MaxLinear (NASDAQ:MXL) Shares Gap Down – Here’s Why

MaxLinear, Inc (NASDAQ:MXL)’s stock price gapped down before the market opened on Wednesday . The stock had previously closed at $86.06, but opened at $81.57. MaxLinear shares last traded at $87.3410, with a volume of 478,383 shares changing hands.

Wall Street Analyst Weigh In

MXL has been the subject of a number of research analyst reports. Deutsche Bank Aktiengesellschaft reiterated a “hold” rating and set a $40.00 price target on shares of MaxLinear in a report on Friday, April 24th. Stifel Nicolaus boosted their price objective on shares of MaxLinear from $105.00 to $110.00 and gave the stock a “buy” rating in a report on Monday, June 29th. Wall Street Zen cut shares of MaxLinear from a “buy” rating to a “hold” rating in a research note on Saturday. Needham & Company LLC raised MaxLinear from a “hold” rating to a “buy” rating and set a $60.00 target price on the stock in a research report on Friday, April 24th. Finally, Weiss Ratings restated a “sell (d-)” rating on shares of MaxLinear in a research note on Friday. Five investment 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. According to data from MarketBeat, MaxLinear has an average rating of “Hold” and an average target price of $71.00.

MaxLinear Trading Up 4.7%

The company has a debt-to-equity ratio of 0.27, a quick ratio of 1.12 and a current ratio of 1.70. The stock has a market cap of $8.07 billion, a P/E ratio of -59.41 and a beta of 3.91. The company has a 50-day simple moving average of $90.55 and a 200-day simple moving average of $48.73.

MaxLinear (NASDAQ:MXL) last announced its earnings results on Thursday, April 23rd. The semiconductor company reported $0.22 earnings per share for the quarter, beating analysts’ consensus estimates of $0.18 by $0.04. The company had revenue of $137.19 million during the quarter, compared to analyst estimates of $137.15 million. MaxLinear had a negative return on equity of 2.33% and a negative net margin of 25.96%.The firm’s quarterly revenue was up 43.0% compared to the same quarter last year. During the same period last year, the company posted ($0.05) earnings per share. On average, sell-side analysts forecast that MaxLinear, Inc will post 0.5 EPS for the current fiscal year.

Insider Buying and Selling

In other MaxLinear news, Director Thomas E. Pardun sold 11,000 shares of the stock in a transaction on Tuesday, May 26th. The stock was sold at an average price of $105.00, for a total value of $1,155,000.00. Following the transaction, the director directly owned 55,252 shares in the company, valued at approximately $5,801,460. This trade represents a 16.60% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Connie H. Kwong sold 35,000 shares of the business’s stock in a transaction on 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 sale, the insider owned 13,947 shares of the company’s stock, valued at approximately $1,352,301.12. The trade was a 71.51% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 65,168 shares of company stock worth $5,559,358 over the last quarter. 7.70% of the stock is owned by company insiders.

Institutional Trading of MaxLinear

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. EverSource Wealth Advisors LLC lifted its holdings in shares of MaxLinear by 16.1% during the 1st quarter. EverSource Wealth Advisors LLC now owns 1,563 shares of the semiconductor company’s stock valued at $27,000 after purchasing an additional 217 shares in the last quarter. GAMMA Investing LLC lifted its stake in MaxLinear by 5.6% in the second quarter. GAMMA Investing LLC now owns 6,152 shares of the semiconductor company’s stock valued at $788,000 after buying an additional 326 shares in the last quarter. Carolina Wealth Advisors LLC bought a new position in MaxLinear in the second quarter valued at approximately $47,000. Captrust Financial Advisors boosted its holdings in shares of MaxLinear by 4.3% in the fourth quarter. Captrust Financial Advisors now owns 14,074 shares of the semiconductor company’s stock valued at $245,000 after buying an additional 577 shares during the period. Finally, State of Alaska Department of Revenue raised its holdings in shares of MaxLinear by 1.4% during the fourth quarter. State of Alaska Department of Revenue now owns 45,677 shares of the semiconductor company’s stock worth $795,000 after acquiring an additional 632 shares during the period. 90.79% of the stock is 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.