Semtech shares rise after Artisan Mid Cap Fund adds position, citing AI-driven bandwidth growth and potential Sierra Wireless divestiture.
Artisan Mid Cap Fund disclosed a new position in Semtech Corporation (SMTC) during Q1 2026, driven by rising demand for high-speed connectivity solutions in AI applications. Semtech, which designs analog and mixed-signal semiconductors, closed at $121.81 on May 8, 2026, reflecting a 32.65% one-month return and a 218.71% gain over the past year.
The $11.34 billion company was highlighted for its role in data centers and industrial applications. Artisan noted potential multiple expansion if Semtech divests its Sierra Wireless business, simplifying operations and boosting earnings estimates.
Semtech is held by 43 hedge funds, though it remains outside the top 40 most popular stocks among hedge funds for 2026.