SiTime (NASDAQ:SITM) Shares Down 8.5% – Should You Sell?

SiTime Corporation (NASDAQ:SITM)’s share price dropped 8.5% on Thursday. The company traded as low as $472.38 and last traded at $480.1010. 298,652 shares traded hands during trading, a decline of 36% from the average session volume of 470,046 shares. The stock had previously closed at $524.93.

Wall Street Analysts Forecast Growth

Several brokerages have issued reports on SITM. The Goldman Sachs Group reaffirmed a “buy” rating and set a $900.00 target price on shares of SiTime in a research report on Thursday, August 6th. Benchmark initiated coverage on SiTime in a research report on Wednesday, August 19th. They issued a “buy” rating and a $850.00 price target for the company. Seaport Research Partners started coverage on SiTime in a research report on Tuesday, September 22nd. They issued a “neutral” rating for the company. Wall Street Zen upgraded SiTime from a “hold” rating to a “buy” rating in a research note on Saturday. Finally, Zacks Research cut SiTime from a “strong-buy” rating to a “hold” rating in a research note on Monday, October 5th. One analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and two have given a Hold rating to the company. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $717.78.

SiTime Stock Performance

The business’s 50-day moving average price is $618.78 and its 200-day moving average price is $614.18. The company has a current ratio of 19.44, a quick ratio of 18.50 and a debt-to-equity ratio of 1.29. The stock has a market cap of $14.20 billion, a PE ratio of 963.55 and a beta of 2.88.

SiTime (NASDAQ:SITM) last posted its earnings results on Wednesday, August 5th. The company reported $2.34 EPS for the quarter, beating analysts’ consensus estimates of $1.95 by $0.39. The company had revenue of $157.43 million during the quarter, compared to analysts’ expectations of $146.46 million. SiTime had a net margin of 3.01% and a return on equity of 4.99%. SiTime’s revenue for the quarter was up 126.5% compared to the same quarter last year. During the same quarter in the prior year, the company posted $0.47 earnings per share. SiTime has set its Q3 2026 guidance at 3.500-3.650 EPS. As a group, equities research analysts expect that SiTime Corporation will post 6.37 earnings per share for the current fiscal year.

Insider Buying and Selling at SiTime

In other news, Director Torsten Kreindl sold 1,050 shares of the firm’s stock in a transaction on Friday, August 7th. The stock was sold at an average price of $721.67, for a total value of $757,753.50. Following the completion of the sale, the director owned 12,481 shares of the company’s stock, valued at $9,007,163.27. This trade represents a 7.76% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Edward H. Frank sold 1,000 shares of the business’s stock in a transaction on Monday, August 17th. The stock was sold at an average price of $745.00, for a total value of $745,000.00. Following the transaction, the director owned 10,999 shares in the company, valued at approximately $8,194,255. This trade represents a 8.33% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders sold 15,924 shares of company stock valued at $10,056,661. Corporate insiders own 1.40% of the company’s stock.

Institutional Investors Weigh In On SiTime

Several institutional investors have recently added to or reduced their stakes in the business. Parallel Advisors LLC grew its stake in shares of SiTime by 26.2% during the first quarter. Parallel Advisors LLC now owns 77 shares of the company’s stock worth $27,000 after acquiring an additional 16 shares during the last quarter. Wedmont Private Capital increased its holdings in shares of SiTime by 4.5% during the second quarter. Wedmont Private Capital now owns 650 shares of the company’s stock valued at $485,000 after acquiring an additional 28 shares in the last quarter. Allworth Financial LP raised its position in shares of SiTime by 50.0% in the 2nd quarter. Allworth Financial LP now owns 90 shares of the company’s stock valued at $67,000 after purchasing an additional 30 shares during the last quarter. Lodestone Wealth Management LLC raised its position in shares of SiTime by 10.5% in the 3rd quarter. Lodestone Wealth Management LLC now owns 503 shares of the company’s stock valued at $328,000 after purchasing an additional 48 shares during the last quarter. Finally, Atlas Brown Inc. raised its position in shares of SiTime by 2.2% in the 1st quarter. Atlas Brown Inc. now owns 2,342 shares of the company’s stock valued at $809,000 after purchasing an additional 50 shares during the last quarter. Institutional investors and hedge funds own 84.31% of the company’s stock.

About SiTime

SiTime Corporation is a fabless semiconductor company that develops precision timing solutions based on microelectromechanical systems (MEMS) technology. Its products are designed to generate, distribute, and synchronize timing signals used by electronic systems, helping equipment operate reliably and maintain accurate data transmission.

The company’s portfolio includes MEMS oscillators, clock generators, clock buffers, resonators, and related timing components. These products are used in data centers, wired and wireless communications infrastructure, automotive systems, industrial equipment, consumer electronics, aerospace and defense applications, and other electronics markets.

Founded in 2005 and headquartered in Santa Clara, California, SiTime serves customers and markets internationally.