Silicon Motion Technology Corporation (NASDAQ:SIMO) was upgraded by Zacks Investment Research from a “strong sell” rating to a “hold” rating in a research report issued on Tuesday.

According to Zacks, “Silicon Motion is gaining from strategic product launches. Additionally, continuing investments on product development will drive growth. Moreover, expanding product portfolio and strong commitment toward R&D activities are key catalysts. However, the company continues to get affected by the NAND supply constraint. The company has noted that NAND supply continues to remain tight, which affected module maker customers, hyperscale customers, and NAND flash partners in the last reported quarter. We note that the stock has underperformed the broader industry on a year-to-date basis.”

A number of other analysts have also issued reports on the stock. Standpoint Research lowered shares of Silicon Motion Technology Corporation from a “buy” rating to a “reduce” rating in a research note on Tuesday, June 6th. Loop Capital restated a “buy” rating and issued a $61.00 price target (up previously from $53.00) on shares of Silicon Motion Technology Corporation in a research note on Tuesday, June 6th. ValuEngine lowered shares of Silicon Motion Technology Corporation from a “buy” rating to a “hold” rating in a research note on Friday, June 16th. Pacific Crest restated an “overweight” rating and issued a $62.00 price target on shares of Silicon Motion Technology Corporation in a research note on Wednesday, June 21st. Finally, Needham & Company LLC restated a “buy” rating and issued a $54.00 price target (down previously from $56.00) on shares of Silicon Motion Technology Corporation in a research note on Friday, July 7th. One equities research analyst has rated the stock with a sell rating, five have issued a hold rating and ten have assigned a buy rating to the company’s stock. The stock currently has a consensus rating of “Buy” and a consensus price target of $56.31.

Silicon Motion Technology Corporation (NASDAQ SIMO) traded down 0.56% on Tuesday, reaching $48.07. 109,929 shares of the company’s stock traded hands. Silicon Motion Technology Corporation has a 52 week low of $37.37 and a 52 week high of $55.68. The stock has a 50-day moving average of $45.50 and a 200 day moving average of $46.83. The firm has a market capitalization of $1.72 billion, a P/E ratio of 16.25 and a beta of 0.70.

Silicon Motion Technology Corporation (NASDAQ:SIMO) last posted its quarterly earnings data on Monday, July 31st. The semiconductor producer reported $0.69 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.73 by ($0.04). The firm had revenue of $132.70 million for the quarter, compared to analysts’ expectations of $132.92 million. Silicon Motion Technology Corporation had a net margin of 18.91% and a return on equity of 24.24%. The company’s revenue for the quarter was down 5.7% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.86 EPS. On average, equities analysts expect that Silicon Motion Technology Corporation will post $2.68 EPS for the current fiscal year.

Silicon Motion Technology Corporation declared that its board has approved a share repurchase program on Monday, July 31st that allows the company to repurchase $200.00 million in shares. This repurchase authorization allows the semiconductor producer to reacquire up to 13.7% of its shares through open market purchases. Shares repurchase programs are usually an indication that the company’s board of directors believes its stock is undervalued.

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A number of institutional investors have recently added to or reduced their stakes in the business. Phocas Financial Corp. boosted its holdings in Silicon Motion Technology Corporation by 5.6% in the second quarter. Phocas Financial Corp. now owns 127,512 shares of the semiconductor producer’s stock worth $6,150,000 after purchasing an additional 6,760 shares during the period. Dynamic Technology Lab Private Ltd acquired a new position in Silicon Motion Technology Corporation in the second quarter worth $705,000. The Manufacturers Life Insurance Company boosted its holdings in Silicon Motion Technology Corporation by 23.6% in the second quarter. The Manufacturers Life Insurance Company now owns 287,728 shares of the semiconductor producer’s stock worth $13,877,000 after purchasing an additional 54,865 shares during the period. Cubist Systematic Strategies LLC acquired a new position in Silicon Motion Technology Corporation in the second quarter worth $399,000. Finally, State Street Corp boosted its holdings in Silicon Motion Technology Corporation by 10.7% in the second quarter. State Street Corp now owns 36,417 shares of the semiconductor producer’s stock worth $1,757,000 after purchasing an additional 3,509 shares during the period. 81.15% of the stock is owned by hedge funds and other institutional investors.

About Silicon Motion Technology Corporation

Silicon Motion Technology Corporation is a fabless semiconductor company. The Company designs, develops and markets low-power semiconductor solutions to original equipment manufacturers (OEMs) and other customers in the mobile storage and mobile communications markets. It is engaged in developing negative-AND (NAND) flash controller integrated circuits (ICs) for solid-state storage devices and specialty radio frequency (RF) ICs for mobile devices.

Analyst Recommendations for Silicon Motion Technology Corporation (NASDAQ:SIMO)

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