Semtech stock slides as investors weigh Q4 beat against GAAP loss and impairment charges

Semtech Corporation (SMTC) is down 8.2% today. Here is some analysis on what might have caused this price movement.

Analysis: Semtech’s fiscal Q4 and full-year results showed record revenue and slightly higher non-GAAP EPS, but the quarter also included sizable impairment charges that pushed GAAP results into a loss. With next-quarter guidance appearing roughly in line with what the market was already braced for, the move looks consistent with a “sell-the-news” reaction despite solid headline operating momentum.

Details:

Fiscal Q4 2026 net sales were $274.4 million and non-GAAP adjusted EPS was $0.44, modestly above common pre-earnings expectations for the quarter.

The quarter included goodwill impairment (and other intangible-related charges), contributing to a GAAP diluted loss per share of $0.32 and a negative GAAP operating margin.

Semtech reported fiscal year 2026 net sales of $1.05 billion, alongside operating cash flow of $61.5 million and free cash flow of $59.1 million in Q4.

For fiscal Q1 2027, the company guided net sales to about $283 million (±$5 million) and non-GAAP adjusted EPS to $0.45 (±$0.03), which may not have been strong enough to drive further multiple expansion after a prior run-up.

Sources:

Business Wire, Zacks

Disclaimer: This price movement analysis was generated with the help of AI. Please double-check the information provided for mistakes.

$SMTC Insider Trading Activity

$SMTC insiders have traded $SMTC stock on the open market 22 times in the past 6 months. Of those trades, 0 have been purchases and 22 have been sales.

Here’s a breakdown of recent trading of $SMTC stock by insiders over the last 6 months:

ASAF SILBERSTEIN (EVP and COO) has made 0 purchases and 5 sales selling 35,500 shares for an estimated $3,051,245.
MARK LIN (EVP and CFO) has made 0 purchases and 7 sales selling 15,528 shares for an estimated $1,297,592.
HONG Q HOU (President and CEO) sold 10,000 shares for an estimated $740,768
JOHN MICHAEL WILSON (Chief Quality Officer and CTO) sold 5,000 shares for an estimated $375,600
SAAR GILLAI sold 3,600 shares for an estimated $270,945
MARTIN BURVILL sold 3,500 shares for an estimated $219,637
PAUL V JR WALSH has made 0 purchases and 5 sales selling 2,500 shares for an estimated $183,710.
GREGORY MICHAEL FISCHER sold 1,034 shares for an estimated $78,067

To track insider transactions, check out Quiver Quantitative's insider trading dashboard.

$SMTC Hedge Fund Activity

We have seen 227 institutional investors add shares of $SMTC stock to their portfolio, and 207 decrease their positions in their most recent quarter.

Here are some of the largest recent moves:

MACQUARIE GROUP LTD removed 2,890,543 shares (-100.0%) from their portfolio in Q4 2025, for an estimated $213,004,113
MORGAN STANLEY removed 1,744,747 shares (-55.7%) from their portfolio in Q4 2025, for an estimated $128,570,406
DEUTSCHE BANK AG\ removed 1,507,218 shares (-91.6%) from their portfolio in Q4 2025, for an estimated $111,066,894
FULLER & THALER ASSET MANAGEMENT, INC. removed 1,459,670 shares (-99.5%) from their portfolio in Q4 2025, for an estimated $107,563,082
WOODLINE PARTNERS LP removed 1,335,296 shares (-100.0%) from their portfolio in Q3 2025, for an estimated $95,406,899
T. ROWE PRICE INVESTMENT MANAGEMENT, INC. removed 1,306,345 shares (-81.0%) from their portfolio in Q4 2025, for an estimated $96,264,563
CITADEL ADVISORS LLC added 962,384 shares (+136.0%) to their portfolio in Q4 2025, for an estimated $70,918,076

To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.

$SMTC Congressional Stock Trading

Members of Congress have traded $SMTC stock 1 times in the past 6 months. Of those trades, 1 have been purchases and 0 have been sales.

Here’s a breakdown of recent trading of $SMTC stock by members of Congress over the last 6 months:

REPRESENTATIVE GILBERT RAY CISNEROS, JR. purchased up to $15,000 on 01/20.

To track congressional stock trading, check out Quiver Quantitative's congressional trading dashboard.

$SMTC Analyst Ratings

Wall Street analysts have issued reports on $SMTC in the last several months. We have seen 10 firms issue buy ratings on the stock, and 0 firms issue sell ratings.

Here are some recent analyst ratings:

Piper Sandler issued a "Overweight" rating on 11/25/2025
Needham issued a "Buy" rating on 11/25/2025
Baird issued a "Outperform" rating on 11/25/2025
Roth Capital issued a "Buy" rating on 11/25/2025
B. Riley Securities issued a "Buy" rating on 11/25/2025
Benchmark issued a "Buy" rating on 11/25/2025
Oppenheimer issued a "Outperform" rating on 11/25/2025

To track analyst ratings and price targets for $SMTC, check out Quiver Quantitative's $SMTC forecast page.

$SMTC Price Targets

Multiple analysts have issued price targets for $SMTC recently. We have seen 12 analysts offer price targets for $SMTC in the last 6 months, with a median target of $96.5.

Here are some recent targets:

Craig Ellis from Baird set a target price of $110.0 on 03/17/2026
N. Quinn Bolton from Needham set a target price of $105.0 on 03/17/2026
Tore Svanberg from Stifel set a target price of $98.0 on 03/17/2026
Joseph Moore from Morgan Stanley set a target price of $89.0 on 03/17/2026
Cody Acree from Benchmark set a target price of $115.0 on 03/17/2026
Rick Schafer from Oppenheimer set a target price of $100.0 on 03/10/2026
Christopher Rolland from Susquehanna set a target price of $100.0 on 03/09/2026

This article is not financial advice. See Quiver Quantitative's disclaimers for more information. Note that there may be inaccuracies due to mistakes in ticker-mapping, and other anomalies.