Silicon Motion Technology Stock Buy Hold or Sell Recommendation
| SIMO Stock | USD 73.73 1.16 1.60% |
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Silicon Motion Technology is 'Hold'. Macroaxis provides Silicon Motion buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding SIMO positions. The advice algorithm takes into account all of Silicon Motion's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Silicon Motion's buy or sell advice are summarized below:
Real Value 74.3 | Target Price 76 | Hype Value 73.05 | Market Value 73.73 | Naive Value 70.71 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Silicon Motion Technology given historical horizon and risk tolerance towards Silicon Motion. When Macroaxis issues a 'buy' or 'sell' recommendation for Silicon Motion Technology, the advice is generated through an automated system that utilizes algorithms and statistical models.
Silicon |
Execute Silicon Motion Buy or Sell Advice
The Silicon recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Silicon Motion Technology. Macroaxis does not own or have any residual interests in Silicon Motion Technology or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Silicon Motion's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Hold
Market Performance | Good | Details | |
Volatility | Very steady | Details | |
Hype Condition | Over hyped | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Almost mirrors the market | Details | |
Investor Sentiment | Interested | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Inapplicable | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Silicon Motion Trading Alerts and Improvement Suggestions
| Over 80.0% of the company shares are owned by institutional investors | |
| On 1st of March 2024 Silicon Motion paid $ 0.5 per share dividend to its current shareholders | |
| Latest headline from zacks.com: Will Top-Line Expansion Augment Celesticas Q1 Earnings |
Silicon Motion Returns Distribution Density
The distribution of Silicon Motion's historical returns is an attempt to chart the uncertainty of Silicon Motion's future price movements. The chart of the probability distribution of Silicon Motion daily returns describes the distribution of returns around its average expected value. We use Silicon Motion Technology price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Silicon Motion returns is essential to provide solid investment advice for Silicon Motion.
| Mean Return | 0.20 | Value At Risk | -1.99 | Potential Upside | 2.64 | Standard Deviation | 1.51 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Silicon Motion historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Silicon Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Silicon Motion is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Silicon Motion Technology backward and forwards among themselves. Silicon Motion's institutional investor refers to the entity that pools money to purchase Silicon Motion's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Adage Capital Partners Gp Llc | 2023-12-31 | 668.6 K | Cooper Creek Partners Management Llc | 2023-12-31 | 667.5 K | Goldman Sachs Group Inc | 2023-12-31 | 632.6 K | Amvescap Plc. | 2023-12-31 | 625.4 K | Pertento Partners Llp | 2023-12-31 | 605.5 K | Fmr Inc | 2023-12-31 | 584.5 K | Massachusetts Financial Services Company | 2023-12-31 | 530.7 K | Acadian Asset Management Llc | 2023-12-31 | 511.1 K | Balyasny Asset Management Llc | 2023-12-31 | 425.6 K | Morgan Stanley - Brokerage Accounts | 2023-12-31 | 1.7 M | Eckert Corp | 2023-12-31 | 955.5 K |
Silicon Motion Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change In Cash | 41.1M | 21.0M | 46.3M | (128.5M) | 32.6M | 34.2M | |
| Free Cash Flow | 66.7M | 97.1M | 150.0M | 51.0M | 98.7M | 55.7M | |
| Depreciation | 13.1M | 13.6M | 17.2M | 18.9M | 21.9M | 22.9M | |
| Other Non Cash Items | 1.9M | 18.5M | 2.0M | 853K | 9.6M | 10.1M | |
| Capital Expenditures | 10.3M | 18.8M | 26.8M | 32.8M | 50.3M | 52.8M | |
| Net Income | 64.4M | 79.7M | 199.9M | 172.5M | 53.0M | 58.2M | |
| End Period Cash Flow | 348.3M | 369.2M | 415.5M | 287.1M | 314.3M | 194.1M | |
| Change To Inventory | 12.7M | (10.2M) | (21.7M) | (78.1M) | (70.3M) | (66.8M) | |
| Change To Netincome | 18.8M | 31.7M | 19.8M | 25.8M | 29.6M | 31.1M | |
| Dividends Paid | 44.0M | 48.9M | 54.0M | 49.9M | 16.7M | 15.9M | |
| Investments | 34.7M | (2M) | (3.5M) | (32.8M) | (48.5M) | (46.1M) |
Silicon Motion Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Silicon Motion or Semiconductors & Semiconductor Equipment sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Silicon Motion's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Silicon stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over NYSE Composite | 0.10 | |
β | Beta against NYSE Composite | 1.07 | |
σ | Overall volatility | 1.52 | |
Ir | Information ratio | 0.07 |
Silicon Motion Volatility Alert
Silicon Motion Technology has relatively low volatility with skewness of -0.07 and kurtosis of -0.4. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Silicon Motion's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Silicon Motion's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Silicon Motion Fundamentals Vs Peers
Comparing Silicon Motion's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Silicon Motion's direct or indirect competition across all of the common fundamentals between Silicon Motion and the related equities. This way, we can detect undervalued stocks with similar characteristics as Silicon Motion or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Silicon Motion's fundamental indicators could also be used in its relative valuation, which is a method of valuing Silicon Motion by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Silicon Motion to competition |
| Fundamentals | Silicon Motion | Peer Average |
| Return On Equity | 0.0721 | -0.31 |
| Return On Asset | 0.0287 | -0.14 |
| Profit Margin | 0.08 % | (1.27) % |
| Operating Margin | 0.09 % | (5.51) % |
| Current Valuation | 9.39 B | 16.62 B |
| Shares Outstanding | 33.41 M | 571.82 M |
| Shares Owned By Institutions | 80.38 % | 39.21 % |
| Number Of Shares Shorted | 876.92 K | 4.71 M |
| Price To Earning | 27.14 X | 28.72 X |
| Price To Book | 3.42 X | 9.51 X |
| Price To Sales | 3.93 X | 11.42 X |
| Revenue | 640.52 M | 9.43 B |
| Gross Profit | 473.88 M | 27.38 B |
| EBITDA | 63.14 M | 3.9 B |
| Net Income | 52.99 M | 570.98 M |
| Cash And Equivalents | 179.86 M | 2.7 B |
| Cash Per Share | 5.43 X | 5.01 X |
| Total Debt | 3.2 M | 5.32 B |
| Debt To Equity | 0.01 % | 48.70 % |
| Current Ratio | 3.12 X | 2.16 X |
| Book Value Per Share | 21.99 X | 1.93 K |
| Cash Flow From Operations | 149.05 M | 971.22 M |
| Short Ratio | 2.54 X | 4.00 X |
| Earnings Per Share | 1.58 X | 3.12 X |
| Price To Earnings To Growth | (4.43) X | 4.89 X |
| Target Price | 83.89 | |
| Beta | 0.86 | -0.15 |
| Market Capitalization | 2.42 B | 19.03 B |
| Total Asset | 1.01 B | 29.47 B |
| Retained Earnings | 425.12 M | 9.33 B |
| Working Capital | 604.05 M | 1.48 B |
| Current Asset | 315.18 M | 9.34 B |
| Current Liabilities | 88.29 M | 7.9 B |
Silicon Motion Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Silicon . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About Silicon Motion Buy or Sell Advice
When is the right time to buy or sell Silicon Motion Technology? Buying financial instruments such as Silicon Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.| 2021 | 2022 | 2023 | 2024 (projected) | Total Stockholder Equity | 657.6M | 732.6M | 734.6M | 771.4M | Total Assets | 971.3M | 961.3M | 1.0B | 1.1B |
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Check out Silicon Motion Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. You can also try the Share Portfolio module to track or share privately all of your investments from the convenience of any device.
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When running Silicon Motion's price analysis, check to measure Silicon Motion's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Silicon Motion is operating at the current time. Most of Silicon Motion's value examination focuses on studying past and present price action to predict the probability of Silicon Motion's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Silicon Motion's price. Additionally, you may evaluate how the addition of Silicon Motion to your portfolios can decrease your overall portfolio volatility.
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Is Silicon Motion's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Silicon Motion. If investors know Silicon will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Silicon Motion listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.11) | Dividend Share 2 | Earnings Share 1.58 | Revenue Per Share 19.163 | Quarterly Revenue Growth 0.008 |
The market value of Silicon Motion Technology is measured differently than its book value, which is the value of Silicon that is recorded on the company's balance sheet. Investors also form their own opinion of Silicon Motion's value that differs from its market value or its book value, called intrinsic value, which is Silicon Motion's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Silicon Motion's market value can be influenced by many factors that don't directly affect Silicon Motion's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Silicon Motion's value and its price as these two are different measures arrived at by different means. Investors typically determine if Silicon Motion is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Silicon Motion's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.