Overview

• Taiwan's NAND flash controller supplier's Q4 revenue rose 46% Y/Y, beating analysts' expectations

• Adjusted EPS for Q4 was $1.26

• Company announced $2.00 annual cash dividend per ADS

Outlook

• Silicon Motion expects Q1 2026 revenue between $292 mln and $306 mln

• Company projects Q1 2026 gross margin between 45.9% and 46.9%

• Silicon Motion anticipates Q1 2026 operating margin between 12.0% and 14.5%

Result Drivers

• SSD CONTROLLER SALES - Q4 growth driven by new 8-channel and 4-channel PCIe5 controllers, leading to over 25% Q/Q increase

• eMMC/UFS CONTROLLER SALES - Market share gains contributed to sequential growth in eMMC and UFS products

• AUTOMOTIVE SEGMENT GROWTH - Strong growth due to increased product diversification and new customer ramps

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the semiconductors peer group is "buy"

• Wall Street's median 12-month price target for Silicon Motion Technology Corp is $120.00, about 0.2% above its February 2 closing price of $119.75

• The stock recently traded at 25 times the next 12-month earnings vs. a P/E of 21 three months ago

Press Release: ID:nGNX5zVjpv

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)