Semtech Needs To Translate Expected Growth Into Shareholder Value
Stephen Simpson, CFA
Stephen Simpson, CFA
Thu, Dec. 1, 3:00 PM
Thu, Dec. 1, 12:30 PM
- Results – revenue $140.9M (+21.7% Y/Y, $2.33M above estimates), EPS $0.37 ($0.09 above estimates), net sales $140.9M, gross margin 60.4%, R&D expenses $23M, SG&A expenses $28.9M, operating margin 23.6%, net income $24.3M
- Q4 projections – revenue $134M-$142M (consensus $134.3M), EPS $0.33-$0.37 (consensus $0.33), gross margin 60%-60.5%, SG&A expense $27M-$28M, R&D expense $24M-$25M, interest and other expense $2.2M, tax rate 19%-21%
- Semtech (NASDAQ:SMTC) president and CEO: "The strength we are experiencing from exciting growth markets that include the Internet of Things, hyper-scale datacenters and mobile devices is expected to continue and contribute to a better than seasonal outlook for our fourth fiscal quarter. Our focus on divesting non-core assets while investing in new product platforms and maintaining Opex discipline should enable the Company to continue to leverage the growth we expect to see over the next several years."
- Prior quarters overview
- Earnings call transcript
Wed, Nov. 30, 4:32 PM
Tue, Nov. 29, 5:35 PM
Wed, Oct. 5, 5:35 PM
Wed, Aug. 31, 4:31 PM
Tue, Aug. 30, 5:35 PM
Mon, Jun. 6, 10:53 AM
- Rambus (RMBS +0.7%) is acquiring analog/mixed-signal chipmaker Semtech's (SMTC +0.6%) Snowbush IP serial link IP assets for $32.5M up-front plus "additional payments based upon specific new product sales through the end of 2022."
- Rambus says the purchase will complement its SerDes serial link IP portfolio, which has been licensed by IBM and others. CEO Ron Black: "By adding Snowbush IP into our portfolio, we are bolstering our SerDes business and accelerating our product position. This acquisition, along with our memory IP cores and chip business, will further build upon the existing product opportunities and expand our foundry partnerships."
- The deal follows Rambus' $92.5M purchase of Smart Card Software, a U.K.-based developer of mobile payments and smart ticketing technologies.
Wed, Jun. 1, 4:32 PM
- Semtech (NASDAQ:SMTC): FQ1 EPS of $0.30 beats by $0.03.
- Revenue of $131.1M (+0.8% Y/Y) beats by $2.72M.
Tue, May 31, 5:35 PM
Wed, Mar. 2, 5:43 PM
Wed, Mar. 2, 4:35 PM
- Semtech (NASDAQ:SMTC): Q4 EPS of $0.17 beats by $0.01.
- Revenue of $118.6M (-9.0% Y/Y) beats by $2.5M.
Tue, Mar. 1, 5:35 PM
Tue, Feb. 2, 2:42 PM
- On a day the Nasdaq is down 2.1%, many chip stocks are seeing outsized losses (SOXX -3.1%) after IDT (IDTI -28.3%), a mixed-signal chipmaker selling into the server, networking/telecom infrastructure, and wireless charging markets (among others), offered soft FQ4 (calendar Q1) guidance to go with an FQ3 sales beat.
- Major decliners include diversified European chipmakers NXP (NXPI -4.7%) and STMicroelectronics (STM -7%), microcontroller maker Cypress Semi (CY -6.9%), RF chipmaker Qorvo (QRVO -6.4%), motion sensor developer InvenSense (INVN -6%), chip packaging/testing firm Amkor (AMKR -6.1%), and analog/mixed-signal chipmakers MagnaChip (MX -9.8%), Inphi (IPHI -9.1%), Silicon Labs (SLAB -5%), Microsemi (MSCC -4.4%), Semtech (SMTC -5.4%), and Power Integrations (POWI -5.5%). Previously covered: Pixelworks, ON Semi.
- IDT reported Chinese telecom infrastructure demand is "normalizing to slightly less than the peak levels seen in late calendar 2014," that data center customer growth rates have slowed slightly, and that consumer demand has been affected by increased "customer smartphone shipment volatility." Both Apple and Samsung's sales have been under pressure.
- BofA/Merrill has downgraded IDT to Neutral, while Wedbush's Betsy Van Hees has gone contrarian and upgraded to Outperform. Van Hees argues IDT is still positioned to see strong FY17 growth, aided by the ramp of LRDIMM DRAM chipsets for Intel's Broadwell server CPU launch and the ramp of wireless charging IC programs at tier-1 OEMs.
- Chip ETFs: SMH, XSD, PSI, SOXL, USD, SOXS, SSG
Nov. 18, 2015, 5:44 PM
Nov. 18, 2015, 4:36 PM
- Semtech (NASDAQ:SMTC): Q3 EPS of $0.19 misses by $0.05.
- Revenue of $115.81M (-22.2% Y/Y) beats by $0.77M.