SMART Global (NASDAQ:SGH) Announces Earnings Results, Beats Estimates By $0.07 EPS

SMART Global (NASDAQ:SGH) released its quarterly earnings results on Tuesday. The company reported $0.37 earnings per share for the quarter, topping analysts’ consensus estimates of $0.30 by $0.07, Briefing.com reports. The company had revenue of $300.58 million during the quarter, compared to analysts’ expectations of $300.00 million. SMART Global had a positive return on equity of 11.82% and a negative net margin of 15.79%. SMART Global’s quarterly revenue was down 12.7% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.46 EPS. SMART Global updated its Q4 guidance to $0.25-0.55 EPS and its Q4 2024 guidance to 0.250-0.550 EPS.

SMART Global Stock Performance

Shares of SGH traded down $0.78 during mid-day trading on Thursday, hitting $28.54. 2,085,889 shares of the company’s stock were exchanged, compared to its average volume of 1,082,348. SMART Global has a fifty-two week low of $12.66 and a fifty-two week high of $29.58. The firm has a market capitalization of $1.49 billion, a P/E ratio of -7.97 and a beta of 1.69. The business’s 50 day moving average is $21.42 and its two-hundred day moving average is $21.42. The company has a current ratio of 3.30, a quick ratio of 2.66 and a debt-to-equity ratio of 1.80.

Insider Activity at SMART Global

In related news, insider Joseph Gates Clark sold 2,529 shares of the firm’s stock in a transaction dated Wednesday, April 24th. The shares were sold at an average price of $17.94, for a total value of $45,370.26. Following the completion of the sale, the insider now owns 92,386 shares in the company, valued at $1,657,404.84. The sale was disclosed in a legal filing with the SEC, which is available through the SEC website. 2.30% of the stock is owned by insiders.

Institutional Investors Weigh In On SMART Global

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. SG Americas Securities LLC increased its stake in shares of SMART Global by 75.6% during the 4th quarter. SG Americas Securities LLC now owns 234,927 shares of the company’s stock worth $4,447,000 after purchasing an additional 101,159 shares in the last quarter. Deutsche Bank AG increased its stake in shares of SMART Global by 46.3% during the 3rd quarter. Deutsche Bank AG now owns 482,967 shares of the company’s stock worth $11,760,000 after purchasing an additional 152,918 shares in the last quarter. Nomura Holdings Inc. increased its stake in shares of SMART Global by 41.1% during the 4th quarter. Nomura Holdings Inc. now owns 234,662 shares of the company’s stock worth $4,442,000 after purchasing an additional 68,315 shares in the last quarter. American Century Companies Inc. increased its stake in shares of SMART Global by 42.3% during the 3rd quarter. American Century Companies Inc. now owns 292,916 shares of the company’s stock worth $7,133,000 after purchasing an additional 87,035 shares in the last quarter. Finally, Griffin Asset Management Inc. purchased a new position in shares of SMART Global during the 1st quarter worth approximately $279,000.

Analyst Ratings Changes

Several equities research analysts have commented on SGH shares. Rosenblatt Securities reiterated a “buy” rating and set a $35.00 price objective on shares of SMART Global in a research note on Wednesday, July 3rd. Stifel Nicolaus restated a “buy” rating and issued a $27.50 price target on shares of SMART Global in a research report on Wednesday, July 3rd. Needham & Company LLC upped their price target on SMART Global from $27.00 to $30.00 and gave the stock a “buy” rating in a research note on Wednesday. Finally, Barclays lifted their price objective on SMART Global from $24.00 to $27.00 and gave the company an “overweight” rating in a research note on Wednesday. Four analysts have rated the stock with a buy rating, According to data from MarketBeat.com, SMART Global has a consensus rating of “Buy” and an average target price of $29.88.

About SMART Global

SMART Global Holdings, Inc, a memory-focused company, engages in the designing and development of enterprise solutions in the United States, China, Europe, and internationally. It operates through Memory Solutions, Intelligent Platform Solutions, and LED Solutions segments. The company offers dynamic random access memory modules, solid-state and flash storage, and other advanced memory solutions for networking and telecom, data analytics, artificial intelligence and machine learning applications; and supply chain services including procurement, logistics, inventory management, temporary warehousing, programming, kitting, and packaging services.