Semtech soars after Q1 outlook

Semtech

01/04/2024 15:35

** Shares of semiconductor supplier Semtech Corp  SMTC.O 
jump more than 9.7% to $30.1
    ** On Thursday, co forecast Q1 adjusted EPS of $0.00, +/-
$0.04 and net sales of $200.0 mln, +/- $5.0 mln vs estimates of
adjusted EPS $0.03 and net sales $204.0 mln
    ** However, SMTC reported Q4 net sales of $192.9 mln and
adjusted loss of $0.06 per share, missing analyst estimate of
$196.5 mln and loss of $0.03 - LSEG
        ** At least five brokerages raise PT on stock following
results and outlook
  
    ** Craig-Hallum ("buy", PT: $36): "We believe investors
should own SMTC now as they drive shareholder value from cost
cuts, revenue normalization, data center and AI growth, and
paying off their large debt balance"
        ** 12 of 13 analysts rate stock "buy" or "strong "buy",
rest "hold", with median PT of $36.09 representing upside
potential of 31% - LSEG
    ** Up to Thursday's close, shares up ~25.5% YTD

 (Reporting by Atharva Singh in Bengaluru)
 ((Atharva.singh@thomsonreuters.com))