SiTime (NASDAQ:SITM) Trading 9.1% Higher – Should You Buy?

SiTime Corporation (NASDAQ:SITM) shares traded up 9.1% on Monday . The company traded as high as $362.00 and last traded at $354.8950. 70,725 shares changed hands during trading, a decline of 83% from the average session volume of 406,922 shares. The stock had previously closed at $325.32.

Analyst Ratings Changes

SITM has been the subject of a number of analyst reports. Raymond James Financial reissued an “outperform” rating on shares of SiTime in a research report on Tuesday, December 2nd. Stifel Nicolaus set a $450.00 target price on shares of SiTime in a research note on Thursday, February 5th. UBS Group lifted their price target on SiTime from $430.00 to $485.00 and gave the stock a “buy” rating in a report on Thursday, February 5th. Wall Street Zen raised SiTime from a “hold” rating to a “buy” rating in a research report on Sunday. Finally, Weiss Ratings restated a “sell (d-)” rating on shares of SiTime in a research note on Thursday, January 22nd. Seven investment analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $409.38.

SiTime Stock Up 8.0%

The stock has a market capitalization of $9.24 billion, a price-to-earnings ratio of -194.04 and a beta of 2.53. The company’s fifty day simple moving average is $375.92 and its 200 day simple moving average is $332.36.

SiTime (NASDAQ:SITM) last announced its earnings results on Wednesday, February 4th. The company reported $1.53 EPS for the quarter, topping the consensus estimate of $1.20 by $0.33. SiTime had a negative net margin of 13.13% and a negative return on equity of 2.06%. The business had revenue of $113.29 million during the quarter, compared to the consensus estimate of $101.91 million. During the same quarter in the previous year, the firm posted $0.48 EPS. SiTime’s revenue was up 66.3% compared to the same quarter last year. As a group, analysts anticipate that SiTime Corporation will post -2.44 earnings per share for the current year.

Insider Activity at SiTime

In related news, insider Samsheer Ahamad sold 9,100 shares of the firm’s stock in a transaction dated Wednesday, February 11th. The shares were sold at an average price of $441.47, for a total transaction of $4,017,377.00. Following the transaction, the insider directly owned 52,938 shares of the company’s stock, valued at approximately $23,370,538.86. This trade represents a 14.67% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Raman Chitkara sold 501 shares of SiTime stock in a transaction dated Monday, March 2nd. The stock was sold at an average price of $425.03, for a total transaction of $212,940.03. Following the completion of the sale, the director owned 21,508 shares of the company’s stock, valued at $9,141,545.24. This trade represents a 2.28% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 23,263 shares of company stock valued at $9,851,457. Insiders own 2.30% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in SITM. Rakuten Securities Inc. increased its stake in shares of SiTime by 188.5% in the 4th quarter. Rakuten Securities Inc. now owns 75 shares of the company’s stock valued at $26,000 after purchasing an additional 49 shares during the last quarter. Hantz Financial Services Inc. boosted its stake in SiTime by 190.3% in the third quarter. Hantz Financial Services Inc. now owns 90 shares of the company’s stock valued at $27,000 after buying an additional 59 shares in the last quarter. Optiver Holding B.V. grew its position in SiTime by 56.1% in the third quarter. Optiver Holding B.V. now owns 89 shares of the company’s stock valued at $27,000 after acquiring an additional 32 shares during the last quarter. Larson Financial Group LLC grew its position in SiTime by 3,200.0% in the third quarter. Larson Financial Group LLC now owns 99 shares of the company’s stock valued at $30,000 after acquiring an additional 96 shares during the last quarter. Finally, Caitong International Asset Management Co. Ltd acquired a new position in SiTime during the fourth quarter worth about $33,000. 84.31% of the stock is owned by institutional investors.

About SiTime

SiTime Corporation is a fabless semiconductor company specializing in silicon timing solutions that leverage micro-electromechanical systems (MEMS) technology as an alternative to traditional quartz crystals. Its portfolio of programmable oscillators, resonators, clock generators, jitter attenuators and network synchronizers addresses precision timekeeping requirements across a wide range of electronic systems. By integrating MEMS resonators with advanced mixed-signal control circuitry, SiTime’s products offer enhanced reliability, resistance to shock and vibration, and a smaller footprint compared with conventional quartz devices.

The company’s timing devices serve diverse end markets, including telecommunications infrastructure, data center and enterprise networking, consumer electronics, automotive systems, industrial automation, and aerospace and defense applications.