Semtech Shares Popped: What You Need to Know

Watch stocks you care about

The single, easiest way to keep track of all the stocks that matter...

Your own personalized stock watchlist!

It's a 100% FREE Motley Fool service...

Click Here Now

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Semtech (Nasdaq: SMTC  ) popped 12% in intraday trading today after delivering better than expected earnings and guidance.

So what: Non-GAAP EPS of $0.47 beat the consensus estimate of $0.41 and was up 57% from the year-ago quarter, helped by revenue growth of 36%. Management expects non-GAAP EPS for the current quarter of $0.41 to $0.44, compared to $0.35 in the year-earlier quarter and a consensus estimate of $0.40.

Now what: Non-GAAP EPS jumped up over the past year to $1.71, after ranging from $0.61 to $0.90 over the prior six years. Guidance and positive management comments about the outlook suggest Semtech will build on last year's improvement. Though guidance indicates non-GAAP EPS growth is expected to slow to 17% to 26% in the current quarter, the stock is trading at a non-GAAP P/E of 13.1 times and GAAP P/E of 22.5 times.

Interested in more info on Semtech? Add it to your watchlist by clicking here.

Fool contributor Cindy Johnson does not own shares of any company named above. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 1456049, ~/Articles/ArticleHandler.aspx, 10/24/2016 4:20:58 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 18,223.03 77.32 0.43%
S&P 500 2,151.33 10.17 0.47%
NASD 5,309.83 52.43 1.00%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

10/24/2016 4:00 PM
SMTC $25.20 Up +0.45 +1.82%
Semtech CAPS Rating: **