Silicon Motion Technology Co. Plans Quarterly Dividend of $0.50 (NASDAQ:SIMO)

Silicon Motion Technology Co. (NASDAQ:SIMO) declared a quarterly dividend on Monday, January 13th,Wall Street Journal reports. Investors of record on Thursday, August 7th will be paid a dividend of 0.50 per share by the semiconductor producer on Thursday, August 21st. This represents a $2.00 dividend on an annualized basis and a yield of 3.78%. The ex-dividend date is Thursday, August 7th.

Silicon Motion Technology has raised its dividend payment by an average of 8.9% per year over the last three years. Silicon Motion Technology has a payout ratio of 39.0% meaning its dividend is sufficiently covered by earnings. Equities analysts expect Silicon Motion Technology to earn $2.99 per share next year, which means the company should continue to be able to cover its $2.00 annual dividend with an expected future payout ratio of 66.9%.

Silicon Motion Technology Price Performance

Shares of Silicon Motion Technology stock opened at $52.96 on Monday. The stock has a market cap of $1.78 billion, a price-to-earnings ratio of 20.06, a PEG ratio of 1.61 and a beta of 0.80. The firm’s 50-day moving average is $54.91 and its 200 day moving average is $60.97. Silicon Motion Technology has a 1 year low of $50.50 and a 1 year high of $85.87.

Silicon Motion Technology (NASDAQ:SIMO) last posted its earnings results on Wednesday, October 30th. The semiconductor producer reported $0.92 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.85 by $0.07. The business had revenue of $212.40 million for the quarter, compared to analysts’ expectations of $209.49 million. Silicon Motion Technology had a net margin of 10.90% and a return on equity of 11.52%. The business’s revenue for the quarter was up 23.3% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.32 EPS. On average, equities analysts expect that Silicon Motion Technology will post 2.59 EPS for the current fiscal year.

Analysts Set New Price Targets

Several equities analysts have issued reports on the stock. Roth Mkm lowered their target price on shares of Silicon Motion Technology from $90.00 to $80.00 and set a “buy” rating on the stock in a research note on Tuesday, October 8th. StockNews.com raised shares of Silicon Motion Technology from a “hold” rating to a “buy” rating in a research report on Thursday, December 19th. Susquehanna reduced their price target on shares of Silicon Motion Technology from $110.00 to $95.00 and set a “positive” rating for the company in a research report on Friday, November 1st. Needham & Company LLC reduced their price target on shares of Silicon Motion Technology from $94.00 to $75.00 and set a “buy” rating for the company in a research report on Friday, November 1st. Finally, Morgan Stanley reduced their price target on shares of Silicon Motion Technology from $78.00 to $65.00 and set an “overweight” rating for the company in a research report on Monday, September 16th. One analyst has rated the stock with a sell rating and nine have issued a buy rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $81.67.

About Silicon Motion Technology

Silicon Motion Technology Corporation, together with its subsidiaries, designs, develops, and markets NAND flash controllers for solid-state storage devices. The company offers controllers for computing-grade solid state drives (SSDs), which are used in PCs and other client devices; enterprise-grade SSDs used in data centers; eMMC and UFS mobile embedded storage for use in smartphones and IoT devices; flash memory cards and flash drives for use in expandable storage; and specialized SSDs that are used in industrial, commercial, and automotive applications.