Semtech (NASDAQ:SMTC) Hits New 52-Week High – Time to Buy?

Semtech Corporation (NASDAQ:SMTC)’s share price hit a new 52-week high during trading on Thursday . The stock traded as high as $90.09 and last traded at $81.88, with a volume of 2619887 shares traded. The stock had previously closed at $87.63.

Wall Street Analyst Weigh In

Several equities research analysts recently issued reports on SMTC shares. Wall Street Zen downgraded Semtech from a “strong-buy” rating to a “buy” rating in a research note on Monday, January 26th. Robert W. Baird increased their price target on shares of Semtech from $70.00 to $88.00 and gave the stock an “outperform” rating in a research report on Tuesday, November 25th. Susquehanna boosted their price objective on shares of Semtech from $65.00 to $80.00 and gave the company a “positive” rating in a research report on Tuesday, November 18th. Weiss Ratings reiterated a “hold (c-)” rating on shares of Semtech in a research note on Monday, December 29th. Finally, Roth Mkm lifted their target price 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. Fourteen research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus target price of $79.21.

Semtech Price Performance

The company has a debt-to-equity ratio of 0.87, a current ratio of 2.43 and a quick ratio of 1.71. The stock has a market capitalization of $7.58 billion, a price-to-earnings ratio of 264.13 and a beta of 2.01. The stock’s 50 day simple moving average is $76.83 and its 200-day simple moving average is $66.97.

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

Insiders Place Their Bets

In other news, insider John Michael Wilson sold 5,000 shares of Semtech stock in a transaction that occurred on Thursday, January 8th. The shares were sold at an average price of $75.12, for a total value of $375,600.00. Following the transaction, the insider owned 60,066 shares of the company’s stock, valued at $4,512,157.92. This trade represents a 7.68% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Saar Gillai sold 3,600 shares of the company’s stock in a transaction on Wednesday, January 7th. The stock was sold at an average price of $75.26, for a total transaction of $270,936.00. Following the sale, the director directly owned 9,523 shares of the company’s stock, valued at approximately $716,700.98. This represents a 27.43% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 16,967 shares of company stock worth $1,316,108 in the last three months. 0.48% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of SMTC. Bessemer Group Inc. grew its position in shares of Semtech by 78.4% in the second quarter. Bessemer Group Inc. now owns 653 shares of the semiconductor company’s stock valued at $29,000 after purchasing an additional 287 shares during the last quarter. Ameritas Advisory Services LLC bought a new stake in Semtech during the 2nd quarter valued at approximately $33,000. Hantz Financial Services Inc. grew its holdings in Semtech by 243.2% in the 3rd quarter. Hantz Financial Services Inc. now owns 508 shares of the semiconductor company’s stock valued at $36,000 after buying an additional 360 shares during the last quarter. Salomon & Ludwin LLC bought a new position in Semtech in the 3rd quarter worth approximately $41,000. Finally, AlphaQuest LLC lifted its holdings in shares of Semtech by 42.5% during the third quarter. AlphaQuest LLC now owns 580 shares of the semiconductor company’s stock worth $41,000 after buying an additional 173 shares during 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.