Wedbush Lifts PT on Silicon Motion Technology Corp. (SIMO) on Back of Substantial Beat and Raise

Silicon Motion Technology Corp. (NASDAQ:SIMO) is one of the top semiconductor stocks in our ranking of the top 10 chip stocks by YTD performance. Wedbush lifted the price target on Silicon Motion Technology Corp. (NASDAQ:SIMO) to $230 from $180 on April 30, reaffirming an Outperform rating on the shares. The rating update came on the back of the company’s substantial beat and raise, with the firm heading into this quarter looking for a modest beat and an in-line guide.

Wedbush told investors that while it expected share gains, and particularly momentum in the China market, would likely allow Silicon Motion Technology Corp. (NASDAQ:SIMO) to surpass its initial guide, the firm did not anticipate a notable deviation from management’s prior full-year outlook. It believes what the company provided instead was a significant beat, followed by a massive upward guide driven by strength across the company’s business units.

Silicon Motion Technology Corp. (NASDAQ:SIMO) also received a rating update from Craig-Hallum the same day. The firm lifted the price target on the stock to $250 from $160 and maintained a Buy rating on the shares, noting that the stock was up 45% on the strong print. However, the firm continues to like the risk-reward owning shares and the company’s datacenter business, with a market-leading solution, is just now ramping.

Silicon Motion Technology Corp. (NASDAQ:SIMO) develops, manufactures, and supplies semiconductor products for the electronics market. Its products include Storage Solutions, Flash Controllers, and others. The company offers embedded graphics, embedded and expandable storage, and radio frequency integrated circuits. It was founded in 1995 and is headquartered in Hong Kong.

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