Semtech price target lowered to $25 from $32 at Northland

Northland lowered the firm’s price target on Semtech to $25 from $32 and keeps an Outperform rating on the shares. Semtech reported a beat on the bottom line in Q3, but revenue guidance was soft as the company works off excess channel inventory, the analyst tells investors. While the firm’s revenue estimate comes down, non-GAAP earnings is little changed due to operating expense control, notes the analyst, who contends that AI related datacenter network demand “creates a positive backdrop.”