Sitime Corp Down 5.08% To $114.48 After Earnings Beat

Wednesday, February 14, 2024 - Sitime Corp (SITM) reported upside earnings and revenues today.

Sitime Corp's earnings came in at an EPS of $0.24 per share, 20.00% higher than estimates for an EPS of $0.2 per share. The firm's earnings are down 63% since reporting $0.64 per share in the same period a year ago. Remember, earnings reported were on an adjusted basis, so they may not be comparable to prior reports and/or analyst estimates.

Analyst projections for Sitime Corp revenue came in at a consensus of $41.7 million. Fourth-Quarter revenues surpassed estimates for $42.4 million by $677 thousand (2%). The company achieved negative 30% growth year-over-year compared to the firm's revenue of $60.8 million from the year-ago quarter. The lower earnings growth relative to revenue signals Sitime Corp has not been able to improve its profit margin.

The stock is down 5.08% to $114.48 after the report.

The firm's higher revenue growth to earnings signals that the firm has not been able to reduce costs and has seen its profit margin decrease.

Wall Street Analysts had an average rating of Buy on the stock prior to the report.

InvestorsObserver gives the stock a Bullish Sentiment score at the moment based on recent trading.

Prior to the report, InvestorsObserver gave the stock an overall score of 56. Meanwhile, the average Wall Street analyst rated the stock a Buy.

SiTime Corp is a USA-based provider of silicon timing systems solutions. The company designs develop and sell silicon timing systems solutions for different industries including automotive, infrastructure, aerospace-defense, consumer, internet of things, consumer and industrials. Its product offerings include Stratum 3E DCOCXOs, Programmable OCXOs, MHz Oscillators, 32.768 kHz Oscillators, Embedded Resonators, Precision MHz Super-TCXOs, and Ruggedized Oscillators. It sells its products around Taiwan, Hong Kong, United States, and other regions and generates the majority of the revenue from Hong Kong.