Investment analysts at JPMorgan Chase & Co. have revised their price target for Synaptics (NASDAQ:SYNA) from $85.00 to $100.00, reflecting optimism about the company’s future performance. This adjustment, noted in a research note issued to investors on February 5, 2024, indicates a potential upside of approximately 12.07% from the stock’s current trading price. The firm currently maintains an “overweight” rating on Synaptics, signaling confidence in the software maker’s growth prospects.
In recent days, Synaptics has captured attention from several other financial institutions. On January 15, 2024, Barclays also reaffirmed an “overweight” rating with a price target of $100.00. Meanwhile, Northland Securities increased their price objective to $106.00, while Wells Fargo & Company raised their target from $95.00 to $100.00. In contrast, Wall Street Zen downgraded Synaptics from a “buy” to a “hold” rating earlier this month, reflecting a more cautious stance. Overall, ten analysts have rated the stock as a buy, three have issued a hold rating, and one has recommended a sell.
According to data from MarketBeat, Synaptics currently holds an average rating of “Moderate Buy” with an average target price of $99.91.
Financial Performance and Future Guidance
On the financial front, Synaptics reported its quarterly earnings on February 5, 2024. The company posted earnings per share (EPS) of $1.21, surpassing analysts’ consensus estimates of $1.15 by $0.06. The quarterly revenue was reported at $302.50 million, slightly exceeding projections of $300.31 million. This performance marks a 13.2% increase in revenue year-over-year, compared to $0.92 EPS in the same quarter the previous year.
Looking ahead, Synaptics has provided guidance for Q3 2026, estimating an EPS range between $0.850 and $1.150. Analysts anticipate that the company will achieve an EPS of $0.96 for the current fiscal year.
Insider Activity and Institutional Investment
In a separate development, insider trading activity has raised some interest. On December 18, 2023, Lisa Bodensteiner, an insider at Synaptics, sold 336 shares at an average price of $75.83, totaling approximately $25,478.88. Following this transaction, Bodensteiner held 74,425 shares valued at around $5,643,647.75. This sale represented a 0.45% reduction in her ownership stake.
Additionally, another insider, Vikram Gupta, sold 694 shares on December 17, 2023, at an average price of $75.00, amounting to around $52,050.00. Gupta now owns 100,082 shares valued at approximately $7,506,150, reflecting a 0.69% decrease in his position. Over the last ninety days, insiders have sold a total of 8,906 shares worth $698,177, and corporate insiders hold 0.50% of the company’s stock.
Several institutional investors have also adjusted their stakes in Synaptics recently. Hantz Financial Services Inc. increased its stake by 143.9% in the third quarter, now owning 595 shares valued at $41,000. Other notable changes include Optiver Holding B.V., which raised its stake by 40.2%, and Nisa Investment Advisors LLC, which grew its holdings by 50.3% in the second quarter. Currently, institutional investors own 99.43% of Synaptics’ shares.
As Synaptics continues to navigate the market, its robust performance and analyst support suggest a promising trajectory for the company.
