Semtech (SMTC) and The Competition Head-To-Head Comparison

Semtech (NASDAQ: SMTC) is one of 104 public companies in the “Semiconductors” industry, but how does it weigh in compared to its peers? We will compare Semtech to related companies based on the strength of its risk, institutional ownership, analyst recommendations, dividends, earnings, profitability and valuation.

Earnings and Valuation

This table compares Semtech and its peers gross revenue, earnings per share and valuation.

Gross Revenue Net Income Price/Earnings Ratio
Semtech $544.27 million $54.66 million 49.71
Semtech Competitors $4.31 billion $520.00 million 42.59

Semtech’s peers have higher revenue and earnings than Semtech. Semtech is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares Semtech and its peers’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Semtech 7.79% 12.13% 7.38%
Semtech Competitors -44.58% 1.33% 1.33%

Insider & Institutional Ownership

94.2% of Semtech shares are held by institutional investors. Comparatively, 66.2% of shares of all “Semiconductors” companies are held by institutional investors. 2.2% of Semtech shares are held by company insiders. Comparatively, 6.2% of shares of all “Semiconductors” companies are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Semtech and its peers, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Semtech 0 1 7 0 2.88
Semtech Competitors 937 4827 8844 369 2.58

Semtech presently has a consensus target price of $43.29, suggesting a potential upside of 28.06%. As a group, “Semiconductors” companies have a potential upside of 13.53%. Given Semtech’s stronger consensus rating and higher probable upside, research analysts clearly believe Semtech is more favorable than its peers.

Volatility and Risk

Semtech has a beta of 1.41, suggesting that its share price is 41% more volatile than the S&P 500. Comparatively, Semtech’s peers have a beta of 1.01, suggesting that their average share price is 1% more volatile than the S&P 500.

Summary

Semtech beats its peers on 8 of the 13 factors compared.

About Semtech

Semtech Corporation is a supplier of analog and mixed-signal semiconductor products. The Company designs, develops and markets a range of products for commercial applications, which are sold into the enterprise computing, communications, consumer and industrial end-markets. Its product lines include Signal Integrity, Protection, Wireless and Sensing, and Power and High-Reliability. Applications for the industrial market include video broadcast studio equipment, automated meter reading, wireless charging, military and aerospace, medical, security systems, automotive, Internet of Things, industrial and home automation, and video security and surveillance. Enterprise computing end-markets include desktops, notebooks, servers, graphic boards, printers, datacenter related equipment and passive optical networks. Communications end-market applications include wireless base stations, carrier networks, switches and routers, cable modems, signal conditioners and wireless local area network.

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