Shares of Semtech Corp. (SMTC) plunged 18 percent in extended hours on Wednesday after the chip maker lowered its outlook for the fourth quarter, citing ongoing delays in carrier capital spending and the ramp up of a new consumer mobile platform.
Camarillo, California-based Semtech's expects fourth-quarter earnings at break even per share to $0.08 per share, adjusted earnings of $0.18 to $0.24 per share and revenues of $120 million to $130 million.
Analysts polled by Thomson Reuters currently estimate earnings of $0.34 per share on revenues of $138.7 million for the quarter. Analysts estimates typically exclude one-time items.
Earlier, the company expected earnings of $0.09 to $0.18 per share, adjusted earnings of $0.29 to $0.37 per share and revenues of $132.0 million to $144.0 million.
Semtech, which makes analog and mixed-signal semiconductors, blamed the ongoing delays in carrier capex spending and a 6-month push-out in the ramp of a new consumer mobile platform.
SMTC closed Wednesday's trading at $28.07, down $0.49 or 1.72%, on the Nasdaq. The stock further dropped $5.07 or 18.06% in after-hours trade.
For comments and feedback contact: editorial@rttnews.com
Business News
December 19, 2025 15:10 ET U.S. inflation data and interest rate decisions by major central banks were the highlights of this busy week for economics news flow. Employment data and survey results on the housing markets also gained attention in the U.S. In Europe, the European Central Bank and Bank of England announced their policy decisions and macroeconomic projections.