NXP Semiconductors stock rating reiterated at Overweight by Cantor Fitzgerald

Published 22/07/2025, 13:30
NXP Semiconductors stock rating reiterated at Overweight by Cantor Fitzgerald

Investing.com - Cantor Fitzgerald has reiterated its Overweight rating and $250.00 price target on NXP Semiconductors NV (NASDAQ:NXPI). The stock, currently trading at $228.27, has shown strong momentum with a 10.88% return year-to-date, according to InvestingPro data.

The research firm maintained its positive outlook on the semiconductor company despite noting potential near-term challenges related to the company’s automotive sector exposure.

Cantor Fitzgerald indicated that inventory build in the quarter suggests true end-demand is driving NXP’s results, though it cautioned that any shortfalls in the report could impact after-hours trading.

The firm described NXP Semiconductors as "one of the most undervalued names in Analog," citing strong secular growth drivers and underappreciated through-cycle resiliency as key factors supporting its Overweight rating.

Cantor Fitzgerald plans to update its model and analysis following NXP’s earnings call scheduled for 8:00 AM ET on Wednesday.

In other recent news, NXP Semiconductors has completed its acquisition of TTTech Auto, enhancing its capabilities in software-defined vehicles by integrating TTTech’s MotionWise safety middleware with its CoreRide platform. This strategic move is expected to address the integration challenges faced by automakers in next-generation vehicles. In addition, NXP Semiconductors’ board of directors has approved an interim dividend of $1.014 per share for the second quarter of 2025, with the payment scheduled for July 9 to shareholders recorded by June 25.

Goldman Sachs has initiated coverage on NXP Semiconductors with a Buy rating, highlighting the company’s significant role in the automotive processor market. UBS has also raised its price target for NXP Semiconductors to $276.00, maintaining a Buy rating, reflecting a positive outlook on the company’s future performance. Cantor Fitzgerald reiterated its Overweight rating for the company, noting that NXP’s gross margins have remained relatively stable compared to its peers. These developments underscore the positive sentiment among analysts regarding NXP Semiconductors’ growth prospects.

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