MaxLinear (NASDAQ:MXL) Shares Climb 13.6% – Should You Buy?

MaxLinear, Inc (NASDAQ:MXL)’s stock price traded up 13.6% during trading on Monday. The stock traded as high as $55.30 and last traded at $55.8780. Approximately 730,976 shares traded hands during mid-day trading, a decline of 77% from the average daily volume of 3,172,709 shares. The stock had previously closed at $49.18.

Analyst Ratings Changes

A number of analysts have recently weighed in on the company. Stifel Nicolaus upped their price objective on MaxLinear from $110.00 to $120.00 and gave the stock a “buy” rating in a research report on Friday, July 24th. Roth Capital lifted their target price on MaxLinear from $60.00 to $100.00 and gave the company a “buy” rating in a report on Friday, July 24th. Needham & Company LLC boosted their target price on MaxLinear from $60.00 to $100.00 and gave the stock a “buy” rating in a research note on Friday, July 24th. Susquehanna set a $70.00 price target on MaxLinear in a report on Friday, October 23rd. Finally, Wall Street Zen upgraded MaxLinear from a “hold” rating to a “buy” rating in a report on Sunday, July 26th. One research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, MaxLinear has an average rating of “Moderate Buy” and a consensus target price of $94.30.

MaxLinear Trading Up 11.7%

The company’s fifty day moving average is $76.26 and its two-hundred day moving average is $60.27. The company has a quick ratio of 1.57, a current ratio of 2.22 and a debt-to-equity ratio of 0.31. The stock has a market cap of $5.00 billion, a price-to-earnings ratio of -149.07 and a beta of 3.97.

MaxLinear (NASDAQ:MXL) last posted its quarterly earnings results on Thursday, October 22nd. The semiconductor company reported $0.62 EPS for the quarter, topping the consensus estimate of $0.56 by $0.06. MaxLinear had a negative net margin of 4.45% and a positive return on equity of 12.89%. The company had revenue of $218.06 million during the quarter, compared to analysts’ expectations of $214.95 million. During the same quarter in the previous year, the business posted $0.14 EPS. The firm’s revenue was up 72.4% on a year-over-year basis. On average, research analysts predict that MaxLinear, Inc will post 1.10 EPS for the current fiscal year.

Insider Activity

In related news, CEO Kishore Seendripu sold 351,454 shares of the business’s stock in a transaction on Monday, August 17th. The shares were sold at an average price of $85.95, for a total transaction of $30,207,471.30. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Company insiders own 7.70% of the company’s stock.

Institutional Trading of MaxLinear

A number of hedge funds and other institutional investors have recently bought and sold shares of MXL. BlackRock Inc. purchased a new stake in MaxLinear during the 2nd quarter worth about $1,754,062,000. The Manufacturers Life Insurance Company acquired a new stake in shares of MaxLinear during the 2nd quarter worth about $165,221,000. AIGH Capital Management LLC acquired a new stake in shares of MaxLinear during the 2nd quarter worth about $104,729,000. Connor Clark & Lunn Investment Management Ltd. purchased a new stake in MaxLinear during the second quarter worth approximately $81,056,000. Finally, Bank of New York Mellon Corp purchased a new stake in MaxLinear during the second quarter worth approximately $65,213,000. 90.79% of the stock is currently owned by institutional investors and hedge funds.

About MaxLinear

MaxLinear, Inc is a fabless semiconductor company that designs radio-frequency, analog and mixed-signal components, as well as system-on-chip products. Its technologies are used to move and process data in broadband, wireless, wired-networking and infrastructure applications.

The company’s products support equipment such as broadband access devices, Wi-Fi systems, Ethernet and optical networking equipment, and wireless infrastructure. MaxLinear sells to customers around the world, including communications equipment manufacturers and other technology companies.

Founded in 2003, MaxLinear is headquartered in Carlsbad, California.