MaxLinear (NASDAQ:MXL) Shares Gap Down – Time to Sell?

MaxLinear, Inc (NASDAQ:MXL)’s stock price gapped down prior to trading on Wednesday . The stock had previously closed at $128.03, but opened at $119.34. MaxLinear shares last traded at $119.4810, with a volume of 895,748 shares changing hands.

Wall Street Analyst Weigh In

Several research firms recently issued reports on MXL. Weiss Ratings reiterated a “sell (d-)” rating on shares of MaxLinear in a research report on Tuesday, April 21st. Benchmark started coverage on shares of MaxLinear in a research report on Wednesday, May 27th. They set a “buy” rating and a $125.00 price objective for the company. Susquehanna reiterated a “neutral” rating and issued a $30.00 target price on shares of MaxLinear in a research report on Monday, April 20th. Needham & Company LLC upgraded shares of MaxLinear from a “hold” rating to a “buy” rating and set a $60.00 price target on the stock in a research note on Friday, April 24th. Finally, Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and set a $40.00 price target on shares of MaxLinear in a report on Friday, April 24th. Five analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, MaxLinear currently has a consensus rating of “Hold” and a consensus target price of $65.50.

MaxLinear Price Performance

The firm has a market capitalization of $10.34 billion, a P/E ratio of -75.65 and a beta of 3.98. The company has a fifty day moving average of $83.42 and a 200 day moving average of $41.21. The company has a debt-to-equity ratio of 0.27, a current ratio of 1.70 and a quick ratio of 1.12.

MaxLinear (NASDAQ:MXL) last released its quarterly earnings results on Thursday, April 23rd. The semiconductor company reported $0.22 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.18 by $0.04. MaxLinear had a negative net margin of 25.96% and a negative return on equity of 2.33%. The firm had revenue of $137.19 million during the quarter, compared to analyst estimates of $137.15 million. During the same quarter last year, the business earned ($0.05) EPS. The company’s revenue was up 43.0% compared to the same quarter last year. Sell-side analysts predict that MaxLinear, Inc will post 0.52 earnings per share for the current year.

Insider Buying and Selling at MaxLinear

In other news, insider Connie H. Kwong sold 35,000 shares of MaxLinear stock in a transaction dated Friday, May 8th. The stock was sold at an average price of $96.96, for a total value of $3,393,600.00. Following the completion of the transaction, the insider directly owned 13,947 shares of the company’s stock, valued at approximately $1,352,301.12. This trade represents a 71.51% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Thomas E. Pardun sold 11,000 shares of the business’s stock in a transaction dated Tuesday, May 26th. The shares were sold at an average price of $105.00, for a total value of $1,155,000.00. Following the completion of the transaction, the director directly owned 55,252 shares in the company, valued at $5,801,460. This represents a 16.60% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 65,168 shares of company stock worth $5,559,358. 7.70% of the stock is owned by company insiders.

Institutional Investors Weigh In On MaxLinear

A number of hedge funds have recently added to or reduced their stakes in the business. Larson Financial Group LLC lifted its stake in MaxLinear by 161.7% in the fourth quarter. Larson Financial Group LLC now owns 1,416 shares of the semiconductor company’s stock valued at $25,000 after buying an additional 875 shares during the period. Smartleaf Asset Management LLC grew its position in shares of MaxLinear by 103.0% during the 4th quarter. Smartleaf Asset Management LLC now owns 1,431 shares of the semiconductor company’s stock worth $25,000 after buying an additional 726 shares during the period. Northwestern Mutual Wealth Management Co. acquired a new stake in shares of MaxLinear during the 4th quarter worth approximately $25,000. International Assets Investment Management LLC bought a new stake in shares of MaxLinear in the 4th quarter valued at $27,000. Finally, EverSource Wealth Advisors LLC increased its stake in shares of MaxLinear by 16.1% in the 1st quarter. EverSource Wealth Advisors LLC now owns 1,563 shares of the semiconductor company’s stock valued at $27,000 after acquiring an additional 217 shares in the last quarter. 90.79% of the stock is currently owned by institutional investors.

MaxLinear Company Profile

MaxLinear, Inc is a provider of radio-frequency (RF), analog, and mixed-signal integrated circuits for broadband communications, data center connectivity, and video infrastructure applications. The company’s product portfolio includes high-performance RF front-end modules, broadband power amplifiers, optical and Ethernet transceivers, and network processors designed to support demanding signal processing requirements.

MaxLinear’s semiconductor solutions are used by cable and satellite television operators, fiber-to-the-home service providers, network equipment manufacturers, and data center operators.