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

Silicon Motion Technology Co. (NASDAQ:SIMO) declared a quarterly dividend on Friday, January 10th,Wall Street Journal reports. Stockholders of record on Thursday, August 7th will be given 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 of this dividend is Thursday, August 7th.

Silicon Motion Technology has raised its dividend by an average of 8.9% annually over the last three years. Silicon Motion Technology has a dividend payout ratio of 39.0% meaning its dividend is sufficiently covered by earnings. 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 Price Performance

Shares of Silicon Motion Technology stock traded down $2.21 during trading on Friday, hitting $52.96. 180,705 shares of the company were exchanged, compared to its average volume of 192,368. The firm has a market capitalization of $1.78 billion, a P/E ratio of 20.06, a price-to-earnings-growth ratio of 1.61 and a beta of 0.80. Silicon Motion Technology has a 1-year low of $50.50 and a 1-year high of $85.87. The firm’s fifty day moving average price is $54.91 and its 200 day moving average price is $61.41.

Silicon Motion Technology (NASDAQ:SIMO) last released its quarterly earnings data on Wednesday, October 30th. The semiconductor producer reported $0.92 earnings per share for the quarter, beating the consensus estimate 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 analysts’ expectations of $209.49 million. During the same quarter in the previous year, the business posted $0.32 EPS. Silicon Motion Technology’s revenue for the quarter was up 23.3% on a year-over-year basis. As a group, equities research analysts anticipate that Silicon Motion Technology will post 2.59 earnings per share for the current year.

Analysts Set New Price Targets

Several equities research analysts have commented on SIMO shares. StockNews.com upgraded Silicon Motion Technology from a “hold” rating to a “buy” rating in a research note on Thursday, December 19th. Craig Hallum cut their target price on Silicon Motion Technology from $96.00 to $90.00 and set a “buy” rating on the stock in a research note on Thursday, October 31st. Needham & Company LLC cut their target price on Silicon Motion Technology from $94.00 to $75.00 and set a “buy” rating on the stock in a research note on Friday, November 1st. Morgan Stanley cut 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. Finally, Wedbush reiterated an “outperform” rating and set a $90.00 price objective on shares of Silicon Motion Technology in a research note on Monday, December 23rd. One research analyst has rated the stock with a sell rating and nine have given a buy rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $81.67.

About Silicon Motion Technology

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.