Semtech (NASDAQ:SMTC) Shares Down 7.8% After Insider Selling

Semtech Corporation (NASDAQ:SMTC) fell 7.8% during trading on Monday after an insider sold shares in the company. The stock traded as low as $175.50 and last traded at $172.7080. 492,665 shares changed hands during mid-day trading, a decline of 82% from the average daily volume of 2,800,300 shares. The stock had previously closed at $187.30.

Specifically, EVP Jason Elliot Green sold 2,766 shares of the business’s stock in a transaction on Wednesday, October 7th. The stock was sold at an average price of $190.35, for a total transaction of $526,508.10. Following the sale, the executive vice president directly owned 7,367 shares in the company, valued at approximately $1,402,308.45. The trade was a 27.30% 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. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Analyst Ratings Changes

A number of research analysts have recently weighed in on the company. Morgan Stanley raised their price target on Semtech from $175.00 to $195.00 and gave the company an “equal weight” rating in a research report on Wednesday, August 26th. Robert W. Baird lifted their price target on Semtech from $225.00 to $300.00 and gave the stock an “outperform” rating in a research note on Thursday, August 27th. UBS Group lifted their price target on Semtech from $225.00 to $230.00 and gave the stock a “buy” rating in a research note on Wednesday, August 26th. Oppenheimer boosted their price objective on shares of Semtech from $200.00 to $225.00 and gave the stock an “outperform” rating in a research report on Thursday, October 1st. Finally, Wall Street Zen raised shares of Semtech from a “buy” rating to a “strong-buy” rating in a research note on Saturday, August 29th. One investment analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and four have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $208.06.

Semtech Price Performance

The company has a debt-to-equity ratio of 0.47, a quick ratio of 1.31 and a current ratio of 1.70. The stock has a market capitalization of $15.71 billion, a price-to-earnings ratio of 111.44 and a beta of 2.41. The company has a 50-day moving average of $155.18 and a 200-day moving average of $137.46.

Semtech (NASDAQ:SMTC) last posted its earnings results on Tuesday, August 25th. The semiconductor company reported $0.71 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.61 by $0.10. The firm had revenue of $341.87 million for the quarter, compared to analyst estimates of $328.67 million. Semtech had a return on equity of 21.74% and a net margin of 13.11%. Semtech’s revenue was up 32.7% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.41 EPS. Semtech has set its Q3 2027 guidance at 1.020-1.080 EPS. As a group, equities research analysts expect that Semtech Corporation will post 2.64 earnings per share for the current fiscal year.

Institutional Trading of Semtech

Several institutional investors and hedge funds have recently made changes to their positions in SMTC. GAMMA Investing LLC boosted its stake in shares of Semtech by 23.3% during the third quarter. GAMMA Investing LLC now owns 6,045 shares of the semiconductor company’s stock valued at $1,078,000 after acquiring an additional 1,142 shares during the last quarter. Farther Finance Advisors LLC increased its position in Semtech by 116.6% during the 3rd quarter. Farther Finance Advisors LLC now owns 4,066 shares of the semiconductor company’s stock worth $725,000 after purchasing an additional 2,189 shares in the last quarter. Toth Financial Advisory Corp acquired a new position in Semtech in the 3rd quarter valued at about $624,000. Whalen Wealth Management Inc. acquired a new position in Semtech in the 3rd quarter valued at about $253,000. Finally, Cim Investment Management Inc. acquired a new position in Semtech in the 2nd quarter valued at about $319,000.

Semtech Company Profile

Semtech Corporation is a global semiconductor and technology company that designs and supplies analog and mixed-signal products for communications, industrial, automotive, consumer, and infrastructure applications. Its solutions are used to manage, protect, connect, and transmit data in electronic systems.

The company’s portfolio includes signal-integrity products, protection devices, power-management components, optical and high-speed connectivity solutions, and video-processing technologies.