NXP Semiconductors (NASDAQ:NXPI) Stock Price Breaks Below Two Hundred Day Moving Average – Time to Sell?

NXP Semiconductors N.V. (NASDAQ:NXPI) passed below its 200-day moving average during trading on Thursday. The stock has a 200-day moving average of $246.45 and traded as low as $244.42. NXP Semiconductors shares last traded at $244.43, with a volume of 12,426,519 shares changing hands.

Wall Street Analyst Weigh In

Several analysts have recently commented on the company. Sanford C. Bernstein restated a “market perform” rating and issued a $290.00 target price (up from $270.00) on shares of NXP Semiconductors in a research note on Wednesday, July 29th. Cantor Fitzgerald reaffirmed an “overweight” rating and set a $400.00 price target on shares of NXP Semiconductors in a research note on Monday, October 26th. Wall Street Zen lowered NXP Semiconductors from a “buy” rating to a “hold” rating in a report on Saturday, October 17th. Morgan Stanley cut their price target on NXP Semiconductors from $338.00 to $313.00 and set an “overweight” rating on the stock in a report on Wednesday, October 28th. Finally, Susquehanna raised their price objective on NXP Semiconductors from $210.00 to $250.00 and gave the company a “neutral” rating in a research note on Tuesday, July 21st. Sixteen investment analysts have rated the stock with a Buy rating, nine have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $295.78.

NXP Semiconductors Stock Down 7.8%

The company has a market cap of $61.61 billion, a price-to-earnings ratio of 19.22, a price-to-earnings-growth ratio of 0.90 and a beta of 1.83. The company has a debt-to-equity ratio of 0.80, a quick ratio of 1.47 and a current ratio of 2.12. The stock’s fifty day moving average is $235.65 and its two-hundred day moving average is $246.45.

NXP Semiconductors (NASDAQ:NXPI) last released its quarterly earnings results on Tuesday, October 27th. The semiconductor provider reported $4.20 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $4.12 by $0.08. The business had revenue of $3.79 billion during the quarter, compared to the consensus estimate of $3.76 billion. NXP Semiconductors had a return on equity of 28.57% and a net margin of 23.40%. The company’s quarterly revenue was up 19.3% on a year-over-year basis. During the same quarter in the previous year, the business earned $3.11 EPS. Sell-side analysts predict that NXP Semiconductors N.V. will post 13.81 earnings per share for the current fiscal year.

NXP Semiconductors Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, October 8th. Shareholders of record on Wednesday, September 16th were paid a dividend of $1.0140 per share. The ex-dividend date was Wednesday, September 16th. This represents a $4.06 annualized dividend and a yield of 1.7%. NXP Semiconductors’s dividend payout ratio (DPR) is 31.84%.

NXP Semiconductors declared that its board has initiated a share buyback program on Tuesday, October 27th that permits the company to buy back $5 billion in shares. This buyback authorization permits the semiconductor provider to purchase shares of its stock through open market purchases. Share buyback programs are usually a sign that the company’s board believes its shares are undervalued.

Insider Activity

In related news, EVP Christopher L. Jensen sold 3,355 shares of the business’s stock in a transaction dated Thursday, October 1st. The shares were sold at an average price of $240.00, for a total transaction of $805,200.00. Following the transaction, the executive vice president directly owned 288 shares in the company, valued at approximately $69,120. The trade was a 92.09% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Andrew Micallef sold 1,000 shares of the company’s stock in a transaction dated Tuesday, September 15th. The stock was sold at an average price of $226.04, for a total transaction of $226,040.00. Following the completion of the sale, the executive vice president directly owned 7,942 shares of the company’s stock, valued at $1,795,209.68. The trade was a 11.18% 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. Corporate insiders own 0.05% of the company’s stock.

Hedge Funds Weigh In On NXP Semiconductors

Institutional investors have recently modified their holdings of the business. BlackRock Inc. bought a new stake in shares of NXP Semiconductors during the 2nd quarter worth $6,716,412,000. Wellington Management Group LLP purchased a new stake in NXP Semiconductors during the second quarter worth about $21,099,000. Bank of America Corp DE purchased a new stake in NXP Semiconductors during the second quarter worth about $1,169,846,000. Van ECK Associates Corp bought a new stake in NXP Semiconductors in the second quarter worth about $1,167,458,000. Finally, Jupiter Topco LLC bought a new stake in NXP Semiconductors in the second quarter worth about $742,385,000. 90.54% of the stock is owned by institutional investors.

NXP Semiconductors Company Profile

NXP Semiconductors N.V. is a global semiconductor company that develops technologies for automotive, industrial, communications infrastructure, mobile, and Internet of Things applications. The company provides processing, connectivity, security, sensing, and power-management solutions that help enable connected and automated systems.

Its product portfolio includes microcontrollers and application processors, automotive networking and radar solutions, secure identification and authentication technologies, near-field communication products, radio-frequency power amplifiers, analog and mixed-signal devices, and wireless connectivity solutions.