SiTime (NASDAQ:SITM) Shares Gap Down – Should You Sell?

SiTime Corporation (NASDAQ:SITM) gapped down before the market opened on Monday . The stock had previously closed at $342.20, but opened at $330.00. SiTime shares last traded at $337.4570, with a volume of 8,426 shares.

Wall Street Analyst Weigh In

A number of brokerages recently issued reports on SITM. Loop Capital started coverage on shares of SiTime in a research report on Friday, November 21st. They set a “buy” rating and a $350.00 target price on the stock. Raymond James Financial reaffirmed an “outperform” rating on shares of SiTime in a research report on Tuesday, December 2nd. Stifel Nicolaus set a $360.00 target price on SiTime in a research note on Thursday, November 6th. Roth Capital reissued a “buy” rating and issued a $350.00 price target on shares of SiTime in a research note on Thursday, November 6th. Finally, UBS Group lifted their price target on SiTime from $355.00 to $375.00 and gave the company a “buy” rating in a report on Thursday, November 6th. Seven equities research analysts have rated the stock with a Buy rating and two have issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $343.13.

SiTime Stock Performance

The stock has a fifty day moving average price of $329.61 and a 200-day moving average price of $274.94. The firm has a market cap of $8.99 billion, a PE ratio of -116.40 and a beta of 2.49.

SiTime (NASDAQ:SITM) last released its quarterly earnings data on Wednesday, November 5th. The company reported $0.87 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.71 by $0.16. SiTime had a negative net margin of 25.18% and a negative return on equity of 5.69%. The company had revenue of $83.57 million during the quarter, compared to the consensus estimate of $78.08 million. During the same period in the previous year, the firm earned $0.40 earnings per share. SiTime’s revenue for the quarter was up 44.8% on a year-over-year basis. As a group, equities analysts predict that SiTime Corporation will post -2.44 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, insider Fariborz Assaderaghi sold 1,500 shares of the company’s stock in a transaction on Monday, December 1st. The shares were sold at an average price of $291.58, for a total value of $437,370.00. Following the completion of the transaction, the insider directly owned 84,815 shares in the company, valued at approximately $24,730,357.70. This represents a 1.74% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Rajesh Vashist sold 10,000 shares of the firm’s stock in a transaction on Thursday, November 6th. The shares were sold at an average price of $329.00, for a total transaction of $3,290,000.00. Following the sale, the chief executive officer directly owned 439,208 shares of the company’s stock, valued at approximately $144,499,432. The trade was a 2.23% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 21,500 shares of company stock worth $6,791,710 in the last 90 days. 2.10% of the stock is owned by company insiders.

Hedge Funds Weigh In On SiTime

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Optiver Holding B.V. increased its position in shares of SiTime by 56.1% during the third quarter. Optiver Holding B.V. now owns 89 shares of the company’s stock worth $27,000 after acquiring an additional 32 shares during the last quarter. Atlas Brown Inc. grew its position in shares of SiTime by 1.6% during the fourth quarter. Atlas Brown Inc. now owns 2,292 shares of the company’s stock worth $810,000 after buying an additional 37 shares in the last quarter. Verdence Capital Advisors LLC grew its position in shares of SiTime by 3.7% during the third quarter. Verdence Capital Advisors LLC now owns 1,118 shares of the company’s stock worth $309,000 after buying an additional 40 shares in the last quarter. Bessemer Group Inc. increased its stake in shares of SiTime by 27.4% in the third quarter. Bessemer Group Inc. now owns 186 shares of the company’s stock worth $55,000 after buying an additional 40 shares during the last quarter. Finally, Smartleaf Asset Management LLC raised its holdings in SiTime by 10.9% in the third quarter. Smartleaf Asset Management LLC now owns 427 shares of the company’s stock valued at $125,000 after acquiring an additional 42 shares in the last quarter. 84.31% of the stock is owned by hedge funds and other institutional investors.

SiTime Company Profile

SiTime Corporation is a fabless semiconductor company specializing in silicon timing solutions that leverage micro-electromechanical systems (MEMS) technology as an alternative to traditional quartz crystals. Its portfolio of programmable oscillators, resonators, clock generators, jitter attenuators and network synchronizers addresses precision timekeeping requirements across a wide range of electronic systems. By integrating MEMS resonators with advanced mixed-signal control circuitry, SiTime’s products offer enhanced reliability, resistance to shock and vibration, and a smaller footprint compared with conventional quartz devices.

The company’s timing devices serve diverse end markets, including telecommunications infrastructure, data center and enterprise networking, consumer electronics, automotive systems, industrial automation, and aerospace and defense applications.