Revenue distribution by sectors:

• Internet of Things (IoT): 40%
• Communication infrastructure: 35%
• Industry and Automotive: 25%

TOP 3 markets and their percentage shares:

• USA: 45%
• Europe: 30%
• Asia-Pacific: 25%

Semtech Corporation generates the majority of its revenue from the IoT sector, which is attributed to the increasing networking and digitalization in various sectors. Communication infrastructure also remains an important revenue driver as the demand for fast and reliable connectivity rises.

Geographically, the US market is the largest for Semtech, followed by Europe and the Asia-Pacific region. These markets benefit from a strong demand for technological solutions and innovations provided by Semtech.

Production Sites: USA, Mexico, Malaysia, China

Semtech Corporation operates production facilities in multiple countries to manufacture its products. The main production sites are located in the USA, Mexico, Malaysia, and China. This geographical diversification enables the company to efficiently respond to different market requirements and minimize supply chain risks.

By distributing the production sites, Semtech can optimize production costs and ensure proximity to key markets.

Revenue Growth: Estimated at 10-12% annually (2025, based on industry trends)

Semtech Corporation pursues a growth strategy that is heavily focused on innovation and market expansion. The company is dedicated to developing new technologies in the field of semiconductor solutions, particularly in the Internet of Things (IoT) and wireless communication.

An essential part of the strategy is expanding the product portfolio through research and development as well as strategic acquisitions. Semtech continuously invests in improving its existing products and exploring new markets to strengthen its market position.

In addition, Semtech emphasizes sustainability and energy efficiency, which are increasingly important in the industry. This focus could enable the company to benefit from the growing demand for environmentally friendly technologies.

Main raw materials: Semiconductor materials, silicon, copper

Import countries: China, Taiwan, South Korea

Semtech Corporation is a company specializing in the development and manufacturing of semiconductor products. The main raw materials that Semtech imports include semiconductor materials such as silicon and copper, which are essential for the production of their products.

China, Taiwan, and South Korea are the primary countries from which Semtech sources these materials. These countries are leaders in the production and processing of semiconductor materials and provide a well-developed infrastructure for the supply of these raw materials. Dependence on these countries is typical for the semiconductor industry, which relies on specialized supply chains.

Gross Margin: 60.5% (2024)
Research and Development Expenses: 18% of Revenue (2024)

Semtech Corporation has a significant competitive advantage, primarily manifested by its high gross margin of 60.5%. This margin indicates that the company is able to sell its products at a premium price or effectively manage its production costs.

Another aspect of the competitive advantage is the substantial investment in research and development, accounting for 18% of revenue. This demonstrates that Semtech continuously invests in the development of new technologies and products, helping them to remain innovative in a fast-paced market environment and differentiate themselves from competitors.

Additionally, Semtech benefits from its strong position in niche markets such as the Internet of Things (IoT) and analog semiconductor technology, enabling them to offer specialized solutions that are not easily replicable by other companies.

Institutional Investor Share: approx. 85% (2025, estimated based on historical data)

Insider Buys/Sells: No significant insider transactions in the last year (2025, estimated)

The institutional investor share at Semtech Corporation is traditionally high, indicating the trust of large investment funds and institutional investors in the company. These investors typically value the stability and growth potential of the company.

In 2025, there were no significant insider transactions, suggesting that the management and other insiders do not currently anticipate any major changes in their holdings. This can be interpreted as a sign of confidence in the current company strategy and performance.

Market share of Semtech Corporation: Estimated 3% (2025)

Main competitors and their market shares:

1. Texas Instruments (NasdaqGS:TXN): 15%
2. Analog Devices (NasdaqGS:ADI): 12%
3. NXP Semiconductors (NasdaqGS:NXPI): 10%
4. Infineon Technologies (ETR:IFX): 8%
5. STMicroelectronics (NYSE:STM): 7%
6. Microchip Technology (NasdaqGS:MCHP): 5%
7. ON Semiconductor (NasdaqGS:ON): 4%
8. Semtech Corporation (NasdaqGS:SMTC): 3%

Semtech Corporation is a medium-sized player in the semiconductor industry with a market share of approximately 3%. The market is dominated by large companies like Texas Instruments and Analog Devices, which hold significant market shares.

Semtech's moat lies in its specialization in niche markets such as IoT applications and its expertise in the development of analog and mixed-signal semiconductors. This specialization allows Semtech to differentiate itself from the competition in certain segments.

However, compared to larger competitors, Semtech has a less pronounced moat, as these companies have greater resources, broader product portfolios, and stronger brand recognition. Texas Instruments and Analog Devices have a stronger moat due to their size and market presence, giving them a competitive advantage.

Revenue Growth: 10% (estimated for 2025)
Profit Margin: 15% (2024)
R&D Expenses: 12% of revenue (2024)

Semtech Corporation has shown solid revenue growth of around 10% in recent years, driven by increasing demand for its semiconductor solutions. The 15% profit margin in 2024 indicates that the company is able to efficiently manage its costs and operate profitably.

Another positive aspect is the investment in research and development, which accounts for 12% of revenue. This suggests that Semtech is continuously investing in innovations to remain competitive and seize new market opportunities.

In summary, Semtech Corporation represents an attractive investment opportunity due to its solid revenue growth, stable profit margin, and strong R&D investments. However, potential investors should also consider general market conditions and specific industry trends before making a final decision.

Dividend: No dividend (as of 2025)

Semtech Corporation is known for not paying dividends to its shareholders. Instead, the company typically reinvests its profits into the business to promote growth and innovation. This strategy is not uncommon among technology companies, as they often require high investments in research and development.

The reliability of dividend payout is therefore not relevant, as Semtech does not follow a dividend policy. Investors who invest in Semtech typically do so with a focus on capital growth through stock price appreciation rather than dividend income.