Silicon Motion Technology (NASDAQ:SIMO) Stock Price Down 8.1% – Here’s Why

Silicon Motion Technology Corporation (NASDAQ:SIMO) shares traded down 8.1% on Thursday. The company traded as low as $259.06 and last traded at $262.5280. Approximately 534,222 shares changed hands during mid-day trading, a decline of 39% from the average daily volume of 879,778 shares. The stock had previously closed at $285.78.

Analyst Ratings Changes

A number of research analysts recently weighed in on SIMO shares. Craig Hallum reissued a “buy” rating and set a $325.00 price target on shares of Silicon Motion Technology in a research report on Friday, July 31st. Zacks Research lowered Silicon Motion Technology from a “strong-buy” rating to a “hold” rating in a research note on Friday, October 2nd. Weiss Ratings upgraded Silicon Motion Technology from a “buy (b-)” rating to a “buy (b)” rating in a report on Friday, October 2nd. Needham & Company LLC raised their price target on shares of Silicon Motion Technology from $240.00 to $355.00 and gave the company a “buy” rating in a report on Thursday, July 30th. Finally, Roth Capital reaffirmed a “buy” rating and set a $350.00 price target on shares of Silicon Motion Technology in a research report on Thursday, July 30th. Nine investment analysts have rated the stock with a Buy rating and one has given a Hold rating to the company’s stock. Based on data from MarketBeat.com, Silicon Motion Technology presently has an average rating of “Moderate Buy” and a consensus price target of $341.43.

Silicon Motion Technology Trading Down 8.5%

The business has a 50 day simple moving average of $259.54 and a two-hundred day simple moving average of $242.88. The stock has a market cap of $8.86 billion, a price-to-earnings ratio of 30.72, a price-to-earnings-growth ratio of 0.49 and a beta of 1.69.

Silicon Motion Technology (NASDAQ:SIMO) last released its earnings results on Wednesday, July 29th. The semiconductor producer reported $2.43 EPS for the quarter, beating the consensus estimate of $2.13 by $0.30. Silicon Motion Technology had a return on equity of 32.04% and a net margin of 22.06%.The company had revenue of $451.00 million during the quarter, compared to analysts’ expectations of $403.41 million. During the same period in the prior year, the business posted $0.69 EPS. The business’s revenue was up 127.0% on a year-over-year basis. Research analysts anticipate that Silicon Motion Technology Corporation will post 10.78 EPS for the current fiscal year.

Institutional Investors Weigh In On Silicon Motion Technology

Hedge funds and other institutional investors have recently modified their holdings of the stock. Wolf Hill Capital Management LP acquired a new stake in shares of Silicon Motion Technology in the fourth quarter worth $53,893,000. Hawk Ridge Capital Management LP lifted its position in shares of Silicon Motion Technology by 48.9% during the 1st quarter. Hawk Ridge Capital Management LP now owns 1,173,315 shares of the semiconductor producer’s stock worth $131,752,000 after purchasing an additional 385,568 shares during the last quarter. Arrowstreet Capital Limited Partnership boosted its stake in Silicon Motion Technology by 112.3% during the 1st quarter. Arrowstreet Capital Limited Partnership now owns 425,697 shares of the semiconductor producer’s stock valued at $47,802,000 after purchasing an additional 225,221 shares during the period. AIGH Capital Management LLC acquired a new stake in Silicon Motion Technology in the 1st quarter valued at approximately $22,458,000. Finally, Summit Partners Public Asset Management LLC increased its position in Silicon Motion Technology by 33.7% in the 4th quarter. Summit Partners Public Asset Management LLC now owns 534,932 shares of the semiconductor producer’s stock worth $49,588,000 after buying an additional 134,927 shares during the period. Institutional investors own 78.02% of the company’s stock.

Silicon Motion Technology Company Profile

Silicon Motion Technology Corporation is a fabless semiconductor company that designs and develops NAND flash storage controllers and related semiconductor solutions. Its products manage data storage, performance, reliability and power consumption in devices that use NAND flash memory.

The company supplies controllers for client solid-state drives (SSDs), enterprise and industrial storage applications, embedded storage products such as eMMC and UFS, and removable storage including memory cards and USB flash drives.