Silicon Motion Technology (NASDAQ:SIMO) Trading Down 5.4% – Here’s What Happened

Silicon Motion Technology Corporation (NASDAQ:SIMO) shares fell 5.4% on Friday . The company traded as low as $265.55 and last traded at $252.9640. Approximately 93,020 shares traded hands during mid-day trading, a decline of 89% from the average session volume of 868,671 shares. The stock had previously closed at $267.43.

Wall Street Analysts Forecast Growth

Several analysts have issued reports on SIMO shares. JPMorgan Chase & Co. boosted their price objective on Silicon Motion Technology from $145.00 to $260.00 and gave the stock an “overweight” rating in a report on Friday, May 1st. Zacks Research upgraded shares of Silicon Motion Technology from a “hold” rating to a “strong-buy” rating in a report on Tuesday, May 5th. Craig Hallum reissued a “buy” rating and issued a $325.00 target price on shares of Silicon Motion Technology in a research report on Friday, July 31st. Wedbush boosted their price target on shares of Silicon Motion Technology from $230.00 to $400.00 and gave the company an “outperform” rating in a report on Monday, June 22nd. Finally, B. Riley Financial upped their price target on shares of Silicon Motion Technology from $312.00 to $350.00 and gave the company a “buy” rating in a research report on Friday, July 31st. One investment analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating and one has assigned a Hold rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Buy” and a consensus price target of $341.43.

Silicon Motion Technology Price Performance

The firm has a market cap of $8.79 billion, a PE ratio of 30.33, a P/E/G ratio of 0.43 and a beta of 1.71. The business has a fifty day moving average price of $286.87 and a two-hundred day moving average price of $201.32.

Silicon Motion Technology (NASDAQ:SIMO) last announced its quarterly earnings data on Wednesday, July 29th. The semiconductor producer reported $2.43 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.13 by $0.30. Silicon Motion Technology had a return on equity of 32.04% and a net margin of 22.06%.The firm had revenue of $451.00 million during the quarter, compared to the consensus estimate of $403.41 million. During the same period in the prior year, the business earned $0.69 EPS. The business’s revenue for the quarter was up 127.0% on a year-over-year basis. As a group, sell-side analysts forecast that Silicon Motion Technology Corporation will post 10.78 EPS for the current fiscal year.

Insider Transactions at Silicon Motion Technology

In other news, Director Kuan-Ming Lin sold 2,000 shares of the stock in a transaction that occurred on Wednesday, June 17th. The shares were sold at an average price of $305.00, for a total value of $610,000.00. Following the completion of the sale, the director directly owned 8,500 shares of the company’s stock, valued at $2,592,500. This represents a 19.05% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Han-Ping Shieh sold 1,000 shares of the firm’s stock in a transaction that occurred on Thursday, June 18th. The stock was sold at an average price of $328.00, for a total transaction of $328,000.00. Following the sale, the director owned 7,500 shares of the company’s stock, valued at approximately $2,460,000. This represents a 11.76% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 4,000 shares of company stock worth $1,239,250 in the last quarter. 5.34% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Silicon Motion Technology

Institutional investors have recently modified their holdings of the stock. Brown Brothers Harriman & Co. acquired a new position in shares of Silicon Motion Technology in the third quarter worth $26,000. WealthCollab LLC boosted its position in Silicon Motion Technology by 77.4% during the fourth quarter. WealthCollab LLC now owns 346 shares of the semiconductor producer’s stock valued at $32,000 after purchasing an additional 151 shares during the last quarter. Cooper Investors PTY Ltd. purchased a new position in Silicon Motion Technology in the second quarter valued at about $34,000. Arax Advisory Partners grew its stake in Silicon Motion Technology by 220.9% in the fourth quarter. Arax Advisory Partners now owns 446 shares of the semiconductor producer’s stock valued at $41,000 after purchasing an additional 307 shares in the last quarter. Finally, EverSource Wealth Advisors LLC grew its stake in Silicon Motion Technology by 169.4% in the second quarter. EverSource Wealth Advisors LLC now owns 582 shares of the semiconductor producer’s stock valued at $44,000 after purchasing an additional 366 shares in the last quarter. Institutional investors and hedge funds own 78.02% of the company’s stock.

Silicon Motion Technology Company Profile

Silicon Motion Technology Corporation, together with its subsidiaries, designs, develops, and markets NAND flash controllers for solid-state storage devices. The company offers controllers for computing-grade solid state drives (SSDs), which are used in PCs and other client devices; enterprise-grade SSDs used in data centers; eMMC and UFS mobile embedded storage for use in smartphones and IoT devices; flash memory cards and flash drives for use in expandable storage; and specialized SSDs that are used in industrial, commercial, and automotive applications.