QM · rank #19 · 2026-10-26
SMTC
NASDAQ · $12.32B (USD)
The exact numbers the algorithm saw.
| Momentum 12-1 Return from 12 months ago to 1 month ago. | +189.50% |
|---|---|
| ROE TTM Return on equity, trailing 12 months. | +23.7% |
| Profit margin Net profit margin, trailing 12 months. | +13.1% |
| Market cap (USD) Size filter: > $500M required. | $12.32B |
| Anchor (recent) Close on 2026-09-25 | $182.30 |
| Anchor (far) Close on 2025-09-26 | $62.97 |
The AI research card
Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.
Summary
Semtech Corporation designs high-performance analog and mixed-signal semiconductors and IoT systems, providing power-efficient signal integrity solutions for AI data center optical/copper interconnects and LoRa-enabled connectivity.
Rationale
High 12-1 momentum (1.8950) and solid profitability (23.7% ROE, 13.1% net margin) are strongly supported by fundamental acceleration, evidenced by 33% YoY Q2 revenue growth and a raised Q3 guidance range of $415–420 million.
Material risks
- 1Hyperscale cloud and networking customers could insource signal-integrity solutions or adopt competing analog technologies, displacing Semtech's design-in content.
- 2Concentrated exposure to AI data-center infrastructure spending leaves earnings vulnerable to severe cyclical capex slowdowns or architectural shifts in copper-to-optical links.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 1 of 3 voted to proceed.