On August 27, Semtech rose 6.23% in regular trading, trading at 147.37 USD/share, with Turnover of $51.67 million. The rally was driven by multiple investment banks raising their price targets following the company's Q2 earnings that significantly exceeded expectations.

Specifically, UBS raised its price target on Semtech from $225 to $230, maintaining a Buy rating, projecting data center quarterly revenue could reach $200 million by fiscal Q1 2028. The company reported Q2 non-GAAP EPS of $0.71, beating the consensus estimate of $0.57 by 24.6%, with revenue of $341.9 million representing 33% year-over-year growth. Q3 revenue guidance of $405-$415 million far exceeded UBS's prior estimate of $376 million.

Additionally, Semtech's agreement to sell its cellular module business for $62 million in cash is expected to improve gross margins by approximately 500 basis points, allowing the company to further concentrate on high-growth data center and AI infrastructure opportunities.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)