SiTime Q3 revenue beats estimates on AI infrastructure demand

Overview

• Precision timing chipmaker's Q3 revenue rose sharply yr/yr, beating analyst expectations

• Adjusted EPS for Q3 was $4.01, beating analyst expectations

• Company announced a three-for-one stock split

Outlook

• Company did not provide specific financial guidance in its press release

Result Drivers

• AI INFRASTRUCTURE DEMAND - Co said ongoing AI infrastructure buildout drove strong demand for its timing products, with core CED revenue up 202% yr/yr

• TPD ACQUISITION - Co attributed improved scale and financial performance to the integration of TPD, which it said progressed well in Q3

• BROAD-BASED GROWTH - Co said revenue growth was broad-based and not limited to a single market

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 12 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the semiconductors peer group is "buy"

• Wall Street's median 12-month price target for SiTime Corporation is $850.00, about 91.1% above its November 3 closing price of $444.88

• The stock recently traded at 31 times the next 12-month earnings vs. a P/E of 55 three months ago

Reuters Recommended Reads

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)