Stifel has revised its price target for Silicon Labs (SLAB, Financial), reducing it from $145 to $120, while maintaining a Buy rating on the stock. The investment firm cites the impacts of tariffs as a primary concern, which are expected to affect both direct and indirect aspects of the business.
As the first quarter earnings season approaches for companies within the Analog, Connectivity, and Processors sector, Stifel predicts mostly stable results for the March quarter. However, the outlook for the June quarter appears less optimistic due to ongoing tariff pressures.
The firm emphasized that, irrespective of how tariffs are ultimately resolved in terms of their scale, duration, and reach, there remains a heightened risk for the semiconductor industry at large. This increased risk could potentially lead to a cyclical downturn in the sector, according to Stifel's analysis.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 8 analysts, the average target price for Silicon Laboratories Inc (SLAB, Financial) is $139.88 with a high estimate of $160.00 and a low estimate of $120.00. The average target implies an upside of 55.42% from the current price of $90.00. More detailed estimate data can be found on the Silicon Laboratories Inc (SLAB) Forecast page.
Based on the consensus recommendation from 12 brokerage firms, Silicon Laboratories Inc's (SLAB, Financial) average brokerage recommendation is currently 2.7, indicating "Hold" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Silicon Laboratories Inc (SLAB, Financial) in one year is $151.20, suggesting a upside of 68% from the current price of $90. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Silicon Laboratories Inc (SLAB) Summary page.
