This summary was created by AI, based on 1 opinions in the last 12 months.
SMTC Manufacturing is a company that designs and manufactures analog and mixed-signal semiconductor products. While the revenue growth has been solid, the company is operating at a high net loss and has a highly levered balance sheet. Cash flow is also negative. However, there is potential for future growth as the company is expected to benefit from AI and is launching new AI platforms. The consensus is that the momentum and fundamental standing of SMTC is currently negative, but the new products could potentially contribute to significant earnings and revenue growth.
This is a very successful semiconductor company trading near historical highs. If he owned this, he would be thinking of selling it, even though it keeps going up. The debt load is higher than he likes. The semiconductor sector is back in favor, and is more appropriate for momentum investors than contrarian investors at this time.
SMTC Manufacturing is a American stock, trading under the symbol SMTX-Q on the NASDAQ (SMTX). It is usually referred to as NASDAQ:SMTX or SMTX-Q
In the last year, 1 stock analyst published opinions about SMTX-Q. 0 analysts recommended to BUY the stock. 1 analyst recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for SMTC Manufacturing.
SMTC Manufacturing was recommended as a Top Pick by on . Read the latest stock experts ratings for SMTC Manufacturing.
Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.
In the last year, there was no coverage of SMTC Manufacturing published on Stockchase.
On 2021-04-01, SMTC Manufacturing (SMTX-Q) stock closed at a price of $6.04.
SMTC manufactures and designs analog and mixed-signal semiconductor products and advanced algorithms. Revenue growth was has been solid in FY 2024, but it is operating at a high net loss. The balance sheet is highly levered with a net debt balance of $1.26B. Cash from operations and free cash flow are also highly negative over the last twelve months. There is potential here as SMTC is expected to be a large benficiary of AI and the company will be launching new AI platforms that should fuel future growth. EPS forecast in 2025 are expected to almost 6x 2024 levels. Right now, the momentum and fundemental standing of SMTC if far too negative and makes us want to stay away, however, if it's new products can contribute significantly to earnings and revenue it could potentially be worth a look.
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