Silicon Motion Technology (NASDAQ:SIMO) Shares Gap Up – Here’s What Happened

Shares of Silicon Motion Technology Corporation (NASDAQ:SIMO) gapped up prior to trading on Tuesday . The stock had previously closed at $252.61, but opened at $269.95. Silicon Motion Technology shares last traded at $266.42, with a volume of 55,835 shares trading hands.

Wall Street Analysts Forecast Growth

SIMO has been the subject of several recent research reports. Craig Hallum reissued a “buy” rating and set a $250.00 price target on shares of Silicon Motion Technology in a research report on Thursday, April 30th. Wedbush upped their price objective on Silicon Motion Technology from $230.00 to $400.00 and gave the company an “outperform” rating in a research report on Monday, June 22nd. Roth Capital restated a “buy” rating and issued a $250.00 price objective on shares of Silicon Motion Technology in a research report on Wednesday, April 29th. Weiss Ratings lowered Silicon Motion Technology from a “buy (b-)” rating to a “hold (c)” rating in a research note on Wednesday, May 6th. Finally, Susquehanna lifted their price objective on Silicon Motion Technology from $175.00 to $275.00 and gave the stock a “positive” rating in a research report on Thursday, April 30th. One equities research analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating and one has assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of “Buy” and an average target price of $246.43.

Silicon Motion Technology Price Performance

The business’s 50-day moving average price is $289.64 and its two-hundred day moving average price is $187.60. The firm has a market cap of $9.24 billion, a price-to-earnings ratio of 54.25, a price-to-earnings-growth ratio of 0.58 and a beta of 1.70.

Silicon Motion Technology (NASDAQ:SIMO) last announced its earnings results on Tuesday, April 28th. The semiconductor producer reported $1.58 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.31 by $0.27. Silicon Motion Technology had a net margin of 16.02% and a return on equity of 20.24%. The firm had revenue of $342.11 million for the quarter, compared to analyst estimates of $299.53 million. During the same quarter last year, the business earned $0.60 earnings per share. Silicon Motion Technology’s revenue was up 105.5% compared to the same quarter last year. As a group, sell-side analysts forecast that Silicon Motion Technology Corporation will post 8.48 earnings per share for the current year.

Insider Buying and Selling at Silicon Motion Technology

In other news, Director Kuan-Ming Lin sold 2,000 shares of the firm’s stock in a transaction on Wednesday, June 17th. The stock was sold at an average price of $305.00, for a total transaction of $610,000.00. Following the sale, the director owned 8,500 shares in the company, valued at $2,592,500. This trade represents a 19.05% 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, Director Han-Ping Shieh sold 1,000 shares of Silicon Motion Technology stock in a transaction on Thursday, June 18th. The shares were sold at an average price of $328.00, for a total value of $328,000.00. Following the completion of the sale, the director directly owned 7,500 shares of the company’s stock, valued at approximately $2,460,000. This represents a 11.76% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 4,000 shares of company stock valued at $1,239,250 over the last quarter. 5.34% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Silicon Motion Technology

Several large investors have recently added to or reduced their stakes in SIMO. Brown Brothers Harriman & Co. acquired a new stake in Silicon Motion Technology in the 3rd quarter worth about $26,000. WealthCollab LLC grew its holdings in Silicon Motion Technology by 77.4% in the 4th quarter. WealthCollab LLC now owns 346 shares of the semiconductor producer’s stock valued at $32,000 after buying an additional 151 shares during the period. Cooper Investors PTY Ltd. acquired a new position in shares of Silicon Motion Technology during the 2nd quarter valued at about $34,000. Arax Advisory Partners increased its stake in shares of Silicon Motion Technology by 220.9% during the 4th quarter. Arax Advisory Partners now owns 446 shares of the semiconductor producer’s stock valued at $41,000 after acquiring an additional 307 shares during the last quarter. Finally, EverSource Wealth Advisors LLC lifted its holdings in shares of Silicon Motion Technology by 169.4% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 582 shares of the semiconductor producer’s stock worth $44,000 after acquiring an additional 366 shares during the period. 78.02% of the stock is currently owned by hedge funds and other institutional investors.

Silicon Motion Technology Company Profile

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.