Semtech price target lowered to $70 from $75 at Stifel

Stifel lowered the firm’s price target on Semtech (SMTC) to $70 from $75 and keeps a Buy rating on the shares after the company filed an 8-K after market close on February 7 to disclose that January year-end revenue from CopperEdge products used in active copper cables, especially in AI/data center applications, are expected to come in below the prior “floor case estimates” of $50M, citing changes to rack architectures and recent feedback from a particular server rack customer. While “disappointed” with the Friday disclosure, the firm maintains a Buy rating on shares at this time, though it lowered its target to reflect the reduced upside potential in calendar year 2025.