Freestone Grove Partners LP Acquires New Shares in Semtech Corporation $SMTC

Freestone Grove Partners LP bought a new stake in Semtech Corporation (NASDAQ:SMTC) during the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor bought 86,512 shares of the semiconductor company’s stock, valued at approximately $14,002,000.

A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in SMTC. FNY Investment Advisers LLC grew its position in shares of Semtech by 900.0% during the 2nd quarter. FNY Investment Advisers LLC now owns 200 shares of the semiconductor company’s stock worth $32,000 after buying an additional 180 shares during the period. Mitsubishi UFJ Asset Management Co. Ltd. bought a new position in Semtech during the 2nd quarter worth approximately $32,000. Banque Cantonale Vaudoise bought a new position in Semtech during the 1st quarter worth approximately $33,000. IFP Advisors Inc acquired a new position in Semtech during the fourth quarter valued at approximately $53,000. Finally, Allworth Financial LP acquired a new position in Semtech during the second quarter valued at approximately $55,000.

Semtech Stock Performance

Shares of SMTC opened at $142.43 on Friday. The firm has a market cap of $13.27 billion, a P/E ratio of 94.33 and a beta of 2.35. Semtech Corporation has a twelve month low of $55.18 and a twelve month high of $177.35. The company has a debt-to-equity ratio of 0.47, a quick ratio of 1.62 and a current ratio of 1.70. The firm’s 50 day moving average price is $135.62 and its two-hundred day moving average price is $119.01.

Semtech (NASDAQ:SMTC) last issued its quarterly earnings data on Tuesday, August 25th. The semiconductor company reported $0.71 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.61 by $0.10. Semtech had a net margin of 13.11% and a return on equity of 21.74%. The company had revenue of $341.87 million during the quarter, compared to the consensus estimate of $328.67 million. During the same quarter in the prior year, the firm earned $0.41 earnings per share. The firm’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. On average, analysts forecast that Semtech Corporation will post 1.81 EPS for the current fiscal year.

Insider Activity

In related news, insider John Michael Wilson sold 5,500 shares of the stock in a transaction dated Monday, June 22nd. The stock was sold at an average price of $170.00, for a total transaction of $935,000.00. Following the completion of the transaction, the insider directly owned 80,876 shares in the company, valued at approximately $13,748,920. This trade represents a 6.37% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Jason Elliot Green sold 2,264 shares of Semtech stock in a transaction that occurred on Tuesday, July 7th. The shares were sold at an average price of $129.90, for a total value of $294,093.60. Following the completion of the sale, the executive vice president directly owned 8,611 shares in the company, valued at approximately $1,118,568.90. This represents a 20.82% decrease in their position. 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. In the last 90 days, insiders have sold 21,734 shares of company stock worth $3,133,986. 0.44% of the stock is currently owned by insiders.

Wall Street Analyst Weigh In

SMTC has been the topic of several analyst reports. New Street Research set a $230.00 target price on shares of Semtech in a report on Thursday, August 20th. Susquehanna boosted their price target on shares of Semtech from $170.00 to $200.00 and gave the company a “positive” rating in a report on Wednesday, May 27th. Stifel Nicolaus upped their price objective on shares of Semtech from $157.00 to $188.00 and gave the company a “buy” rating in a research report on Wednesday, May 27th. Mizuho set a $225.00 price objective on Semtech in a research note on Wednesday, May 27th. Finally, BMO Capital Markets assumed coverage on Semtech in a report on Wednesday. They set an “outperform” rating and a $155.00 target price on the stock. Fifteen investment analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $204.71.

Trending Headlines about Semtech

Here are the key news stories impacting Semtech this week:

• Positive Sentiment: Quarterly beat and stronger outlook: Semtech reported adjusted EPS of $0.71 versus the $0.61 consensus estimate and revenue of approximately $341.9 million, ahead of expectations. Revenue grew roughly 33% year over year, while management issued Q3 EPS guidance of $1.02–$1.08. Semtech Stock Rallies on Strong Q2 Results and Raised Guidance
• Positive Sentiment: AI and data-center demand are accelerating: Data-center revenue reportedly rose 91%, supported by AI infrastructure investment. Management highlighted a ramp toward 1.6-terabit connectivity, record backlog, capacity expansion, and sustained demand for higher-speed networking products. SMTC Q2 Earnings Call Spotlights 1.6T Data Center Growth
• Positive Sentiment: Portfolio shift may improve profitability: Semtech’s planned divestiture of its cellular business is intended to concentrate resources on data-center and connectivity markets, while potentially creating a structural improvement in margins. Debt reduction and stronger profitability also supported the bullish reaction. Semtech Dumps Cellular Business to Double Down on Data Centers
• Positive Sentiment: Analysts raised their stance: Northland Securities upgraded SMTC from Market Perform to Outperform and set a $182 price target, arguing that connectivity is becoming a key bottleneck for AI infrastructure. Needham maintained a Buy rating with a $200 target, while other analysts cited targets as high as $215. Northland lifts Semtech rating, sees connectivity as the AI bottleneck
• Neutral Sentiment: Investor expectations are elevated: Increased call-option activity reflects bullish positioning, but SMTC trades at a high earnings multiple and remains exposed to execution, capacity-expansion, and semiconductor-cycle risks.

Semtech Company Profile

Semtech Corporation is a leading supplier of high-performance analog and mixed-signal semiconductors and advanced algorithms. The company’s products address a broad range of applications in the Internet of Things (IoT), data center and telecom, industrial, home automation, automotive, and aerospace markets. Semtech’s portfolio includes power management, signal integrity, protection devices, wireless and sensing technologies that enable smarter, more connected systems worldwide.

A core offering from Semtech is its LoRa® technology, a low-power, long-range wireless communication platform that has become a de facto standard for global IoT deployments.