Silicon Motion Technology
The 10-second takeaway
For the quarter ended June 30 (Q2), Silicon Motion Technology beat expectations on revenue and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share grew significantly.
Margins increased across the board.
Silicon Motion Technology reported revenue of $69.7 million. The five analysts polled by S&P Capital IQ expected to see revenue of $67.8 million on the same basis. GAAP reported sales were 38% higher than the prior-year quarter's $50.6 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.32. The five earnings estimates compiled by S&P Capital IQ predicted $0.35 per share. GAAP EPS of $0.32 for Q2 were 129% higher than the prior-year quarter's $0.14 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 48.9%, 210 basis points better than the prior-year quarter. Operating margin was 19.4%, 350 basis points better than the prior-year quarter. Net margin was 15.3%, 640 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $73.9 million. On the bottom line, the average EPS estimate is $0.41.
Next year's average estimate for revenue is $284.4 million. The average EPS estimate is $1.56.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 764 members out of 784 rating the stock outperform, and 20 members rating it underperform. Among 177 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 172 give Silicon Motion Technology a green thumbs-up, and five give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Silicon Motion Technology is buy, with an average price target of $30.00.
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