This Semiconductor Stock Is Still 20% Below Its High but One Fund Is Betting Nearly $50 Million on Shares

Company Overview - Semtech Corporation is a leading provider of analog and mixed-signal semiconductor products, focusing on high-growth infrastructure and industrial applications [10] - The company generates revenue by designing, manufacturing, and selling integrated circuits and advanced algorithms to OEMs, suppliers, and distribution partners globally, serving various markets including enterprise computing, communications, industrial, and consumer electronics [9] - Semtech reported a revenue of $1 billion and a net income of $28.6 million for the trailing twelve months (TTM) [5] Recent Developments - Portolan Capital Management increased its stake in Semtech by acquiring 289,844 shares, raising its total position value to approximately $47.8 million, which represents 2.6% of the fund's reported U.S. equity assets as of September 30 [3][7] - The overall position value increased by $30.68 million from the previous quarter [7] Financial Performance - Semtech posted record revenue of $267 million for the latest quarter, reflecting a 13% year-over-year increase, with adjusted earnings per share (EPS) of $0.48, nearly double from a year ago [12] - The adjusted operating margin expanded to 20.6% from 18.3%, and free cash flow for the quarter reached $44.6 million [12] Market Position - As of the latest market close, Semtech shares were priced at $72.97, showing a 15% increase over the past year, slightly underperforming the S&P 500's gain of approximately 16.5% during the same period [4][5] - The company maintains a diversified international customer base and emphasizes innovation in signal integrity and power management, supporting mission-critical systems for global OEMs [10]