MaxLinear (NASDAQ:MXL) Stock Price Down 7% on Insider Selling

MaxLinear, Inc (NASDAQ:MXL) shares were down 7% during mid-day trading on Wednesday following insider selling activity. The stock traded as low as $68.12 and last traded at $67.58. 394,064 shares changed hands during trading, a decline of 88% from the average session volume of 3,182,159 shares. The stock had previously closed at $72.63.

Specifically, CEO Kishore Seendripu sold 351,454 shares of the firm’s stock in a transaction dated Monday, August 17th. The shares were sold at an average price of $85.95, for a total transaction of $30,207,471.30. The transaction was disclosed in a document filed with the SEC, which is available through this link. Also, CEO Kishore Seendripu sold 240,000 shares of MaxLinear stock in a transaction dated Friday, August 14th. The stock was sold at an average price of $84.28, for a total transaction of $20,227,200.00. Following the completion of the sale, the chief executive officer owned 175,727 shares of the company’s stock, valued at $14,810,271.56. This trade represents a 57.73% decrease in their position. The SEC filing for this sale provides additional information.

Analyst Ratings Changes

A number of equities research analysts have recently weighed in on MXL shares. Susquehanna lifted their price target on shares of MaxLinear from $45.00 to $80.00 and gave the company a “neutral” rating in a research report on Friday, July 24th. Wall Street Zen upgraded MaxLinear from a “hold” rating to a “buy” rating in a research note on Sunday, July 26th. Benchmark started coverage on MaxLinear in a report on Wednesday, May 27th. They issued a “buy” rating and a $125.00 price objective for the company. Roth Capital upped their target price on MaxLinear from $60.00 to $100.00 and gave the company a “buy” rating in a research report on Friday, July 24th. Finally, Stifel Nicolaus raised their price target on MaxLinear from $110.00 to $120.00 and gave the stock a “buy” rating in a research report on Friday, July 24th. Five investment analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Hold” and an average price target of $85.00.

MaxLinear Price Performance

The company has a fifty day simple moving average of $82.95 and a 200 day simple moving average of $56.27. The stock has a market capitalization of $6.07 billion, a price-to-earnings ratio of -56.05 and a beta of 3.96. The company has a debt-to-equity ratio of 0.26, a quick ratio of 1.15 and a current ratio of 1.78.

MaxLinear (NASDAQ:MXL) last issued its quarterly earnings results on Thursday, July 23rd. The semiconductor company reported $0.35 earnings per share for the quarter, beating the consensus estimate of $0.33 by $0.02. MaxLinear had a positive return on equity of 2.24% and a negative net margin of 18.24%.The company had revenue of $168.85 million during the quarter, compared to analysts’ expectations of $164.64 million. During the same quarter in the prior year, the firm posted $0.02 earnings per share. The business’s quarterly revenue was up 55.2% on a year-over-year basis. Equities research analysts forecast that MaxLinear, Inc will post 0.78 EPS for the current fiscal year.

Institutional Investors Weigh In On MaxLinear

Institutional investors have recently modified their holdings of the company. BlackRock Inc. bought a new position in MaxLinear in the 2nd quarter worth approximately $1,754,062,000. Invesco Ltd. raised its holdings in MaxLinear by 419.9% during the 4th quarter. Invesco Ltd. now owns 2,149,589 shares of the semiconductor company’s stock valued at $37,467,000 after acquiring an additional 1,736,141 shares during the period. The Manufacturers Life Insurance Company bought a new stake in MaxLinear during the 2nd quarter valued at $165,221,000. AIGH Capital Management LLC purchased a new stake in shares of MaxLinear during the second quarter worth $104,729,000. Finally, Paradigm Capital Management Inc. NY lifted its position in shares of MaxLinear by 582.7% during the fourth quarter. Paradigm Capital Management Inc. NY now owns 861,000 shares of the semiconductor company’s stock worth $15,007,000 after acquiring an additional 734,875 shares in the last quarter. 90.79% of the stock is owned by institutional investors.

About MaxLinear

MaxLinear, Inc is a provider of radio-frequency (RF), analog, and mixed-signal integrated circuits for broadband communications, data center connectivity, and video infrastructure applications. The company’s product portfolio includes high-performance RF front-end modules, broadband power amplifiers, optical and Ethernet transceivers, and network processors designed to support demanding signal processing requirements.

MaxLinear’s semiconductor solutions are used by cable and satellite television operators, fiber-to-the-home service providers, network equipment manufacturers, and data center operators.