Silicon Motion Technology Co. (NASDAQ:SIMO) Announces $0.50 Quarterly Dividend

Silicon Motion Technology Co. (NASDAQ:SIMO) declared a quarterly dividend on Friday, January 10th,Wall Street Journal reports. Shareholders of record on Thursday, August 7th will be paid a dividend of 0.50 per share by the semiconductor producer on Thursday, August 21st. This represents a $2.00 annualized dividend and a dividend yield of 3.78%. The ex-dividend date is Thursday, August 7th.

Silicon Motion Technology has increased its dividend payment by an average of 8.9% annually over the last three years. Silicon Motion Technology has a payout ratio of 39.0% indicating that its dividend is sufficiently covered by earnings. Research analysts expect Silicon Motion Technology to earn $2.99 per share next year, which means the company should continue to be able to cover its $2.00 annual dividend with an expected future payout ratio of 66.9%.

Silicon Motion Technology Stock Performance

Silicon Motion Technology stock opened at $52.96 on Friday. Silicon Motion Technology has a 52 week low of $50.50 and a 52 week high of $85.87. The firm has a market capitalization of $1.78 billion, a price-to-earnings ratio of 20.06, a P/E/G ratio of 1.61 and a beta of 0.80. The company has a 50 day moving average price of $54.91 and a 200 day moving average price of $61.10.

Silicon Motion Technology (NASDAQ:SIMO) last issued its quarterly earnings results on Wednesday, October 30th. The semiconductor producer reported $0.92 earnings per share for the quarter, beating analysts’ consensus estimates of $0.85 by $0.07. Silicon Motion Technology had a return on equity of 11.52% and a net margin of 10.90%. The business had revenue of $212.40 million for the quarter, compared to the consensus estimate of $209.49 million. During the same quarter in the previous year, the company posted $0.32 earnings per share. Silicon Motion Technology’s revenue for the quarter was up 23.3% compared to the same quarter last year. Equities analysts forecast that Silicon Motion Technology will post 2.59 earnings per share for the current fiscal year.

Analyst Ratings Changes

Several research analysts have weighed in on SIMO shares. StockNews.com upgraded shares of Silicon Motion Technology from a “hold” rating to a “buy” rating in a research note on Thursday, December 19th. Needham & Company LLC cut their price objective on Silicon Motion Technology from $94.00 to $75.00 and set a “buy” rating for the company in a report on Friday, November 1st. Morgan Stanley lowered their target price on Silicon Motion Technology from $78.00 to $65.00 and set an “overweight” rating on the stock in a research note on Monday, September 16th. Roth Mkm reduced their price target on Silicon Motion Technology from $90.00 to $80.00 and set a “buy” rating for the company in a report on Tuesday, October 8th. Finally, Craig Hallum dropped their price objective on Silicon Motion Technology from $96.00 to $90.00 and set a “buy” rating on the stock in a report on Thursday, October 31st. One investment analyst has rated the stock with a sell rating and nine have assigned a buy rating to the stock. According to MarketBeat.com, Silicon Motion Technology currently has an average rating of “Moderate Buy” and an average price target of $81.67.

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.