Silicon Motion Technology Stock: A Deep Dive Into Analyst Perspectives (11 Ratings)
Providing a diverse range of perspectives from bullish to bearish, 11 analysts have published ratings on Silicon Motion Technology (NASDAQ:SIMO) in the last three months.
The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 5 | 6 | 0 | 0 | 0 |
| Last 30D | 1 | 2 | 0 | 0 | 0 |
| 1M Ago | 2 | 2 | 0 | 0 | 0 |
| 2M Ago | 1 | 0 | 0 | 0 | 0 |
| 3M Ago | 1 | 2 | 0 | 0 | 0 |
Analysts have set 12-month price targets for Silicon Motion Technology, revealing an average target of $90.18, a high estimate of $110.00, and a low estimate of $85.00. Observing a 9.53% increase, the current average has risen from the previous average price target of $82.33.
Analyzing Analyst Ratings: A Detailed Breakdown
The perception of Silicon Motion Technology by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Mehdi Hosseini | Susquehanna | Raises | Positive | $110.00 | $100.00 |
| Ray Wu | Morgan Stanley | Raises | Overweight | $88.00 | $59.00 |
| Quinn Bolton | Needham | Maintains | Buy | $85.00 | - |
| Matt Bryson | Wedbush | Maintains | Outperform | $85.00 | - |
| Craig Ellis | B. Riley Securities | Raises | Buy | $101.00 | $93.00 |
| Matt Bryson | Wedbush | Maintains | Outperform | $85.00 | - |
| Quinn Bolton | Needham | Raises | Buy | $85.00 | $75.00 |
| Craig Ellis | B. Riley Securities | Raises | Buy | $93.00 | $90.00 |
| Gokul Hariharan | JP Morgan | Raises | Overweight | $85.00 | $77.00 |
| Matt Bryson | Wedbush | Maintains | Outperform | $85.00 | - |
| Craig Ellis | B. Riley Securities | Announces | Buy | $90.00 | - |
Key Insights:
- Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Silicon Motion Technology. This offers insight into analysts' perspectives on the current state of the company.
- Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Silicon Motion Technology compared to the broader market.
- Price Targets: Analysts gauge the dynamics of price targets, providing estimates for the future value of Silicon Motion Technology's stock. This comparison reveals trends in analysts' expectations over time.
Capture valuable insights into Silicon Motion Technology's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.
Stay up to date on Silicon Motion Technology analyst ratings.
Unveiling the Story Behind Silicon Motion Technology
Silicon Motion Technology Corp is active in the semiconductor industry and focuses on designing, developing, and marketing of controllers for managing NAND flash used in embedded storage applications, such as eMMC embedded memory. Its only operating segment is to develop NAND flash controllers and SSDs solutions. The company derives revenue from product categories such as Mobile Storage, Mobile Communications, and others. Silicon's geographical segments are Taiwan, the United States, Korea, China, Singapore, Malaysia, and others. The company products are used in Personal Computing, Smartphone/Tablet/CE, Flash Card/USB Flash Drive, Industrial and Embedded, Automotive, and Enterprise and Data centers.
Key Indicators: Silicon Motion Technology's Financial Health
Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.
Revenue Growth: Over the 3 months period, Silicon Motion Technology showcased positive performance, achieving a revenue growth rate of 0.81% as of 31 December, 2023. This reflects a substantial increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Information Technology sector.
Net Margin: Silicon Motion Technology's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 10.42% net margin, the company effectively manages costs and achieves strong profitability.
Return on Equity (ROE): Silicon Motion Technology's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 2.8% ROE, the company effectively utilizes shareholder equity capital.
Return on Assets (ROA): Silicon Motion Technology's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 2.14% ROA, the company effectively utilizes its assets for optimal returns.
Debt Management: Silicon Motion Technology's debt-to-equity ratio is below the industry average. With a ratio of 0.0, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.
The Significance of Analyst Ratings Explained
Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.
Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.
If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.
This article was generated by Benzinga's automated content engine and reviewed by an editor.