Wellington Management Group LLP Increases Stock Holdings in Silicon Motion Technology Co. (NASDAQ:SIMO)

Wellington Management Group LLP lifted its stake in shares of Silicon Motion Technology Co. (NASDAQ:SIMO) by 40.1% in the 4th quarter, Holdings Channel reports. The institutional investor owned 797,192 shares of the semiconductor producer’s stock after acquiring an additional 228,333 shares during the quarter. Wellington Management Group LLP’s holdings in Silicon Motion Technology were worth $43,088,000 as of its most recent SEC filing.

Several other large investors have also modified their holdings of SIMO. GAMMA Investing LLC raised its stake in Silicon Motion Technology by 123.2% during the 4th quarter. GAMMA Investing LLC now owns 877 shares of the semiconductor producer’s stock worth $47,000 after acquiring an additional 484 shares in the last quarter. Blue Trust Inc. grew its holdings in shares of Silicon Motion Technology by 64.7% during the fourth quarter. Blue Trust Inc. now owns 2,248 shares of the semiconductor producer’s stock worth $122,000 after purchasing an additional 883 shares during the last quarter. Virtu Financial LLC acquired a new stake in shares of Silicon Motion Technology during the fourth quarter worth about $208,000. Choreo LLC purchased a new stake in shares of Silicon Motion Technology in the 4th quarter valued at about $209,000. Finally, TradeLink Capital LLC acquired a new stake in shares of Silicon Motion Technology in the 4th quarter valued at about $228,000. Institutional investors and hedge funds own 78.02% of the company’s stock.

Silicon Motion Technology Stock Performance

Shares of SIMO opened at $41.12 on Friday. The stock has a market capitalization of $1.39 billion, a P/E ratio of 15.29, a P/E/G ratio of 1.36 and a beta of 0.71. The company’s fifty day moving average is $53.79 and its two-hundred day moving average is $54.97. Silicon Motion Technology Co. has a 1 year low of $39.50 and a 1 year high of $85.87.

Silicon Motion Technology (NASDAQ:SIMO) last posted its quarterly earnings results on Wednesday, February 5th. The semiconductor producer reported $0.68 earnings per share for the quarter, missing analysts’ consensus estimates of $0.78 by ($0.10). Silicon Motion Technology had a net margin of 11.29% and a return on equity of 11.63%. Sell-side analysts predict that Silicon Motion Technology Co. will post 3.08 EPS for the current year.

Silicon Motion Technology announced that its Board of Directors has approved a share buyback plan on Wednesday, February 5th that allows the company to repurchase $50.00 million in outstanding shares. This repurchase authorization allows the semiconductor producer to repurchase up to 2.6% of its shares through open market purchases. Shares repurchase plans are often an indication that the company’s management believes its shares are undervalued.

Silicon Motion Technology Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, February 27th. Investors of record on Thursday, February 13th were issued a $0.50 dividend. This represents a $2.00 dividend on an annualized basis and a dividend yield of 4.86%. The ex-dividend date of this dividend was Thursday, February 13th. Silicon Motion Technology’s dividend payout ratio is currently 74.35%.

Wall Street Analysts Forecast Growth

A number of equities research analysts have weighed in on SIMO shares. Wedbush reiterated an “outperform” rating and issued a $90.00 price objective on shares of Silicon Motion Technology in a research note on Monday, December 23rd. StockNews.com downgraded shares of Silicon Motion Technology from a “buy” rating to a “hold” rating in a research report on Thursday, February 13th. Finally, Needham & Company LLC reiterated a “buy” rating and set a $70.00 price target on shares of Silicon Motion Technology in a research note on Friday, February 7th. One equities research analyst has rated the stock with a sell rating, one has issued a hold rating and seven have issued a buy rating to the company. Based on data from MarketBeat, Silicon Motion Technology currently has a consensus rating of “Moderate Buy” and an average target price of $80.63.

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.