of $484.05, for a total value of $1,170,916.95. Following the transaction, the insider owned 84,250 shares in the company, valued at $40,781,212.50. This trade represents a 2.79% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 73,375 shares of company stock valued at $51,931,438 over the last quarter. Insiders own 1.40% of the company’s stock.

Institutional Trading of SiTime

A number of hedge funds have recently bought and sold shares of SITM. Vanguard Group Inc. boosted its stake in SiTime by 2.2% in the fourth quarter. Vanguard Group Inc. now owns 2,825,402 shares of the company’s stock worth $997,904,000 after buying an additional 61,336 shares in the last quarter. Invesco Ltd. raised its stake in shares of SiTime by 1.8% during the third quarter. Invesco Ltd. now owns 1,037,305 shares of the company’s stock worth $312,550,000 after acquiring an additional 18,165 shares in the last quarter. State Street Corp raised its stake in shares of SiTime by 3.7% during the second quarter. State Street Corp now owns 911,280 shares of the company’s stock worth $194,176,000 after acquiring an additional 32,178 shares in the last quarter. Ameriprise Financial Inc. lifted its holdings in shares of SiTime by 22.0% in the 2nd quarter. Ameriprise Financial Inc. now owns 736,281 shares of the company’s stock worth $156,887,000 after acquiring an additional 132,948 shares during the last quarter. Finally, Whale Rock Capital Management LLC lifted its holdings in shares of SiTime by 45.4% in the 4th quarter. Whale Rock Capital Management LLC now owns 698,539 shares of the company’s stock worth $246,717,000 after acquiring an additional 218,038 shares during the last quarter. Institutional investors own 84.31% of the company’s stock.

About SiTime

SiTime Corporation is a fabless semiconductor company specializing in silicon timing solutions that leverage micro-electromechanical systems (MEMS) technology as an alternative to traditional quartz crystals. Its portfolio of programmable oscillators, resonators, clock generators, jitter attenuators and network synchronizers addresses precision timekeeping requirements across a wide range of electronic systems. By integrating MEMS resonators with advanced mixed-signal control circuitry, SiTime’s products offer enhanced reliability, resistance to shock and vibration, and a smaller footprint compared with conventional quartz devices.

The company’s timing devices serve diverse end markets, including telecommunications infrastructure, data center and enterprise networking, consumer electronics, automotive systems, industrial automation, and aerospace and defense applications.