Wall Street Zen Upgrades Semtech (NASDAQ:SMTC) to “Strong-Buy”

Semtech (NASDAQ:SMTC) was upgraded by equities research analysts at Wall Street Zen from a “buy” rating to a “strong-buy” rating in a research note issued on Saturday.

Several other research analysts have also recently weighed in on the company. Piper Sandler reissued an “overweight” rating and issued a $95.00 price objective (up previously from $70.00) on shares of Semtech in a research report on Thursday, December 11th. Oppenheimer reiterated an “outperform” rating and set a $81.00 target price on shares of Semtech in a research note on Tuesday, November 25th. Stifel Nicolaus set a $80.00 price target on shares of Semtech in a research report on Wednesday, October 1st. Robert W. Baird raised their price objective on shares of Semtech from $70.00 to $88.00 and gave the stock an “outperform” rating in a report on Tuesday, November 25th. Finally, Weiss Ratings reiterated a “hold (c-)” rating on shares of Semtech in a research note on Monday. Fifteen investment analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. According to data from MarketBeat.com, Semtech presently has an average rating of “Moderate Buy” and an average price target of $78.50.

Semtech Trading Up 0.7%

Shares of SMTC stock opened at $76.07 on Friday. The company has a debt-to-equity ratio of 0.87, a quick ratio of 1.71 and a current ratio of 2.43. The company has a market capitalization of $7.04 billion, a price-to-earnings ratio of 245.39 and a beta of 2.01. Semtech has a 52-week low of $24.05 and a 52-week high of $81.32. The company has a 50-day simple moving average of $71.19 and a two-hundred day simple moving average of $60.27.

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

Insider Activity

In other Semtech news, Director Paul V. Walsh, Jr. sold 500 shares of the company’s stock in a transaction dated Wednesday, December 17th. The shares were sold at an average price of $71.61, for a total transaction of $35,805.00. Following the sale, the director directly owned 25,779 shares of the company’s stock, valued at $1,846,034.19. This represents a 1.90% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CFO Mark Lin sold 971 shares of Semtech stock in a transaction dated Friday, October 3rd. The stock was sold at an average price of $72.83, for a total transaction of $70,717.93. Following the completion of the transaction, the chief financial officer owned 17,844 shares of the company’s stock, valued at $1,299,578.52. The trade was a 5.16% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 1,971 shares of company stock worth $139,643. Insiders own 0.48% of the company’s stock.

Institutional Investors Weigh In On Semtech

A number of hedge funds and other institutional investors have recently bought and sold shares of SMTC. Ameriprise Financial Inc. boosted its holdings in shares of Semtech by 3.7% in the third quarter. Ameriprise Financial Inc. now owns 7,373,744 shares of the semiconductor company’s stock worth $526,861,000 after acquiring an additional 261,647 shares during the period. Capital Research Global Investors raised its stake in shares of Semtech by 13.9% during the 3rd quarter. Capital Research Global Investors now owns 4,691,676 shares of the semiconductor company’s stock valued at $335,220,000 after purchasing an additional 571,372 shares during the period. State Street Corp lifted its holdings in Semtech by 1.5% during the 2nd quarter. State Street Corp now owns 4,037,107 shares of the semiconductor company’s stock worth $182,235,000 after purchasing an additional 60,788 shares in the last quarter. Alliancebernstein L.P. boosted its stake in Semtech by 8.7% in the 3rd quarter. Alliancebernstein L.P. now owns 3,607,697 shares of the semiconductor company’s stock worth $257,770,000 after purchasing an additional 289,313 shares during the period. Finally, Westfield Capital Management Co. LP boosted its stake in Semtech by 23.0% in the 3rd quarter. Westfield Capital Management Co. LP now owns 3,380,373 shares of the semiconductor company’s stock worth $241,528,000 after purchasing an additional 633,113 shares during the period.

About Semtech

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.