Silicon Motion Technology Co. to Issue Quarterly Dividend of $0.50 (NASDAQ:SIMO)

Silicon Motion Technology Co. (NASDAQ:SIMO) announced a quarterly dividend on Monday, May 6th, Wall Street Journal reports. Investors of record on Thursday, May 9th will be paid a dividend of 0.50 per share by the semiconductor producer on Thursday, May 23rd. This represents a $2.00 annualized dividend and a yield of 2.55%. The ex-dividend date is Wednesday, May 8th.

Silicon Motion Technology has decreased its dividend by an average of 29.1% per year over the last three years. Silicon Motion Technology has a payout ratio of 42.8% indicating that its dividend is sufficiently covered by earnings. Analysts expect Silicon Motion Technology to earn $4.03 per share next year, which means the company should continue to be able to cover its $2.00 annual dividend with an expected future payout ratio of 49.6%.

Silicon Motion Technology Trading Up 6.3 %

Shares of SIMO stock opened at $78.58 on Tuesday. The company’s fifty day moving average price is $74.80 and its 200-day moving average price is $65.95. The stock has a market cap of $2.65 billion, a PE ratio of 44.65, a price-to-earnings-growth ratio of 3.98 and a beta of 0.87. Silicon Motion Technology has a 12 month low of $49.50 and a 12 month high of $95.33.

Silicon Motion Technology (NASDAQ:SIMO) last posted its quarterly earnings data on Tuesday, February 6th. The semiconductor producer reported $0.63 EPS for the quarter, topping the consensus estimate of $0.51 by $0.12. Silicon Motion Technology had a net margin of 8.34% and a return on equity of 7.77%. The business had revenue of $202.38 million for the quarter, compared to analyst estimates of $197.60 million. On average, sell-side analysts forecast that Silicon Motion Technology will post 2.65 earnings per share for the current fiscal year.

Analysts Set New Price Targets

A number of brokerages have recently commented on SIMO. Craig Hallum boosted their price target on Silicon Motion Technology from $80.00 to $96.00 and gave the stock a “buy” rating in a research report on Monday. Susquehanna boosted their target price on Silicon Motion Technology from $100.00 to $110.00 and gave the stock a “positive” rating in a report on Monday. Wedbush reaffirmed an “outperform” rating and issued a $85.00 price target on shares of Silicon Motion Technology in a research report on Friday. Morgan Stanley raised shares of Silicon Motion Technology from an “equal weight” rating to an “overweight” rating and increased their price objective for the company from $59.00 to $88.00 in a research report on Monday. Finally, JPMorgan Chase & Co. lifted their target price on shares of Silicon Motion Technology from $77.00 to $85.00 and gave the stock an “overweight” rating in a report on Thursday, February 8th. Nine analysts have rated the stock with a buy rating, According to MarketBeat.com, Silicon Motion Technology currently has a consensus rating of “Buy” and a consensus price target of $91.13.

Silicon Motion Technology Company Profile

Silicon Motion Technology Corporation, together with its subsidiaries, designs, develops, and markets NAND flash controllers for solid-state storage devices. The company offers controllers for computing-grade solid state drives (SSDs), which are used in PCs and other client devices; enterprise-grade SSDs used in data centers; eMMC and UFS mobile embedded storage for use in smartphones and IoT devices; flash memory cards and flash drives for use in expandable storage; and specialized SSDs that are used in industrial, commercial, and automotive applications.