As of Friday close, Semtech Corporation’s (NASDAQ:SMTC) stock was down -$0.32, moving down -1.28 percent to $24.71. The average number of shares traded per day over the past five days has been 683,380 shares. 2 times new highs have been achieved over the past 5 days, with a -$0.64 fall in that time frame. In the last twenty days, the average volume was 678,690, while in the previous 50 days, it was 1,426,326.
Since last month, SMTC stock retreated -10.01%. Shares of the company fell to $24.61 on 08/18/23, the lowest level in the past month. A 52-week high of $54.51 was reached on 02/02/23 after having rallying from a 52-week low of $17.82. Since the beginning of this year, SMTC’s stock price has dropped by -13.87% or -$3.98, and marked a new high 12 times. However, the stock has declined by -54.67% since its 52-week high.
Valuation Metrics
The stock’s beta is 1.70. Besides these, the trailing price-to-sales (P/S) ratio of 2.05, the price-to-book (PB) ratio of 2.15.
Financial Health
In the three months ended April 29, Semtech Corporation’s quick ratio stood at 1.50, while its current ratio was 2.10, showing that the company is able to pay off its debt. According to company report, the long-term debt-to-equity ratio for the quarter ending April 29 was 1.82, and the total debt-to-equity ratio was 1.88. On the profitability front, the trailing twelve-month gross margin is 57.20% percent. In the year ended April 29, EBITDA margin amounted to 25.89%, whereas operating margins totaled 3.20%. Based on annual data, SMTC earned $478.56 million in gross profit and brought in $756.53 million in revenue.
A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was 3.20%. Return on equity (ROE) for the past 12 months was -0.80%.
In Semtech Corporation’s quarter-end financial report for April 29, it reported total debt of $1.34 billion. According to the earnings report, the company had a higher net income in the recent quarter than it did in the previous quarter. SMTC’s revenue rose 14.54% to $151.84 million during the quarter, while net income inched up to $236.54 million. While analysts expected Semtech Corporation to report -$0.08 quarterly earnings, the actual figure was $0.02 per share, beating the consensus estimate by 125.00%. During the quarter, the company generated $15.69 million in EBITDA. The liabilities of Semtech Corporation were 1.77 billion at the end of its most recent quarter ended April 29, and its total debt was $1.42 billion. The value of shareholders’ equity is $63.96 million.
Technical Picture
This quick technical analysis looks at Semtech Corporation’s (SMTC) price momentum. With a historical volatility rate of 15.11%, the RSI 9-day stood at 25.75% on 18 August.
With respect to its five-day moving average, the current Semtech Corporation price is down by -2.52% percent or -$0.64. At present, SMTC shares trade -9.15% below its 20-day simple moving average and -20.75% percent below its 100-day simple moving average. However, the stock is currently trading approximately +10.16% above its SMA50 and -10.76% below its SMA200.
Stochastic coefficient K was 5.95% and Stochastic coefficient D was 6.94%, while ATR was 0.76. Given the Stochastic reading of 2.15% for the 14-day period, the RSI (14) reading has been calculated as 35.63%. As of today, the MACD Oscillator reading stands at -0.67, while the 14-day reading stands at -1.42.
Analyst Ratings
Craig Hallum launched its rating on Semtech Corporation (NASDAQ: SMTC) to a Buy in a note to investors on June 21, 2023. Semtech Corporation (SMTC) has been rated Overweight by analysts. According to 0 brokerage firms, SMTC is a sell, and 5 firms recommend it is a Hold. There are 0 analysts who say the stock is underweight. A total of 1 analyst rate Semtech Corporation stock as buy, with 7 recommending it as overweight.
With a median target price of $37.50, the current consensus forecast for the stock is $28.00 – $56.00. Based on these forecasts, analysts predict Semtech Corporation (SMTC) will achieve an average price target of $39.00.
