MaxLinear stock plunges to 52-week low, touches $8.48

Published 07/04/2025, 15:14
MaxLinear stock plunges to 52-week low, touches $8.48

MaxLinear Inc . (NASDAQ:MXL) shares have tumbled to $8.48, near its 52-week low of $8.58, amidst a challenging market environment. According to InvestingPro data, technical indicators suggest the stock is in oversold territory, with six analysts recently revising their earnings expectations upward. This significant downturn reflects a 58.8% decline over the past year, marking a period of intense pressure for the semiconductor company. Investors have been closely monitoring MaxLinear's performance as the stock struggles to find its footing in a sector that has faced numerous headwinds, including supply chain disruptions and shifting demand patterns. The current price level serves as a critical juncture for the company, which now must navigate a path towards recovery and growth in an increasingly competitive landscape. While current financials show a moderate debt level and liquid assets exceeding short-term obligations, InvestingPro's comprehensive analysis suggests the stock may be undervalued at current levels, with analysts maintaining price targets well above the current trading price.

In other recent news, MaxLinear Inc. reported a revenue increase to $92.2 million for the fourth quarter of 2024, surpassing analysts' expectations and showing a 14% growth from the previous quarter. The company's earnings per share came in at -$0.09, beating the forecast of -$0.13. Meanwhile, Moody's Ratings downgraded MaxLinear's corporate family rating to B3 from B1, citing disappointing financial performance and weak EBITDA margins, though the outlook was revised to stable. MaxLinear also announced the availability of its new 1.6T PAM4 DSP technology, Rushmore, designed for AI/ML applications, which will be showcased at the upcoming Optical Fiber Communication conference. Additionally, Morelink Technology Corporation launched a 5G Repeater platform integrating MaxLinear's MxL1600 RF transceivers, enhancing 5G network infrastructure. The company remains embroiled in an arbitration with Silicon Motion (NASDAQ:SIMO) Technology Corp. over a terminated acquisition, which could impact its financial standing if a settlement is required. Despite these challenges, MaxLinear's large cash balance and outsourced manufacturing model provide some financial resilience.

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