Semtech price target raised to $75 from $70 at Roth MKM

Roth MKM analyst Scott Searle raised the firm’s price target on Semtech (SMTC) to $75 from $70 and keeps a Buy rating on the shares. The company’s $661M secondary offering provides significant financial flexibility by reducing interest and leverage ratios while being immediately accretive, the analyst tells investors in a research note. The management’s actions to monetize non-strategic assets continue, and the firm believes that components of Semtech’s Sierra Wireless could be sold in the first half of 2025, further reducing the company’s net debt and enable it to focus and transform to more of a Data Center pure play.