NXP Semiconductors (NASDAQ:NXPI) Trading Down 4% Following Analyst Downgrade

NXP Semiconductors N.V. (NASDAQ:NXPI) dropped 4% during trading on Monday after UBS Group downgraded the stock from a buy rating to a hold rating. UBS Group now has a $270.00 price target on the stock. NXP Semiconductors traded as low as $218.24 and last traded at $219.9410. Approximately 1,871,066 shares were traded during mid-day trading, a decline of 48% from the average session volume of 3,575,712 shares. The stock had previously closed at $229.16.

A number of other research firms also recently commented on NXPI. Bank of America reaffirmed a “neutral” rating on shares of NXP Semiconductors in a research note on Wednesday, July 29th. Deutsche Bank Aktiengesellschaft restated a “buy” rating on shares of NXP Semiconductors in a research note on Wednesday, April 29th. Loop Capital upped their price objective on NXP Semiconductors from $275.00 to $290.00 and gave the stock a “buy” rating in a research report on Wednesday, April 29th. Raymond James Financial lifted their target price on NXP Semiconductors from $250.00 to $300.00 and gave the company an “outperform” rating in a research report on Wednesday, April 29th. Finally, Wolfe Research boosted their target price on NXP Semiconductors from $270.00 to $320.00 and gave the stock an “outperform” rating in a research note on Wednesday, April 29th. 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 company’s stock. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average price target of $305.43.

Insider Activity

In other NXP Semiconductors news, EVP Christopher L. Jensen sold 1,746 shares of the business’s stock in a transaction that occurred on Monday, June 1st. The shares were sold at an average price of $316.53, for a total transaction of $552,661.38. Following the sale, the executive vice president directly owned 3,643 shares of the company’s stock, valued at $1,153,118.79. The trade was a 32.40% decrease in their position. The transaction was disclosed in a legal filing with the SEC, 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 business’s stock in a transaction on Monday, June 15th. The stock was sold at an average price of $315.57, for a total transaction of $315,570.00. Following the completion of the sale, the executive vice president directly owned 8,942 shares in the company, valued at approximately $2,821,826.94. This represents a 10.06% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.05% of the stock is currently owned by company insiders.

Institutional Trading of NXP Semiconductors

Institutional investors have recently bought and sold shares of the company. JPL Wealth Management LLC bought a new stake in shares of NXP Semiconductors in the 3rd quarter valued at $26,000. SHP Wealth Management bought a new position in shares of NXP Semiconductors in the fourth quarter valued at $27,000. Allied Private Wealth LLC bought a new position in NXP Semiconductors in the 2nd quarter valued at about $28,000. Acumen Wealth Advisors LLC bought a new position in shares of NXP Semiconductors in the fourth quarter valued at approximately $28,000. Finally, Jessup Wealth Management Inc bought a new position in shares of NXP Semiconductors in the fourth quarter valued at approximately $29,000. Institutional investors own 90.54% of the company’s stock.

NXP Semiconductors Price Performance

The firm has a market cap of $59.91 billion, a P/E ratio of 20.27, a P/E/G ratio of 0.76 and a beta of 1.81. The company has a fifty day moving average of $286.74 and a 200-day moving average of $252.71. The company has a debt-to-equity ratio of 0.88, a current ratio of 2.04 and a quick ratio of 1.36.

NXP Semiconductors (NASDAQ:NXPI) last posted its earnings results on Wednesday, July 29th. The semiconductor provider reported $3.61 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.52 by $0.09. NXP Semiconductors had a net margin of 22.56% and a return on equity of 27.83%. The firm had revenue of $3.50 billion during the quarter, compared to analyst estimates of $3.47 billion. During the same quarter in the prior year, the business posted $2.72 EPS. The business’s revenue was up 19.5% compared to the same quarter last year. On average, sell-side analysts anticipate that NXP Semiconductors N.V. will post 13.73 EPS for the current fiscal year.

NXP Semiconductors Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, July 9th. Shareholders of record on Wednesday, June 24th were paid a $1.014 dividend. The ex-dividend date was Wednesday, June 24th. This represents a $4.06 annualized dividend and a yield of 1.7%. NXP Semiconductors’s dividend payout ratio (DPR) is 34.64%.

About NXP Semiconductors

NXP Semiconductors N.V. is a global semiconductor company headquartered in Eindhoven, the Netherlands, that designs and supplies mixed-signal and standard product solutions for a broad range of end markets. The company focuses on enabling secure connections and infrastructure for embedded applications, developing technologies used across automotive, industrial and Internet of Things (IoT), mobile, and communication infrastructure segments. NXP’s offerings target customers that require reliable, secure, and high-performance semiconductor components for connected devices and systems.

Product lines include microcontrollers and application processors, secure elements and authentication technologies, RF and high-power analog components, connectivity solutions, and vehicle networking and infotainment systems.