MaxLinear (NASDAQ:MXL) Shares Gap Up – Should You Buy?

MaxLinear, Inc (NASDAQ:MXL) shares gapped up before the market opened on Monday. The stock had previously closed at $71.32, but opened at $76.40. MaxLinear shares last traded at $76.2770, with a volume of 710,767 shares traded.

Analyst Ratings Changes

A number of brokerages have recently issued reports on MXL. Needham & Company LLC boosted their target price on shares of MaxLinear from $60.00 to $100.00 and gave the company a “buy” rating in a research report on Friday, July 24th. Susquehanna raised their price target on shares of MaxLinear from $45.00 to $80.00 and gave the stock a “neutral” rating in a research report on Friday, July 24th. Wells Fargo & Company raised their price target on shares of MaxLinear from $42.00 to $75.00 and gave the stock an “equal weight” rating in a research report on Monday, July 20th. Wall Street Zen raised shares of MaxLinear from a “hold” rating to a “buy” rating in a report on Sunday, July 26th. Finally, Weiss Ratings restated a “sell (d-)” rating on shares of MaxLinear in a research report on Thursday. Five research analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, the company has an average rating of “Hold” and an average target price of $88.64.

MaxLinear Price Performance

The business’s fifty day moving average price is $77.48 and its 200 day moving average price is $74.48. The company has a debt-to-equity ratio of 0.26, a current ratio of 1.78 and a quick ratio of 1.15. The stock has a market cap of $7.10 billion, a P/E ratio of -65.77 and a beta of 3.93.

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

Insiders Place Their Bets

In other MaxLinear news, CEO Kishore Seendripu sold 351,454 shares of the firm’s stock in a transaction that occurred on Monday, August 17th. The shares were sold at an average price of $85.95, for a total value of $30,207,471.30. The sale was disclosed in a document filed with the SEC, which is available at this link. 7.70% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the company. IFP Advisors Inc grew its stake in shares of MaxLinear by 75.0% in the third quarter. IFP Advisors Inc now owns 3,310 shares of the semiconductor company’s stock worth $299,000 after purchasing an additional 1,419 shares during the last quarter. Elevated Financial Group LLC acquired a new stake in MaxLinear in the third quarter valued at $841,000. NFSG Corp increased its holdings in MaxLinear by 284.0% in the third quarter. NFSG Corp now owns 960 shares of the semiconductor company’s stock valued at $87,000 after purchasing an additional 710 shares during the period. Triumph Capital Management raised its position in MaxLinear by 54.2% during the 3rd quarter. Triumph Capital Management now owns 24,041 shares of the semiconductor company’s stock worth $2,171,000 after purchasing an additional 8,449 shares during the last quarter. Finally, GK Wealth Management LLC raised its position in MaxLinear by 12.7% during the 3rd quarter. GK Wealth Management LLC now owns 5,707 shares of the semiconductor company’s stock worth $515,000 after purchasing an additional 644 shares during the last quarter. 90.79% of the stock is currently owned by institutional investors.

MaxLinear Company Profile

MaxLinear, Inc is a fabless semiconductor company that develops high-performance analog and mixed-signal integrated circuits for communications and connectivity applications. Its products are designed to help equipment manufacturers process, transmit and manage data across broadband, wired and wireless infrastructure, data center, and industrial systems.

The company’s product portfolio includes broadband access and connectivity solutions, RF and microwave components, Ethernet and high-speed interconnect products, optical networking technologies, and power-management devices.