Renaissance Technologies LLC, the New York-based hedge fund known for their expertise in quantitative finance, has drastically reduced its position in semiconductor product solutions company Synaptics Incorporated. According to Renaissance Technologies’ most recent 13F filing with the Securities and Exchange Commission (SEC), the firm’s holdings in Synaptics decreased by a staggering 35.9% in the fourth quarter of 2022, selling off 97,780 shares during this period. As of its most recent filing with the SEC, Renaissance Technologies LLC owned approximately 0.44% of Synaptics worth $16,581,000 – a steep decline from its once considerable interest in the software maker’s stock.
Founded in California nearly four decades ago, Synaptics specializes in developing innovative solutions for voice and audio processing, high-speed video/audio/data connectivity and transmitting compressed video frames across low bandwidth connections. The company’s imaging smart tools serve an array of industries including set-top boxes or over-the-top (OTT) streaming devices, soundbars, surveillance cameras and smart displays.
The recent dip follows several analysts’ comments on Syntacitcs’ stocks. Among them were KeyCorp reducing their price target on Synaptic from $140 to $100 earlier this month and Needham & Company LLC cutting their price target on Synaptics from $165.00 to $115.00 earlier this year as well as stocknews.com issuing a “Hold” rating on the stock last month.
Despite this minor downturn observed by some market observers, others remain optimistic about Syntactic’s future. For instance, Oppenheimer increased their price objective for Syntactis from $185.00 to $195.00 during April.
As per data provided by Bloomberg which tracks consensus among industry experts concerning specific stocks, Sunnyvale-based firm currently has a “moderate buy” rating and an average target price of around $124 per share held in the portfolio. It is expected that Syntacitcs’ will continue to be a stock of interest among wealth management entities and institutional investors because of its impressive growth, innovation, and profitability.
[bs_slider_forecast ticker=”SYNA”]
Institutional Investors Show Interest in Synaptics Inc. Stock, Leading to Surge in Prices
Synaptics Inc., a multinational technology company developing and selling semiconductor product solutions all over the world, seems to be attracting attention from institutional investors lately. According to recent reports, various financial companies, including PNC Financial Services Group Inc. and Bank of Montreal Can, have raised their holdings in Synaptics. Great West Life Assurance Co.Can, Raymond James & Associates, and Vontobel Holding Ltd have also purchased additional shares.
The news of these transactions led to a surge in the stock prices of Synaptics Incorporated. In fact, the shares traded up by $2.87 during trading hours on June 12th alone, hitting $84.35 with a trading volume of 217,810 shares compared to its average volume of 542,364.
Synaptics has been known for its AudioSmart voice and audio processing solutions, ConnectSmart for high-speed video/audio/data connectivity, DisplayLink for transmitting compressed video frames across low bandwidth connections, VideoSmart that powers set-top boxes or over-the-top streaming devices along with soundbars, surveillance cameras and smart displays; and ImagingSmart solutions.
Despite the good news from institutional investors and hedge funds buying up additional stocks, it was recently reported that insider Michael E. Hurlston sold almost 47k shares worth $4m valued at an average price of $85.73 each on May 26th . As per the legal filings submitted by Synaptics to the SEC website shows that company insiders currently own 0.97% or almost 282k shares of total outstanding shares.
Despite this negative development on May 26th , Synaptics’ Board of Directors had approved a stock buyback program earlier this year that allows the company to repurchase up to $500 million worth of its own shares through open market purchases which is considered as a strong vote of confidence for its undervalued stock prices.
However bullish sentiment prevails among analysts as one cannot ignore the pattern of increasing institutional interest in Synaptics stock. This could be interpreted as an upbeat signal for the future of the tech company. Some investors may even follow suit and buy additional shares too, finding the stock price undervalued at this stage. In any case, time will tell if Synaptics Incorporated continues to thrive in the increasingly competitive landscape of semiconductor product solutions worldwide.
