Semtech's Incoming CEO's Long-Term Model and Potential Divestures have Upside: Analyst
Portfolio Pulse from Anusuya Lahiri
Semtech Corp (SMTC) has been upgraded from Hold to Buy by Needham analyst Quinn Bolton, with a $35 price target. The analyst sees potential for significant long-term upside, despite potential near-term volatility due to weak end-market demand and inventory digestion in the IoT and telecom markets. The incoming CEO, Paul Pickle, is expected to introduce a new long-term operating model and highlight potential divestiture opportunities. Roth MKM analyst Scott Searle also reiterated Semtech with a Buy and a $56 price target.

September 06, 2023 | 6:08 pm
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The mention of elevated inventory levels and soft global end market demand, particularly in China, could potentially have a negative impact on Analog Devices' stock in the short term.
CONFIDENCE 70
IMPORTANCE 60
RELEVANCE 50
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Ambarella, Inc was mentioned in the context of elevated inventory levels and soft global end market demand, particularly in China.
The mention of elevated inventory levels and soft global end market demand, particularly in China, could potentially have a negative impact on Ambarella's stock in the short term.
CONFIDENCE 70
IMPORTANCE 60
RELEVANCE 50
POSITIVE IMPACT
Semtech Corp has been upgraded by Needham analyst, indicating potential for long-term upside. The incoming CEO is expected to introduce a new long-term operating model and potential divestitures, which could positively impact the stock.
The upgrade from Needham analyst and the anticipation of a new long-term operating model and potential divestitures by the incoming CEO could lead to a positive impact on Semtech's stock. However, potential near-term volatility due to weak end-market demand and inventory digestion in the IoT and telecom markets could affect the stock.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100