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

Silicon Motion Technology Co. (NASDAQ:SIMO - Get Free Report) announced a quarterly dividend on Friday, January 10th,Wall Street Journal reports. Stockholders 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 of this dividend is Thursday, August 7th.

Silicon Motion Technology has raised its dividend payment by an average of 8.9% annually over the last three years. Silicon Motion Technology has a dividend 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

SIMO stock traded down $2.21 during midday trading on Friday, reaching $52.96. 206,520 shares of the company traded hands, compared to its average volume of 196,667. 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 business has a 50 day moving average of $54.91 and a 200-day moving average of $61.24. Silicon Motion Technology has a 52-week low of $50.50 and a 52-week high of $85.87.

Silicon Motion Technology (NASDAQ:SIMO - Get Free Report) last released its quarterly earnings results 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. The company had revenue of $212.40 million for the quarter, compared to analyst estimates of $209.49 million. Silicon Motion Technology had a return on equity of 11.52% and a net margin of 10.90%. Silicon Motion Technology's quarterly revenue was up 23.3% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.32 EPS. Research analysts anticipate that Silicon Motion Technology will post 2.59 earnings per share for the current year.

Analyst Upgrades and Downgrades

SIMO has been the topic of a number of analyst reports. Roth Mkm cut their target price on Silicon Motion Technology from $90.00 to $80.00 and set a "buy" rating on the stock in a research note on Tuesday, October 8th. StockNews.com upgraded Silicon Motion Technology from a "hold" rating to a "buy" rating in a research report on Thursday, December 19th. Needham & Company LLC reduced their price target on shares of 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 lowered their price objective on shares of Silicon Motion Technology from $78.00 to $65.00 and set an "overweight" rating for the company in a research report on Monday, September 16th. Finally, Wedbush reaffirmed an "outperform" rating and set a $90.00 price target on shares of Silicon Motion Technology in a research note on Monday, December 23rd. One investment analyst has rated the stock with a sell rating and nine have given a buy rating to the stock. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus target price 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.