Semtech (NASDAQ:SMTC) Sets New 12-Month High – Should You Buy?

Shares of Semtech Corporation (NASDAQ:SMTC) hit a new 52-week high during trading on Thursday . The company traded as high as $83.00 and last traded at $82.3010, with a volume of 1542 shares traded. The stock had previously closed at $80.17.

Wall Street Analyst Weigh In

A number of analysts have issued reports on the company. Robert W. Baird lifted their price target on Semtech from $70.00 to $88.00 and gave the stock an “outperform” rating in a report on Tuesday, November 25th. Benchmark raised their target price on Semtech from $76.00 to $85.00 and gave the stock a “buy” rating in a research report on Tuesday, November 25th. Wall Street Zen raised Semtech from a “buy” rating to a “strong-buy” rating in a report on Sunday, January 18th. Roth Mkm increased their price target on shares of Semtech from $65.00 to $77.00 and gave the company a “buy” rating in a research note on Tuesday, November 25th. Finally, TD Cowen began coverage on shares of Semtech in a research report on Wednesday, October 1st. They set a “buy” rating and a $75.00 price objective for the company. Fourteen analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat, Semtech has an average rating of “Moderate Buy” and a consensus price target of $79.21.

Semtech Stock Performance

The company has a quick ratio of 1.71, a current ratio of 2.43 and a debt-to-equity ratio of 0.87. The firm has a 50-day simple moving average of $74.28 and a 200 day simple moving average of $64.96. The company has a market cap of $7.45 billion, a price-to-earnings ratio of 259.74 and a beta of 2.01.

Semtech (NASDAQ:SMTC) last posted its quarterly earnings data on Monday, November 24th. The semiconductor company reported $0.48 earnings per share for the quarter, beating the consensus estimate of $0.45 by $0.03. The business had revenue of $266.97 million during the quarter, compared to the consensus estimate of $266.36 million. Semtech had a return on equity of 17.00% and a net margin of 2.77%.The company’s revenue was up 12.8% compared to the same quarter last year. During the same period in the prior year, the company earned $0.26 earnings per share. Semtech has set its Q4 2026 guidance at 0.400-0.460 EPS. On average, sell-side analysts predict that Semtech Corporation will post -0.02 earnings per share for the current fiscal year.

Insider Activity at Semtech

In other Semtech news, insider John Michael Wilson sold 5,000 shares of the company’s stock in a transaction on Thursday, January 8th. The stock was sold at an average price of $75.12, for a total value of $375,600.00. Following the sale, the insider owned 60,066 shares of the company’s stock, valued at approximately $4,512,157.92. This represents a 7.68% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Gregory Michael Fischer sold 1,034 shares of the firm’s stock in a transaction on Friday, January 9th. The shares were sold at an average price of $75.50, for a total value of $78,067.00. Following the completion of the transaction, the director owned 2,857 shares of the company’s stock, valued at approximately $215,703.50. This represents a 26.57% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 11,967 shares of company stock valued at $901,108 in the last 90 days. 0.48% of the stock is owned by corporate insiders.

Institutional Trading of Semtech

Several institutional investors and hedge funds have recently modified their holdings of SMTC. Jones Financial Companies Lllp raised its position in shares of Semtech by 12,214.3% during the 1st quarter. Jones Financial Companies Lllp now owns 2,586 shares of the semiconductor company’s stock worth $89,000 after purchasing an additional 2,565 shares during the last quarter. Empowered Funds LLC increased its position in Semtech by 11.5% during the first quarter. Empowered Funds LLC now owns 9,389 shares of the semiconductor company’s stock worth $323,000 after buying an additional 968 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its position in Semtech by 5.8% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 411,814 shares of the semiconductor company’s stock worth $14,166,000 after buying an additional 22,629 shares in the last quarter. Strs Ohio acquired a new position in shares of Semtech in the first quarter worth $65,000. Finally, GAMMA Investing LLC lifted its position in shares of Semtech by 26.2% in the second quarter. GAMMA Investing LLC now owns 3,807 shares of the semiconductor company’s stock valued at $172,000 after acquiring an additional 791 shares in the last quarter.

Semtech Company Profile

Semtech Corporation is a leading supplier of high-performance analog and mixed-signal semiconductors and advanced algorithms. The company’s products address a broad range of applications in the Internet of Things (IoT), data center and telecom, industrial, home automation, automotive, and aerospace markets. Semtech’s portfolio includes power management, signal integrity, protection devices, wireless and sensing technologies that enable smarter, more connected systems worldwide.

A core offering from Semtech is its LoRa® technology, a low-power, long-range wireless communication platform that has become a de facto standard for global IoT deployments.