Semtech (NASDAQ:SMTC) Earns Buy Rating from TD Cowen

Semtech (NASDAQ:SMTC)‘s stock had its “buy” rating restated by TD Cowen in a note issued to investors on Friday, Benzinga reports. They currently have a $215.00 price target on the semiconductor company’s stock. TD Cowen’s price objective would suggest a potential upside of 57.24% from the company’s current price.

Several other research analysts have also issued reports on the company. Benchmark reaffirmed a “buy” rating on shares of Semtech in a research report on Thursday, August 20th. Northland Securities raised Semtech from a “market perform” rating to an “outperform” rating and set a $186.00 target price for the company in a research report on Friday. Wall Street Zen raised Semtech from a “buy” rating to a “strong-buy” rating in a research report on Saturday, August 29th. Stifel Nicolaus decreased their price target on Semtech from $220.00 to $200.00 and set a “buy” rating for the company in a report on Friday. Finally, Seaport Research Partners initiated coverage on Semtech in a report on Tuesday, September 22nd. They set a “buy” rating and a $200.00 price target for the company. One research analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat.com, Semtech has an average rating of “Moderate Buy” and a consensus price target of $213.11.

Semtech Price Performance

Shares of SMTC stock traded down $7.48 during trading hours on Friday, reaching $136.73. The company’s stock had a trading volume of 4,946,455 shares, compared to its average volume of 2,882,108. Semtech has a fifty-two week low of $60.28 and a fifty-two week high of $201.99. The company has a market capitalization of $12.76 billion, a price-to-earnings ratio of 90.55 and a beta of 2.41. The company has a quick ratio of 1.31, a current ratio of 1.70 and a debt-to-equity ratio of 0.47. The firm’s 50 day simple moving average is $157.02 and its 200-day simple moving average is $139.23.

Semtech (NASDAQ:SMTC) last announced its quarterly earnings results on Tuesday, August 25th. The semiconductor company reported $0.71 EPS for the quarter, beating analysts’ consensus estimates of $0.61 by $0.10. Semtech had a return on equity of 21.74% and a net margin of 13.11%. The company had revenue of $341.87 million during the quarter, compared to analysts’ expectations of $328.67 million. During the same period in the prior year, the company earned $0.41 EPS. Semtech’s revenue was up 32.7% compared to the same quarter last year. Semtech has set its Q3 2027 guidance at 1.020-1.080 EPS. Sell-side analysts forecast that Semtech will post 2.64 earnings per share for the current year.

Insider Buying and Selling at Semtech

In related news, Director Paul Walsh, Jr. sold 500 shares of the firm’s stock in a transaction that occurred on Wednesday, September 23rd. The stock was sold at an average price of $172.61, for a total transaction of $86,305.00. Following the completion of the sale, the director owned 26,600 shares of the company’s stock, valued at $4,591,426. This trade represents a 1.85% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Jason Elliot Green sold 2,766 shares of the firm’s stock in a transaction dated Wednesday, October 7th. The shares were sold at an average price of $190.35, for a total value of $526,508.10. Following the completion of the sale, the executive vice president owned 7,367 shares of the company’s stock, valued at approximately $1,402,308.45. This represents a 27.30% decrease in their ownership of the stock. 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 have sold a total of 13,737 shares of company stock valued at $2,267,877 over the last ninety days. Insiders own 0.44% of the company’s stock.

Institutional Trading of Semtech

Large investors have recently made changes to their positions in the company. Leonteq Securities AG grew its stake in shares of Semtech by 11.2% during the first quarter. Leonteq Securities AG now owns 1,171 shares of the semiconductor company’s stock valued at $90,000 after buying an additional 118 shares during the last quarter. Corient Private Wealth LP grew its stake in shares of Semtech by 4.0% during the second quarter. Corient Private Wealth LP now owns 3,147 shares of the semiconductor company’s stock valued at $515,000 after buying an additional 122 shares during the last quarter. ABS Investment Management LLC bought a new position in shares of Semtech during the second quarter valued at about $178,035,000. FNY Investment Advisers LLC grew its stake in shares of Semtech by 900.0% during the second quarter. FNY Investment Advisers LLC now owns 200 shares of the semiconductor company’s stock valued at $32,000 after buying an additional 180 shares during the last quarter. Finally, Mitsubishi UFJ Asset Management Co. Ltd. bought a new position in shares of Semtech during the second quarter valued at about $32,000.

Trending Headlines about Semtech

Here are the key news stories impacting Semtech this week:

• Positive Sentiment: Semtech raised its near-term Q3 guidance and presented a longer-term outlook through 2030, helping support a recovery in the stock. Northland Securities upgraded SMTC from “market perform” to “outperform” and set a $186 price target. Semtech rises as it boosts Q3 guidance, offers up 2030 outlook; Northland upgrades
• Positive Sentiment: The company expects data-center revenue to more than double in fiscal 2028 and 2029. Baird reaffirmed its “outperform” rating and $300 target, citing record bookings and strong two-year visibility from demand for copper, fiber and optical connectivity used in AI infrastructure. Semtech eyes data center revenue surge as AI infrastructure spending grows
• Positive Sentiment: TD Cowen maintained a “buy” rating with a $215 price target, while BMO raised its target to $230. These targets indicate analysts see substantial upside if Semtech delivers on its data-center growth plans.
• Positive Sentiment: Investors purchased approximately 6,179 SMTC call options, about 43% above average daily volume, signaling increased speculative interest in a rebound.
• Neutral Sentiment: Stifel lowered its price target from $220 to $200 but retained a “buy” rating, suggesting valuation or execution concerns while preserving a positive long-term view. Semtech Stock Rebounds as Wall Street Turns Focus to Near-Term Earnings Targets
• Negative Sentiment: Despite the improved outlook, some investors viewed SMTC as expensive after its roughly eightfold run over the past year. That valuation concern likely contributed to selling pressure around analyst day and could limit further gains unless earnings growth accelerates. Semtech Stock Looks Expensive After Its 8x Run

About Semtech

Semtech Corporation is a global semiconductor and technology company that designs and supplies analog and mixed-signal products for communications, industrial, automotive, consumer, and infrastructure applications. Its solutions are used to manage, protect, connect, and transmit data in electronic systems.

The company’s portfolio includes signal-integrity products, protection devices, power-management components, optical and high-speed connectivity solutions, and video-processing technologies.