Semtech's Q3 earnings report highlights a significant turnaround with strong revenue growth and improved margins. The company's focus on high-growth markets like data centers and IoT, despite its $1 billion net debt, suggests strong future cash flow potential. The stock's pricing at 33x forward free cash flow is justified by the expected 30% year-over-year revenue growth and potential $200 million EBITDA, indicating a positive short-term impact on the stock price.