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Semtech’s ‘solid’ Q1 shows ‘robust’ data center demand, says Needham

Needham keeps a Buy rating and $54 price target on Semtech (SMTC) after its “solid” Q1 results driven by data center related infrastructure shipments and LoRa-enabled solutions. Demand for data center related products remains robust as the company reported a record quarter, while the momentum in Data Center is expected to carry through the second half of FY26, driven by continued strength in FiberEdge and non-NVIDIA (NVDA) CopperEdge and LPO ramps, the analyst tells investors in a research note.

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