SiTime (NASDAQ:SITM) Stock Price Down 9.4% – Time to Sell?

SiTime Corporation (NASDAQ:SITM) shares traded down 9.4% on Thursday . The company traded as low as $645.41 and last traded at $637.4080. Approximately 136,824 shares traded hands during mid-day trading, a decline of 72% from the average session volume of 480,219 shares. The stock had previously closed at $703.84.

Analysts Set New Price Targets

A number of research firms have recently issued reports on SITM. Weiss Ratings restated a “sell (d-)” rating on shares of SiTime in a research report on Tuesday, April 21st. Needham & Company LLC lifted their price objective on SiTime from $450.00 to $850.00 and gave the stock a “buy” rating in a research report on Thursday, May 7th. Stifel Nicolaus boosted their price objective on SiTime from $450.00 to $500.00 and gave the stock a “buy” rating in a research note on Thursday, April 16th. Barclays raised SiTime from an “equal weight” rating to an “overweight” rating and boosted their price objective for the stock from $400.00 to $850.00 in a research note on Thursday, May 7th. Finally, Wall Street Zen cut SiTime from a “buy” rating to a “hold” rating in a report on Saturday, June 27th. One analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, SiTime has an average rating of “Moderate Buy” and an average price target of $661.88.

SiTime Price Performance

The company has a market capitalization of $15.88 billion, a PE ratio of -595.70 and a beta of 2.91. The business’s 50 day simple moving average is $695.57 and its 200 day simple moving average is $489.90.

SiTime (NASDAQ:SITM) last posted its quarterly earnings results on Wednesday, May 6th. The company reported $1.44 earnings per share for the quarter, beating the consensus estimate of $1.14 by $0.30. The business had revenue of $113.57 million during the quarter, compared to analysts’ expectations of $103.51 million. SiTime had a negative net margin of 6.38% and a positive return on equity of 0.53%. The business’s revenue for the quarter was up 88.3% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.26 EPS. As a group, analysts anticipate that SiTime Corporation will post 3.23 EPS for the current year.

Insider Transactions at SiTime

In other SiTime news, insider Fariborz Assaderaghi sold 1,709 shares of the firm’s stock in a transaction on Friday, May 22nd. The stock was sold at an average price of $731.49, for a total transaction of $1,250,116.41. Following the completion of the sale, the insider owned 81,436 shares of the company’s stock, valued at $59,569,619.64. This trade represents a 2.06% 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. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Rajesh Vashist sold 30,000 shares of SiTime stock in a transaction on Wednesday, June 3rd. The shares were sold at an average price of $701.13, for a total value of $21,033,900.00. Following the completion of the sale, the chief executive officer owned 402,898 shares in the company, valued at $282,483,874.74. This represents a 6.93% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 73,375 shares of company stock valued at $51,931,438 in the last ninety days. 1.40% of the stock is currently owned by corporate insiders.

Institutional Trading of SiTime

A number of hedge funds and other institutional investors have recently modified their holdings of the business. Rakuten Securities Inc. raised its holdings in 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 buying an additional 49 shares during the period. Parallel Advisors LLC boosted its stake in SiTime by 26.2% during the first quarter. Parallel Advisors LLC now owns 77 shares of the company’s stock worth $27,000 after buying an additional 16 shares during the period. Larson Financial Group LLC boosted its stake in SiTime by 3,200.0% during the third quarter. Larson Financial Group LLC now owns 99 shares of the company’s stock worth $30,000 after buying an additional 96 shares during the period. Caitong International Asset Management Co. Ltd acquired a new stake in shares of SiTime during the fourth quarter valued at about $33,000. Finally, Danske Bank A S acquired a new stake in shares of SiTime during the fourth quarter valued at about $35,000. 84.31% of the stock is owned by institutional investors and hedge funds.

SiTime Company Profile

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.