Silicon Motion Technology Co. (NASDAQ:SIMO) Announces $0.50 Quarterly Dividend

Silicon Motion Technology Co. (NASDAQ:SIMO) declared a quarterly dividend on Friday, January 10th,Wall Street Journal reports. Stockholders of record on Thursday, August 7th will be given a dividend of 0.50 per share by the semiconductor producer on Thursday, August 21st. This represents a $2.00 dividend on an annualized basis and a dividend yield of 3.78%. The ex-dividend date is Thursday, August 7th.

Silicon Motion Technology has raised its dividend payment by an average of 8.9% annually over the last three years. Silicon Motion Technology has a dividend payout ratio of 39.0% indicating that its dividend is sufficiently covered by earnings. Equities research analysts expect Silicon Motion Technology to earn $2.99 per share next year, which means the company should continue to be able to cover its $2.00 annual dividend with an expected future payout ratio of 66.9%.

Silicon Motion Technology Price Performance

SIMO stock opened at $52.96 on Friday. The stock has a market capitalization of $1.78 billion, a PE ratio of 20.06, a price-to-earnings-growth ratio of 1.61 and a beta of 0.80. The company’s 50-day moving average is $54.91 and its 200-day moving average is $61.24. Silicon Motion Technology has a 1 year low of $50.50 and a 1 year high of $85.87.

Silicon Motion Technology (NASDAQ:SIMO) last released its quarterly earnings data on Wednesday, October 30th. The semiconductor producer reported $0.92 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.85 by $0.07. The company had revenue of $212.40 million for the quarter, compared to analysts’ expectations of $209.49 million. Silicon Motion Technology had a net margin of 10.90% and a return on equity of 11.52%. The business’s revenue was up 23.3% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.32 EPS. On average, analysts anticipate that Silicon Motion Technology will post 2.59 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

SIMO has been the topic of a number of research analyst reports. Morgan Stanley cut their price objective on shares of Silicon Motion Technology from $78.00 to $65.00 and set an “overweight” rating on the stock in a research report on Monday, September 16th. StockNews.com raised shares of Silicon Motion Technology from a “hold” rating to a “buy” rating in a research report on Thursday, December 19th. Craig Hallum dropped their price target on shares of Silicon Motion Technology from $96.00 to $90.00 and set a “buy” rating on the stock in a research report on Thursday, October 31st. Needham & Company LLC dropped their price target on shares of Silicon Motion Technology from $94.00 to $75.00 and set a “buy” rating on the stock in a research report on Friday, November 1st. Finally, Susquehanna dropped their price target on shares of Silicon Motion Technology from $110.00 to $95.00 and set a “positive” rating on the stock in a research report on Friday, November 1st. One research analyst has rated the stock with a sell rating and nine have assigned a buy rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $81.67.

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.