Semtech Corporation is a leading supplier of analog and mixed-signal semiconductors for high-end consumer, enterprise computing, communications and industrial equipment. The company was founded in 1960 and is based in Camarillo, California.
SMTC Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for SMTC, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Semtech Corp ranked in the 25th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. The most interesting components of our discounted cash flow analysis for Semtech Corp ended up being:
The stock's equity weight, or the proportion of capital from equity relative to debt, is 95. Its equity weight surpasses that of 70.72% of free cash flow generating stocks in the Technology sector.
The business' balance sheet reveals debt to be 5% of the company's capital (with equity being the remaining amount). Approximately just 14.37% of US stocks with free cash flow have a lower reliance on debt in their capital structure.
Semtech Corp's effective tax rate, as measured by taxes paid relative to net income, is at 24 -- greater than 86.11% of US stocks with positive free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
BR, DSGX, BLKB, COHU, and EVOL can be thought of as valuation peers to SMTC, in the sense that they are in the Technology sector and have a similar price forecast based on DCF valuation.
CAMARILLO, Calif.--(BUSINESS WIRE)--Semtech Corporation (Nasdaq: SMTC), a leading supplier of high performance analog and mixed-signal semiconductors and advanced algorithms, announced its collaboration with Nesten, Inc. (Nesten), a developer of specialized blockchain and Internet of Things (IoT)-based solutions for optimized communications networks, to support the continued rollout of the Company’s LoRa®-based node platform. Following the successful 2019 deployment of its first-generation G1 w
Semtech Corporation (Nasdaq: SMTC), a leading supplier of high performance analog and mixed-signal semiconductors and advanced algorithms, today announced its plan to participate in a virtual meeting hosted by B. Riley FBR, Inc. Mohan Maheswaran, President and CEO, and Emeka Chukwu, CFO, will participate on the call to discuss general business conditions and the Company’s long-term business strategy, scheduled for Wednesday, July 8, 2020, at 4:00 p.m. EDT. A webcast of the event and a replay will be accessible via the Investor Relations section of Semtech’s corporate website at http://investors.semtech.com/events.cfm.