Semtech Corporation designs, develops, manufactures, and markets analog and mixed-signal semiconductor products and advanced algorithms. More Details
Flawless balance sheet with solid track record.
Share Price & News
How has Semtech's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SMTC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: SMTC's weekly volatility (5%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: SMTC underperformed the US Semiconductor industry which returned 55.5% over the past year.
Return vs Market: SMTC underperformed the US Market which returned 39% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Semtech's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StCalculating The Fair Value Of Semtech Corporation (NASDAQ:SMTC)
3 weeks ago | Simply Wall StSemtech (NASDAQ:SMTC) Shareholders Have Enjoyed An Impressive 164% Share Price Gain
1 month ago | Simply Wall StI Ran A Stock Scan For Earnings Growth And Semtech (NASDAQ:SMTC) Passed With Ease
Is Semtech undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: SMTC ($64.09) is trading below our estimate of fair value ($75.24)
Significantly Below Fair Value: SMTC is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: SMTC is poor value based on its PE Ratio (56.5x) compared to the US Semiconductor industry average (33.3x).
PE vs Market: SMTC is poor value based on its PE Ratio (56.5x) compared to the US market (19.2x).
Price to Earnings Growth Ratio
PEG Ratio: SMTC is poor value based on its PEG Ratio (2.6x)
Price to Book Ratio
PB vs Industry: SMTC is overvalued based on its PB Ratio (5.9x) compared to the US Semiconductor industry average (4.5x).
How is Semtech forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SMTC's forecast earnings growth (21.4% per year) is above the savings rate (2%).
Earnings vs Market: SMTC's earnings (21.4% per year) are forecast to grow faster than the US market (15.6% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: SMTC's revenue (10.5% per year) is forecast to grow faster than the US market (9.4% per year).
High Growth Revenue: SMTC's revenue (10.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if SMTC's Return on Equity is forecast to be high in 3 years time
How has Semtech performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SMTC has high quality earnings.
Growing Profit Margin: SMTC's current net profit margins (11.7%) are higher than last year (5.4%).
Past Earnings Growth Analysis
Earnings Trend: SMTC's earnings have grown by 5.9% per year over the past 5 years.
Accelerating Growth: SMTC's earnings growth over the past year (148.6%) exceeds its 5-year average (5.9% per year).
Earnings vs Industry: SMTC earnings growth over the past year (148.6%) exceeded the Semiconductor industry 48.9%.
Return on Equity
High ROE: SMTC's Return on Equity (10.5%) is considered low.
How is Semtech's financial position?
Financial Position Analysis
Short Term Liabilities: SMTC's short term assets ($461.4M) exceed its short term liabilities ($96.5M).
Long Term Liabilities: SMTC's short term assets ($461.4M) exceed its long term liabilities ($268.6M).
Debt to Equity History and Analysis
Debt Level: SMTC's debt to equity ratio (25.1%) is considered satisfactory.
Reducing Debt: SMTC's debt to equity ratio has reduced from 46.7% to 25.1% over the past 5 years.
Debt Coverage: SMTC's debt is well covered by operating cash flow (71%).
Interest Coverage: SMTC's interest payments on its debt are well covered by EBIT (17.5x coverage).
What is Semtech current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate SMTC's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate SMTC's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if SMTC's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if SMTC's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of SMTC's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Mohan Maheswaran (56 yo)
Mr. Mohan R. Maheswaran has been the Chief Executive Officer and President of Semtech Corporation since joining on April 3, 2006. Mr. Maheswaran served as General Manager of Analog Signal Processing Produc...
CEO Compensation Analysis
Compensation vs Market: Mohan's total compensation ($USD1.52M) is below average for companies of similar size in the US market ($USD5.32M).
Compensation vs Earnings: Mohan's compensation has been consistent with company performance over the past year.
Experienced Management: SMTC's management team is seasoned and experienced (7.4 years average tenure).
Experienced Board: SMTC's board of directors are considered experienced (8.2 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: SMTC insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Semtech Corporation's company bio, employee growth, exchange listings and data sources
- Name: Semtech Corporation
- Ticker: SMTC
- Exchange: NasdaqGS
- Founded: 1960
- Industry: Semiconductors
- Sector: Semiconductors
- Market Cap: US$4.161b
- Shares outstanding: 64.93m
- Website: https://www.semtech.com
Number of Employees
- Semtech Corporation
- 200 Flynn Road
- United States
Semtech Corporation designs, develops, manufactures, and markets analog and mixed-signal semiconductor products and advanced algorithms. The company provides signal integrity products, including a portfoli...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/06/23 06:13|
|End of Day Share Price||2021/06/22 00:00|
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.