Zacks Investment Research Upgrades Smart Global (SGH) to Hold

Smart Global (NASDAQ:SGH) was upgraded by Zacks Investment Research from a “strong sell” rating to a “hold” rating in a note issued to investors on Wednesday, Zacks.com reports.

According to Zacks, “Smart Global Holdings Inc. is a designer, manufacturer and supplier of electronic subsystems to OEMs. It engaged in the computer, industrial, networking, telecommunications, aerospace and defense markets. The company operates primarily in the U.S., Europe, Asia and Latin America. Smart Global Holdings Inc. is headquartered in Newark, California. “

Other analysts have also recently issued reports about the stock. Deutsche Bank reduced their price objective on shares of Smart Global from $38.00 to $28.00 and set a “buy” rating for the company in a research note on Friday, March 29th. Barclays reduced their price objective on shares of Smart Global from $38.00 to $25.00 and set an “overweight” rating for the company in a research note on Friday, March 29th. Roth Capital reduced their price objective on shares of Smart Global from $40.00 to $30.00 and set a “buy” rating for the company in a research note on Friday, March 29th. BidaskClub upgraded shares of Smart Global from a “hold” rating to a “buy” rating in a research note on Friday, February 22nd. Finally, TheStreet cut shares of Smart Global from a “c-” rating to a “d+” rating in a research note on Tuesday, April 30th. Two equities research analysts have rated the stock with a sell rating, two have issued a hold rating and four have issued a buy rating to the company’s stock. Smart Global currently has an average rating of “Hold” and an average price target of $40.00.

NASDAQ SGH opened at $17.58 on Wednesday. The company has a quick ratio of 1.39, a current ratio of 1.92 and a debt-to-equity ratio of 0.78. The company has a market capitalization of $402.42 million, a price-to-earnings ratio of 2.93, a price-to-earnings-growth ratio of 0.38 and a beta of 0.35. Smart Global has a 12-month low of $17.14 and a 12-month high of $51.63.

Smart Global (NASDAQ:SGH) last posted its earnings results on Thursday, March 28th. The company reported $0.63 earnings per share (EPS) for the quarter, missing the Zacks’ consensus estimate of $0.75 by ($0.12). The business had revenue of $304.10 million during the quarter, compared to analyst estimates of $317.27 million. Smart Global had a net margin of 7.49% and a return on equity of 61.87%. Smart Global’s revenue was down 3.2% compared to the same quarter last year. During the same quarter last year, the firm earned $1.73 earnings per share. As a group, analysts anticipate that Smart Global will post 3.03 EPS for the current fiscal year.

In related news, VP Bruce M. Goldberg sold 2,000 shares of the business’s stock in a transaction on Tuesday, March 19th. The shares were sold at an average price of $25.04, for a total transaction of $50,080.00. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, Director Iain Mackenzie sold 10,000 shares of the business’s stock in a transaction on Monday, April 15th. The stock was sold at an average price of $21.31, for a total transaction of $213,100.00. The disclosure for this sale can be found here. Insiders sold 26,381 shares of company stock valued at $590,727 over the last 90 days. 4.20% of the stock is owned by corporate insiders.

A number of hedge funds have recently made changes to their positions in the stock. FMR LLC bought a new position in Smart Global during the first quarter worth $7,757,000. Crosslink Capital Inc. increased its position in Smart Global by 41.0% during the first quarter. Crosslink Capital Inc. now owns 206,679 shares of the company’s stock worth $3,969,000 after acquiring an additional 60,060 shares during the period. Ladenburg Thalmann Financial Services Inc. increased its position in Smart Global by 144.2% during the first quarter. Ladenburg Thalmann Financial Services Inc. now owns 2,855 shares of the company’s stock worth $55,000 after acquiring an additional 1,686 shares during the period. Coastal Investment Advisors Inc. bought a new position in Smart Global during the first quarter worth $293,000. Finally, Voya Investment Management LLC bought a new position in Smart Global during the first quarter worth $328,000. 97.97% of the stock is currently owned by institutional investors and hedge funds.

About Smart Global

SMART Global Holdings, Inc designs, manufactures, and supplies specialty memory solutions worldwide. The company offers dynamic random access memory (DRAM) components, which are used to manufacture modules and other products; DRAM modules for desktop, notebook, and server applications, as well as for use in smartphones; and specialty DRAM modules for industrial, communications, and networking applications, as well as develops specialized memory module designs based on original equipment manufacturer (OEM) requirements.

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Analyst Recommendations for Smart Global (NASDAQ:SGH)

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