Melissa Fairbanks, an analyst from Raymond James, reiterated the Buy rating on SiTime Corporation. The associated price target is $270.00.
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Melissa Fairbanks’s rating is based on several compelling factors that highlight SiTime Corporation’s strong market position and growth potential. Following recent meetings with the company’s management, Fairbanks expressed increased confidence in SiTime’s ability to expand its market for precision timing solutions, particularly in rapidly growing sectors such as datacenters and advanced driver-assistance systems (ADAS). SiTime’s unique capability to address high-performance data rates and challenging environments positions it well within these mission-critical applications.
Furthermore, Fairbanks raised the company’s estimates to reflect long-term growth catalysts, projecting an annual growth rate of 25-30% before contributions from the iPhone. The company’s engagement in AI and datacenter architectures, along with significant design wins, particularly in networking, underscores its growth trajectory. SiTime’s strategic positioning as a fabless, high-growth company with a favorable margin profile, combined with its substantial opportunities in AI/datacenter and other markets, supports the Buy rating and the increased price target of $270.
In another report released on August 26, Stifel Nicolaus also reiterated a Buy rating on the stock with a $240.00 price target.