NasdaqGS:SIMO

Stock Analysis Report

Executive Summary

Silicon Motion Technology Corporation, together with its subsidiaries, designs, develops, and markets NAND flash controllers for solid state storage devices worldwide.

Snowflake

Fundamentals

Flawless balance sheet and good value.

Risks

  • Silicon Motion Technology has significant price volatility in the past 3 months.

Similar Companies

Share Price & News

How has Silicon Motion Technology's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-4.5%

SIMO

-0.8%

US Semiconductor

-0.2%

US Market


1 Year Return

-39.6%

SIMO

9.4%

US Semiconductor

1.1%

US Market

SIMO underperformed the Semiconductor industry which returned 9.4% over the past year.

SIMO underperformed the Market in United States of America which returned 1.1% over the past year.


Share holder returns

SIMOIndustryMarket
7 Day-4.5%-0.8%-0.2%
30 Day-2.2%4.9%2.5%
90 Day-22.7%12.0%1.6%
1 Year-37.7%-39.6%11.5%9.4%3.4%1.1%
3 Year-30.2%-35.2%83.0%72.2%45.2%35.8%
5 Year42.5%27.3%123.0%100.4%62.6%44.8%

Price Volatility Vs. Market

How volatile is Silicon Motion Technology's share price compared to the market and industry in the last 5 years?


Simply Wall St News

2 weeks ago | Simply Wall St

What Type Of Shareholder Owns Silicon Motion Technology Corporation's (NASDAQ:SIMO)?

Valuation

Is Silicon Motion Technology undervalued based on future cash flows and its price relative to the stock market?

14.71x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Silicon Motion Technology's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Silicon Motion Technology's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Silicon Motion Technology is good value based on earnings compared to the US Semiconductor industry average.

Silicon Motion Technology is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

Silicon Motion Technology is good value based on expected growth next year.


Price Based on Value of Assets

Silicon Motion Technology is good value based on assets compared to the US Semiconductor industry average.


Next Steps

Future Growth

How is Silicon Motion Technology expected to perform in the next 1 to 3 years based on estimates from 11 analysts?

15.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Silicon Motion Technology's revenue is expected to grow by 12.6% yearly, however this is not considered high growth (20% yearly).

Silicon Motion Technology's earnings are expected to grow by 15.1% yearly, however this is not considered high growth (20% yearly).

Silicon Motion Technology's revenue growth is expected to exceed the United States of America market average.

Silicon Motion Technology's earnings growth is expected to exceed the United States of America market average.

Silicon Motion Technology's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Silicon Motion Technology is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Silicon Motion Technology performed over the past 5 years?

13.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Silicon Motion Technology's year on year earnings growth rate has been positive over the past 5 years.

Silicon Motion Technology's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Silicon Motion Technology's 1-year earnings growth is negative, it can't be compared to the US Semiconductor industry average.


Return on Equity

Silicon Motion Technology has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Silicon Motion Technology used its assets more efficiently than the US Semiconductor industry average last year based on Return on Assets.


Return on Capital Employed

Silicon Motion Technology's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Silicon Motion Technology's financial position?


Financial Position Analysis

Silicon Motion Technology is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Silicon Motion Technology's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Silicon Motion Technology has no debt.

Silicon Motion Technology currently has no debt however we can't compare to 5 years ago as we have no data for that period.

Silicon Motion Technology has no debt, it does not need to be covered by operating cash flow.

Silicon Motion Technology has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

High level of physical assets or inventory.

Silicon Motion Technology has no debt, it does not need to be covered by short term assets.


Next Steps

Dividend

What is Silicon Motion Technology's current dividend yield, its reliability and sustainability?

3.79%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Silicon Motion Technology's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).

Silicon Motion Technology's dividend is below the markets top 25% of dividend payers in United States of America (3.71%).

Whilst dividend payments have been stable, Silicon Motion Technology has been paying a dividend for less than 10 years.

Dividend payments have increased, but Silicon Motion Technology only paid a dividend in the past 7 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.8x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (2.4x coverage).


Next Steps

Management

What is the CEO of Silicon Motion Technology's salary, the management and board of directors tenure and is there insider trading?

4.2yrs

Average management tenure


CEO

Wallace Kou (61yo)

24.7yrs

Tenure

0

Mr. Chia-Chang Kou, also known as Wallace is a Senior Consultant at Concord Venture Capital Co., Ltd. Mr. Kou serves as the President at Silicon Motion Inc. He founded Silicon Motion, Inc. in 1995. He has  ...


Management Age and Tenure

4.2yrs

Average Tenure

55yo

Average Age

The tenure for the Silicon Motion Technology management team is about average.


Board Age and Tenure

14.3yrs

Average Tenure

62yo

Average Age

The average tenure for the Silicon Motion Technology board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Wallace Kou (61yo)

    Founder

    • Tenure: 24.7yrs
  • Arthur Yeh (58yo)

    Vice President of Sales

    • Tenure: 0yrs
  • Ken Chen (58yo)

    Vice President of Operations

    • Tenure: 15.8yrs
  • Riyadh Lai (50yo)

    Chief Financial Officer

    • Tenure: 12.4yrs
  • Chris Chaney

    Director of Investor Relations & Strategy

    • Tenure: 0.4yrs
  • Nelson Duann (50yo)

    Senior VP of Marketing & R&D and Director

    • Tenure: 1yrs
  • Robert Fan (55yo)

    President of SMI USA

    • Tenure: 2.8yrs
  • Xueshi Yang (42yo)

    Senior VP & GM of Shannon Systems

    • Tenure: 4.2yrs

Board Members

  • Wallace Kou (61yo)

    Founder

    • Tenure: 24.7yrs
  • James Chow (69yo)

    Chairman

    • Tenure: 14.4yrs
  • Yung-Chien Wang (56yo)

    Director

    • Tenure: 14.3yrs
  • Lien-Chun Liu (62yo)

    Director

    • Tenure: 14.3yrs
  • Tsung-Ming Chung (69yo)

    Director

    • Tenure: 14.3yrs
  • Han-Ping Shieh (65yo)

    Director

    • Tenure: 5yrs
  • Kenneth Lin (66yo)

    Director

    • Tenure: 1yrs
  • Nelson Duann (50yo)

    Senior VP of Marketing & R&D and Director

    • Tenure: 1yrs
  • Steve Chen (47yo)

    Director

    • Tenure: 7.7yrs

Company Information

Silicon Motion Technology Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Silicon Motion Technology Corporation
  • Ticker: SIMO
  • Exchange: NasdaqGS
  • Founded: 1995
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Market Cap: US$1.189b
  • Shares outstanding: 36.52m
  • Website: https://www.siliconmotion.com

Number of Employees


Location

  • Silicon Motion Technology Corporation
  • #909 Cheung Sha Wan Road
  • 27th Floor
  • Kowloon
  • Kowloon
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SIMONasdaqGS (Nasdaq Global Select)YesSPONS ADR EACH REP 4 COM USD0.01USUSDJun 2005
S9MDB (Deutsche Boerse AG)YesSPONS ADR EACH REP 4 COM USD0.01DEEURJun 2005
SIMO NBMV (Bolsa Mexicana de Valores)YesSPONS ADR EACH REP 4 COM USD0.01MXMXNJun 2005

Biography

Silicon Motion Technology Corporation, together with its subsidiaries, designs, develops, and markets NAND flash controllers for solid state storage devices worldwide. It offers NAND flash controllers for  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/21 00:17
End of Day Share Price2019/09/20 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.