Silicon Motion slides after announcing $800 mln 0% convertible bond deal
SIMO•Analyst ratings and price target
Eleven of 12 analysts rate the stock "strong buy" or "buy" and one rates it "hold," with a median price target of $350, up from $262.12 a month ago, according to LSEG data.
Use of proceeds and stock performance
The company intends to use the net proceeds for general purposes and to repay outstanding amounts under its credit agreement.
Through Friday's close, SIMO stock was up 176% year to date for a market cap of about $8.7 billion.
Shares fall after proposed convertible bond offering
Shares of Taiwan-headquartered Silicon Motion Technology SIMO.O were down 9.7% at $231.26 premarket as it looks to raise capital.
The maker of NAND flash controllers for solid-state storage devices announced a private offering of $800 million 0% convertible bonds due Aug. 15, 2031.
