12:40 PM EDT, 05/08/2026 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We increase our 12-month target price to $140 from $100, on a higher revised P/E of about 48x our CY 2027 EPS of $2.90, which is above wireless peers and the range of analog peers to reflect our view of upside to consensus views and superior growth prospects over the next three years. We believe that SMTC is well positioned to capitalize on the AI infrastructure build-out, with data center revenue growing 58% in FY 26 and guided for over 50% in FY 27. The recent acquisition of HieFo Corporation, a manufacturer of Indium Phosphide lasers, is a pivotal move to vertically integrate and increase content in next-generation 1.6T and 3.2T optical modules, expanding the content opportunity from ~$8 in 800G modules to ~$80 in 3.2T modules. We are confident in SMTC's technology roadmap, highlighting imminent product ramps in Active Copper Cables and 1.6T optical solutions, which could drive $100M+ incremental revenue opportunity as hyperscalers transition to higher-speed architectures over the next two to three years.