Benchmark Downgrades Silicon Laboratories (NASDAQ:SLAB) to Hold

Silicon Laboratories (NASDAQ:SLAB) was downgraded by investment analysts at Benchmark from a “buy” rating to a “hold” rating in a report released on Wednesday, Marketbeat.com reports.

Several other brokerages have also commented on SLAB. Royal Bank Of Canada started coverage on Silicon Laboratories in a research note on Thursday, January 15th. They set a “sector perform” rating and a $160.00 price target on the stock. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Silicon Laboratories in a report on Monday, December 29th. One research analyst has rated the stock with a Buy rating, seven have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, Silicon Laboratories has a consensus rating of “Hold” and an average price target of $159.88.

Silicon Laboratories Stock Up 0.9%

NASDAQ:SLAB opened at $205.22 on Wednesday. The firm’s fifty day simple moving average is $142.48 and its 200-day simple moving average is $135.59. The stock has a market cap of $6.74 billion, a PE ratio of -103.13 and a beta of 1.56. Silicon Laboratories has a fifty-two week low of $82.82 and a fifty-two week high of $207.50.

Silicon Laboratories (NASDAQ:SLAB) last announced its quarterly earnings data on Wednesday, February 4th. The semiconductor company reported $0.56 EPS for the quarter, beating the consensus estimate of $0.54 by $0.02. Silicon Laboratories had a negative net margin of 8.27% and a negative return on equity of 4.09%. The firm had revenue of $208.21 million during the quarter, compared to analysts’ expectations of $207.63 million. During the same quarter last year, the business earned ($0.11) earnings per share. The business’s revenue for the quarter was up 25.3% compared to the same quarter last year. Equities analysts anticipate that Silicon Laboratories will post -0.97 earnings per share for the current year.

Insider Buying and Selling

In other Silicon Laboratories news, Director Nina Richardson sold 1,355 shares of the firm’s stock in a transaction on Tuesday, January 13th. The stock was sold at an average price of $149.00, for a total transaction of $201,895.00. Following the completion of the transaction, the director owned 8,543 shares of the company’s stock, valued at approximately $1,272,907. This trade represents a 13.69% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, SVP Brandon Tolany sold 1,954 shares of the business’s stock in a transaction on Friday, December 5th. The stock was sold at an average price of $141.49, for a total value of $276,471.46. Following the completion of the transaction, the senior vice president directly owned 62,381 shares of the company’s stock, valued at approximately $8,826,287.69. This trade represents a 3.04% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 7,555 shares of company stock worth $1,073,528. 1.60% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Silicon Laboratories

Several hedge funds have recently modified their holdings of the company. First Horizon Corp acquired a new position in shares of Silicon Laboratories in the third quarter valued at approximately $35,000. EverSource Wealth Advisors LLC raised its holdings in Silicon Laboratories by 45.7% in the 3rd quarter. EverSource Wealth Advisors LLC now owns 274 shares of the semiconductor company’s stock valued at $36,000 after acquiring an additional 86 shares during the last quarter. UMB Bank n.a. lifted its stake in shares of Silicon Laboratories by 43.9% during the 3rd quarter. UMB Bank n.a. now owns 282 shares of the semiconductor company’s stock worth $37,000 after purchasing an additional 86 shares during the period. Mather Group LLC. acquired a new stake in shares of Silicon Laboratories during the third quarter worth $39,000. Finally, Hantz Financial Services Inc. boosted its holdings in shares of Silicon Laboratories by 189.6% during the third quarter. Hantz Financial Services Inc. now owns 362 shares of the semiconductor company’s stock worth $47,000 after purchasing an additional 237 shares during the last quarter.

Silicon Laboratories News Summary

Here are the key news stories impacting Silicon Laboratories this week:

• Positive Sentiment: Texas Instruments agreed to acquire Silicon Labs for $231 per share in cash, valuing the deal at about $7.5 billion — the takeover premium is the primary driver of today’s rally. Texas Instruments to acquire Silicon Labs
• Positive Sentiment: Silicon Labs reported Q4 results that beat estimates (EPS $0.56 vs. $0.54 consensus) and posted strong year-over-year revenue growth, which supports a higher takeout valuation and reduces standalone downside concerns. SLAB Q4 results
• Positive Sentiment: Shares spiked to multi-year highs on takeover news and heavy volume as investors priced in the $231 cash consideration. SLAB touches 4-year high
• Positive Sentiment: Royal Bank of Canada raised its price target from $160 to $205 (now a sector perform), which signals institutional recognition of the changed valuation backdrop post-deal. RBC price target raise
• Neutral Sentiment: Trading was briefly halted for SLAB pending the takeover announcement — a standard market response to material M&A news and informational flow.
• Neutral Sentiment: Several media and analysis pieces are asking whether it’s too late to buy SLAB now that the deal price is public; this reflects debate about upside beyond the $231 cash offer. Is It Too Late to Buy SLAB?
• Negative Sentiment: Multiple law firms have announced investigations and shareholder notices alleging potential breaches of fiduciary duty and asking shareholders to contact counsel — these actions can delay closing, increase deal risk or spark litigation seeking a higher price. Halper Sadeh investigation KSF investigator
• Negative Sentiment: Several brokerages (KeyBanc, Needham, Benchmark and others) moved to “hold” from “buy,” reflecting that the public cash offer caps upside for buyers and that analyst coverage will reset around the transaction price. KeyBanc downgrade Needham downgrade
• Negative Sentiment: Unusual put-option activity surged ahead of the announcement (large put buys), indicating some investors were hedging or betting on downside/transaction risk. This suggests a subset of market participants view the deal as contested or uncertain.

About Silicon Laboratories

Silicon Laboratories (NASDAQ:SLAB) is a global semiconductor company that develops high-performance analog and mixed-signal integrated circuits, wireless system-on-chips (SoCs), microcontrollers, and radio frequency (RF) solutions. Its product portfolio is tailored to support the Internet of Things (IoT), infrastructure, industrial automation, consumer electronics, automotive, and energy markets. By combining silicon, software, and tools, Silicon Labs aims to accelerate development cycles and deliver low-power, highly integrated solutions that address demanding application requirements.

Founded in 1996 and headquartered in Austin, Texas, Silicon Labs has grown into a multinational organization with engineering and sales operations across North America, Europe, and Asia.