Silicon Motion Technology (NASDAQ:SIMO) Trading Up 5% – Time to Buy?

Shares of Silicon Motion Technology Co. (NASDAQ:SIMO) shot up 5% during trading on Friday . The stock traded as high as $59.45 and last traded at $59.09. 153,812 shares traded hands during trading, a decline of 58% from the average session volume of 370,254 shares. The stock had previously closed at $56.27.

Wall Street Analyst Weigh In

A number of equities research analysts have recently weighed in on SIMO shares. Roth Mkm dropped their price objective on shares of Silicon Motion Technology from $90.00 to $80.00 and set a “buy” rating on the stock in a report on Tuesday, October 8th. Susquehanna decreased their target price on Silicon Motion Technology from $110.00 to $95.00 and set a “positive” rating on the stock in a research report on Friday, November 1st. StockNews.com lowered shares of Silicon Motion Technology from a “buy” rating to a “hold” rating in a research report on Wednesday. Bank of America cut shares of Silicon Motion Technology from a “buy” rating to an “underperform” rating and lowered their price target for the company from $90.00 to $60.00 in a research report on Friday, August 16th. Finally, Needham & Company LLC reduced their price objective on shares of Silicon Motion Technology from $94.00 to $75.00 and set a “buy” rating on the stock in a report on Friday, November 1st. One research analyst has rated the stock with a sell rating, one has assigned a hold rating and eight have assigned a buy rating to the company. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $81.67.

Silicon Motion Technology Stock Performance

The stock has a market capitalization of $2.00 billion, a price-to-earnings ratio of 21.31, a PEG ratio of 1.53 and a beta of 0.82. The business has a 50-day moving average of $55.61 and a 200-day moving average of $64.93.

Silicon Motion Technology (NASDAQ:SIMO) last announced its earnings results on Wednesday, October 30th. The semiconductor producer reported $0.92 EPS for the quarter, beating analysts’ consensus estimates of $0.85 by $0.07. Silicon Motion Technology had a net margin of 10.90% and a return on equity of 11.52%. The business had revenue of $212.40 million for the quarter, compared to analysts’ expectations of $209.49 million. During the same period in the previous year, the company posted $0.32 EPS. The company’s quarterly revenue was up 23.3% on a year-over-year basis. On average, research analysts predict that Silicon Motion Technology Co. will post 2.59 earnings per share for the current fiscal year.

Silicon Motion Technology Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, November 27th. Investors of record on Thursday, November 14th were paid a dividend of $0.50 per share. This represents a $2.00 annualized dividend and a dividend yield of 3.37%. The ex-dividend date of this dividend was Thursday, November 14th. Silicon Motion Technology’s payout ratio is 75.38%.

Institutional Investors Weigh In On Silicon Motion Technology

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Naples Global Advisors LLC increased its holdings in Silicon Motion Technology by 3.1% during the 2nd quarter. Naples Global Advisors LLC now owns 17,410 shares of the semiconductor producer’s stock worth $1,410,000 after purchasing an additional 525 shares during the last quarter. Blue Trust Inc. grew its stake in shares of Silicon Motion Technology by 3,971.4% in the 2nd quarter. Blue Trust Inc. now owns 570 shares of the semiconductor producer’s stock valued at $44,000 after purchasing an additional 556 shares during the period. LRI Investments LLC raised its holdings in shares of Silicon Motion Technology by 100.1% in the 2nd quarter. LRI Investments LLC now owns 3,987 shares of the semiconductor producer’s stock worth $323,000 after buying an additional 1,994 shares in the last quarter. F M Investments LLC acquired a new stake in shares of Silicon Motion Technology during the 2nd quarter worth about $12,718,000. Finally, Principal Financial Group Inc. increased its stake in shares of Silicon Motion Technology by 139.3% in the second quarter. Principal Financial Group Inc. now owns 17,020 shares of the semiconductor producer’s stock valued at $1,378,000 after buying an additional 9,909 shares in the last quarter. 78.02% of the stock is currently owned by institutional investors and hedge funds.

About Silicon Motion Technology

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.