SMART Global Holdings Inc. [NASDAQ: SGH] traded at a high on 07/12/21, posting a 3.53 gain after which it closed the day’ session at $52.79. The company report on July 10, 2021 that SMART Global Holdings Announces Pricing of Proposed Public Offering of Ordinary Shares by Selling Shareholders.
SMART Global Holdings, Inc. (“SGH” or the “Company”) (Nasdaq: SGH) announced the pricing of a proposed underwritten public offering of 3,000,000 of its ordinary shares by certain selling shareholders affiliated with Silver Lake (the “Selling Shareholders”) at a price to the public of $51.00 per share. The Company is not selling any of its ordinary shares in the offering and will not receive any of the proceeds from the sale of its ordinary shares by the Selling Shareholders.
Morgan Stanley & Co. LLC is acting as sole underwriter for the proposed offering.
The results of the trading session contributed to over 1783590 shares changing hands. Over the past one week, the price volatility of SMART Global Holdings Inc. stands at 6.74% while the volatility over the past one month is 3.60%.
The market cap for SGH stock reached $1.34 billion, with 24.04 million shares outstanding and 16.93 million shares in the current float. Compared to the average trading volume of 401.41K shares, SGH reached a trading volume of 1783590 in the most recent trading day, which is why market watchdogs consider the stock to be active.
What do top market gurus say about SMART Global Holdings Inc. [SGH]?
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for SGH shares is $63.75 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on SGH stock is a recommendation set at 1.70. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Needham have made an estimate for SMART Global Holdings Inc. shares, keeping their opinion on the stock as Buy, with their previous recommendation back on July 07, 2021. While these analysts kept the previous recommendation, Barclays raised their target price to Overweight. The new note on the price target was released on April 07, 2021, representing the official price target for SMART Global Holdings Inc. stock. Previously, the target price had yet another raise from $56 to $65, while Needham kept a Buy rating on SGH stock. On January 06, 2021, analysts increased their price target for SGH shares from 39 to 56.
The Average True Range (ATR) for SMART Global Holdings Inc. is set at 2.28, with the Price to Sales ratio for SGH stock in the period of the last 12 months amounting to 1.01. The Price to Book ratio for the last quarter was 4.71, with the Price to Cash per share for the same quarter was set at 7.45. Price to Free Cash Flow for SGH in the course of the last twelve months was 17.92 with Quick ratio for the last quarter at 1.10.
How has SGH stock performed recently?
SMART Global Holdings Inc. [SGH] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 9.75. With this latest performance, SGH shares gained by 14.74% in over the last four-week period, additionally plugging by 38.77% over the last 6 months – not to mention a rise of 88.74% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for SGH stock in for the last two-week period is set at 61.47, with the RSI for the last a single of trading hit 62.91, and the three-weeks RSI is set at 59.50 for SMART Global Holdings Inc. [SGH]. The present Moving Average for the last 50 days of trading for this stock 46.62, while it was recorded at 52.13 for the last single week of trading, and 40.42 for the last 200 days.
SMART Global Holdings Inc. [SGH]: Deeper insight into the fundamentals
Operating Margin for any stock indicates how profitable investing would be, and SMART Global Holdings Inc. [SGH] shares currently have an operating margin of +3.99 and a Gross Margin at +18.29. SMART Global Holdings Inc.’s Net Margin is presently recorded at -0.10.
Return on Total Capital for SGH is now 9.11, given the latest momentum, and Return on Invested Capital for the company is -0.24. Return on Equity for this stock declined to -0.41, with Return on Assets sitting at -0.15. When it comes to the capital structure of this company, SMART Global Holdings Inc. [SGH] has a Total Debt to Total Equity ratio set at 78.59. Additionally, SGH Total Debt to Total Capital is recorded at 44.01, with Total Debt to Total Assets ending up at 28.19. Long-Term Debt to Equity for the company is recorded at 76.71, with the Long-Term Debt to Total Capital now at 42.95.
Reflecting on the efficiency of the workforce at the company, SMART Global Holdings Inc. [SGH] managed to generate an average of -$652 per employee. Receivables Turnover for the company is 4.84 with a Total Asset Turnover recorded at a value of 1.51.SMART Global Holdings Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 1.10 and a Current Ratio set at 1.60.
Earnings analysis for SMART Global Holdings Inc. [SGH]
The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for SGH. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for SMART Global Holdings Inc. go to 36.06%.
Insider trade positions for SMART Global Holdings Inc. [SGH]
There are presently around $1,342 million, in the hands of institutional investors. The top three institutional holders of SGH stocks are: SILVER LAKE GROUP, L.L.C. with ownership of 7,166,755, which is approximately -22.578% of the company’s market cap and around 2.80% of the total institutional ownership; AMERIPRISE FINANCIAL INC, holding 2,472,298 shares of the stock with an approximate value of $130.51 million in SGH stocks shares; and BLACKROCK INC., currently with $122.7 million in SGH stock with ownership of nearly 6.558% of the company’s market capitalization.
Positions in SMART Global Holdings Inc. stocks held by institutional investors increased at the end of July and at the time of the July reporting period, where 66 institutional holders increased their position in SMART Global Holdings Inc. [NASDAQ:SGH] by around 3,477,202 shares. Additionally, 66 investors decreased positions by around 4,034,963 shares, while 17 investors held positions by with 17,918,352 shares. The mentioned changes placed institutional holdings at 25,430,517 shares, according to the latest SEC report filing. SGH stock had 18 new institutional investments in for a total of 910,087 shares, while 18 institutional investors sold positions of 159,928 shares during the same period.