Geode Capital Management Expands Investment in Semtech Co. Shares

Geode Capital Management LLC has increased its stake in Semtech Co. (NASDAQ:SMTC) by 8.0% during the third quarter of the year, as reported in its latest filing with the SEC. Following this purchase, the firm now holds a total of 1,617,783 shares of the semiconductor company, having acquired an additional 119,572 shares during the quarter. As of this disclosure, Geode Capital Management's holdings in Semtech were valued at approximately $73,883,000.

Additionally, a number of other institutional investors have also adjusted their positions in Semtech recently. Notably, Huntington National Bank saw a significant increase of 105.2% in its holdings, bringing its total to 589 shares, valued at $27,000 after buying 302 more shares in the last quarter. Likewise, Arizona State Retirement System raised its stake by 2.3%, ending up with 18,074 shares worth $540,000 due to the purchase of an additional 407 shares in the second quarter.

Hanseatic Management Services Inc. increased its ownership by 3.2%, owning 14,406 shares now valued at $658,000 after acquiring 447 shares. Nisa Investment Advisors LLC grew its stake by 6.9%, totaling 7,159 shares valued at $214,000 after buying 461 additional shares. Creative Planning also lifted its stake by 3.4%, ending with 18,018 shares worth $538,000 after purchasing 588 shares during the same quarter.

Semtech's Stock Performance Overview

As of Friday, Semtech shares (NASDAQ: SMTC) opened at $63.55. Over the past year, the company's stock has seen a low of $18.16 and a high of $70.27. The 50-day moving average price currently stands at $53.30, while the 200-day moving average price is at $42.11. Semtech boasts a market capitalization of around $4.81 billion, with a P/E ratio of -4.87 and a beta of 1.65.

Recently, Semtech released its quarterly earnings report on November 25th. The semiconductor manufacturer reported earnings per share (EPS) of $0.26, surpassing analyst expectations of $0.23. The revenue for the quarter was reported at $236.80 million, also exceeding estimates of $232.89 million. Semtech has experienced a negative return on equity of 154.99% and a negative net margin of 99.08%. Comparatively, the company saw a 17.9% increase in quarterly revenue compared to the same period last year, with the previous year posting an EPS of $0.02. Analysts predict that Semtech is expected to report an EPS of -0.01 for the current financial year.

Analyst Opinions on Semtech Stock

Several analysts have reviewed Semtech's stock in recent days. Needham & Company LLC raised their price target on Semtech from $70.00 to $74.00, rating the stock as “buy” in a report dated December 12th. Northland Securities also increased their price objective from $60.00 to $66.00, issuing an “outperform” rating in a report issued on December 10th. Craig Hallum set a new target price of $70.00, upgrading their rating to “buy” on November 26th. Roth MKM lifted their target from $50.00 to $60.00, providing a “buy” rating in a report released on November 25th. However, Summit Insights downgraded Semtech from “buy” to “hold” in a report dated August 28th. Currently, three analysts have rated Semtech with a hold rating while ten have given it a buy rating, resulting in a consensus of a “Moderate Buy” with an average price target of $68.70, according to MarketBeat.com.

Recent Insider Trading

Moreover, on December 17th, Semtech's Chief Financial Officer, Mark Lin, sold 6,114 shares in a transaction at an average price of $65.74, totaling approximately $401,934.36. Post-transaction, Lin directly holds 3,531 shares valued at roughly $232,127.94, reflecting a notable 63.39% decrease in his ownership of the stock. This transaction was disclosed in a filing with the Securities and Exchange Commission (SEC), where it was reported that insiders collectively own 0.60% of Semtech’s stock.

About Semtech Corporation

Semtech Corporation is known for designing, developing, manufacturing, and marketing analog and mixed-signal semiconductors, along with advanced algorithms. The company offers various signal integrity products and integrated circuits that serve multiple sectors, including optical data communications, video transport, data centers, and enterprise networks, among others.

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