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BofA upgrades Silicon Motion to Buy, cites three catalysts

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https://www.tipranks.com/news/the-fly/bofa-upgrades-silicon-motion-to-buy-cites-three-catalysts-thefly

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Thu, Jun 19, 2025, 9:30 AM 1 min read

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BofA analyst Simon Woo upgraded Silicon Motion (SIMO) to Buy from Hold with a price target of $90, up from $55, citing three catalysts. Namely, the firm points to gradually increasing enterprise solution sales; resilient topline growth with high gross margins; and the potential for $160M-plus in deal break-up fees to be paid by MaxLinear (MXL) if Silicon Motion wins its Singapore arbitration case in late-Q4. Similar to memory chipmakers, Silicon Motion could also benefit from strongly growing sovereign AI investments by selling Enterprise solid-state drive controllers/boot-drivers, known as the MonTitan series, the analyst added.

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