Wedbush Has Optimistic Outlook of SIMO FY2025 Earnings

Silicon Motion Technology Co. (NASDAQ:SIMO) – Equities researchers at Wedbush boosted their FY2025 earnings estimates for shares of Silicon Motion Technology in a research note issued to investors on Wednesday, April 30th. Wedbush analyst M. Bryson now anticipates that the semiconductor producer will post earnings per share of $3.02 for the year, up from their previous forecast of $2.95. Wedbush currently has a “Outperform” rating and a $90.00 price objective on the stock. The consensus estimate for Silicon Motion Technology’s current full-year earnings is $3.08 per share. Wedbush also issued estimates for Silicon Motion Technology’s Q4 2025 earnings at $1.20 EPS, Q2 2026 earnings at $1.08 EPS, Q4 2026 earnings at $1.41 EPS and FY2026 earnings at $4.77 EPS.

SIMO has been the subject of a number of other reports. StockNews.com downgraded shares of Silicon Motion Technology from a “buy” rating to a “hold” rating in a research report on Thursday, February 13th. Needham & Company LLC decreased their target price on Silicon Motion Technology from $70.00 to $65.00 and set a “buy” rating for the company in a research report on Wednesday, April 30th. B. Riley upped their price target on Silicon Motion Technology from $70.00 to $75.00 and gave the company a “buy” rating in a research report on Thursday, May 1st. Finally, Bank of America upgraded shares of Silicon Motion Technology from an “underperform” rating to a “neutral” rating and set a $47.00 target price for the company in a research report on Wednesday, April 23rd. Two research analysts have rated the stock with a hold rating and seven have given a buy rating to the company’s stock. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $75.88.

Silicon Motion Technology Stock Performance

SIMO opened at $52.70 on Monday. Silicon Motion Technology has a fifty-two week low of $37.21 and a fifty-two week high of $85.87. The firm has a 50-day moving average of $48.25 and a 200 day moving average of $52.49. The firm has a market cap of $1.78 billion, a P/E ratio of 19.59, a PEG ratio of 1.36 and a beta of 0.81.

Silicon Motion Technology (NASDAQ:SIMO) last announced its quarterly earnings data on Tuesday, April 29th. The semiconductor producer reported $0.60 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.44 by $0.16. The firm had revenue of $166.49 million during the quarter, compared to the consensus estimate of $162.69 million. Silicon Motion Technology had a return on equity of 11.63% and a net margin of 11.29%. The business’s revenue for the quarter was down 12.1% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.64 EPS.

Silicon Motion Technology announced that its board has authorized a stock buyback plan on Wednesday, February 5th that authorizes the company to buyback $50.00 million in outstanding shares. This buyback authorization authorizes the semiconductor producer to buy up to 2.6% of its stock through open market purchases. Stock buyback plans are generally an indication that the company’s board believes its stock is undervalued.

Institutional Trading of Silicon Motion Technology

Several institutional investors and hedge funds have recently bought and sold shares of SIMO. JPMorgan Chase & Co. raised its position in shares of Silicon Motion Technology by 21.8% in the third quarter. JPMorgan Chase & Co. now owns 200,016 shares of the semiconductor producer’s stock worth $12,149,000 after buying an additional 35,741 shares in the last quarter. Perigon Wealth Management LLC bought a new position in Silicon Motion Technology in the 4th quarter worth about $431,000. Rhumbline Advisers raised its holdings in shares of Silicon Motion Technology by 8.7% in the 4th quarter. Rhumbline Advisers now owns 5,668 shares of the semiconductor producer’s stock valued at $306,000 after acquiring an additional 453 shares in the last quarter. Choreo LLC bought a new stake in shares of Silicon Motion Technology during the 4th quarter valued at about $209,000. Finally, Blue Trust Inc. grew its holdings in shares of Silicon Motion Technology by 64.7% during the fourth quarter. Blue Trust Inc. now owns 2,248 shares of the semiconductor producer’s stock worth $122,000 after purchasing an additional 883 shares in the last quarter. 78.02% of the stock is currently owned by hedge funds and other institutional investors.

About Silicon Motion Technology

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.