Silicon Motion Technology Corporation

NasdaqGS:SIMO Stock Report

Market Cap: US$1.9b

Silicon Motion Technology Valuation

Is SIMO undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of SIMO when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: SIMO ($53.23) is trading below our estimate of fair value ($113.09)

Significantly Below Fair Value: SIMO is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for SIMO?

Key metric: As SIMO is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for SIMO. This is calculated by dividing SIMO's market cap by their current earnings.
What is SIMO's PE Ratio?
PE Ratio20.2x
EarningsUS$88.77m
Market CapUS$1.86b

Price to Earnings Ratio vs Peers

How does SIMO's PE Ratio compare to its peers?

The above table shows the PE ratio for SIMO vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average43.9x
DIOD Diodes
47.3x52.0%US$2.9b
HIMX Himax Technologies
16.8x24.3%US$1.3b
SYNA Synaptics
18.5x-75.7%US$3.0b
POWI Power Integrations
93.2x41.2%US$3.5b
SIMO Silicon Motion Technology
20.2x27.5%US$1.9b

Price-To-Earnings vs Peers: SIMO is good value based on its Price-To-Earnings Ratio (20.2x) compared to the peer average (43.9x).

Price to Earnings Ratio vs Industry

How does SIMO's PE Ratio compare vs other companies in the US Semiconductor Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
SQNS Sequans Communications
1.7x-156.5%US$70.73m
MMAT.Q Meta Materials
n/an/aUS$6.00
No more companies available in this PE range
SIMO 20.2xIndustry Avg. 29.1xNo. of Companies11PE020406080100+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: SIMO is good value based on its Price-To-Earnings Ratio (20.2x) compared to the US Semiconductor industry average (29.1x).

Price to Earnings Ratio vs Fair Ratio

What is SIMO's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

SIMO PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio20.2x
Fair PE Ratio22.6x

Price-To-Earnings vs Fair Ratio: SIMO is good value based on its Price-To-Earnings Ratio (20.2x) compared to the estimated Fair Price-To-Earnings Ratio (22.6x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst SIMO forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$53.23
US$77.11
+44.9%
17.6%US$95.00US$50.00n/a9
Dec ’25US$53.07
US$77.11
+45.3%
17.6%US$95.00US$50.00n/a9
Nov ’25US$52.78
US$77.11
+46.1%
17.6%US$95.00US$50.00n/a9
Oct ’25US$59.57
US$86.89
+45.9%
17.1%US$110.00US$60.00n/a9
Sep ’25US$63.57
US$88.33
+39.0%
14.9%US$110.00US$60.00n/a9
Aug ’25US$64.86
US$97.22
+49.9%
9.0%US$112.00US$88.00n/a9
Jul ’25US$79.87
US$94.78
+18.7%
8.9%US$110.00US$85.00n/a9
Jun ’25US$78.09
US$94.33
+20.8%
8.3%US$110.00US$85.00n/a9
May ’25US$71.70
US$85.56
+19.3%
14.1%US$101.00US$59.00n/a9
Apr ’25US$79.70
US$82.44
+3.4%
13.1%US$100.00US$59.00n/a9
Mar ’25US$72.20
US$82.11
+13.7%
12.8%US$100.00US$59.00n/a9
Feb ’25US$63.54
US$76.67
+20.7%
14.5%US$100.00US$59.00n/a9
Jan ’25US$61.27
US$74.50
+21.6%
17.2%US$100.00US$54.00n/a10
Dec ’24US$58.83
US$74.50
+26.6%
17.2%US$100.00US$54.00US$53.0710
Nov ’24US$54.25
US$75.20
+38.6%
22.1%US$106.00US$58.00US$52.7810
Oct ’24US$51.25
US$75.10
+46.5%
23.0%US$106.00US$56.00US$59.5710
Sep ’24US$54.48
US$74.64
+37.0%
22.1%US$106.00US$56.00US$63.5711
Aug ’24US$63.42
US$74.64
+17.7%
22.1%US$106.00US$56.00US$64.8611
Jul ’24US$71.86
US$79.50
+10.6%
23.2%US$107.00US$55.00US$79.8710
Jun ’24US$62.94
US$79.44
+26.2%
24.4%US$107.00US$55.00US$78.099
May ’24US$61.64
US$84.22
+36.6%
21.0%US$109.00US$60.00US$71.709
Apr ’24US$65.52
US$88.00
+34.3%
22.9%US$120.00US$60.00US$79.7010
Mar ’24US$67.29
US$88.00
+30.8%
22.9%US$120.00US$60.00US$72.2010
Feb ’24US$65.39
US$89.30
+36.6%
22.4%US$120.00US$60.00US$63.5410
Jan ’24US$64.99
US$91.44
+40.7%
21.9%US$120.00US$60.00US$61.279
Dec ’23US$63.02
US$91.44
+45.1%
21.9%US$120.00US$60.00US$58.839

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/19 04:56
End of Day Share Price 2024/12/19 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Silicon Motion Technology Corporation is covered by 25 analysts. 9 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Jie LiuAuriga USA LLC
Michael BurtonBenchmark Company
Dong-je WooBofA Global Research