Shares of SiTime (SITM) have been strong performers lately, with the stock up 23.2% over the past month. The stock hit a new 52-week high of $438.19 in the previous session. SiTime has gained 16.2% since the start of the year compared to the -2.8% gain for the Zacks Computer and Technology sector and the 10.7% return for the Zacks Electronics - Miscellaneous Products industry.
What's Driving the Outperformance?
The stock has a great record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of the last four quarters. In its last earnings report on February 4, 2026, SiTime reported EPS of $1.53 versus consensus estimate of $1.2.
For the current fiscal year, SiTime is expected to post earnings of $4.23 per share on $437.9 in revenues. This represents a 32.19% change in EPS on a 34.06% change in revenues.
Valuation Metrics
While SiTime has moved to its 52-week high in the recent past, investors need to be asking, what is next for the company? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.
On this front, we can look at the Zacks Style Scores, as they provide investors with an additional way to sort through stocks (beyond looking at the Zacks Rank of a security). The individual style scores for Value, Growth, Momentum and the combined VGM Score run from A through F. The idea behind the style scores is to help investors pick the most appropriate Zacks Rank stocks based on their individual investment style.
SiTime has a Value Score of F. The stock's Growth and Momentum Scores are A and A, respectively, giving the company a VGM Score of B.
In terms of its value breakdown, the stock currently trades at 97X current fiscal year EPS estimates, which is a premium to the peer industry average of 25.4X. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.
Zacks Rank
We also need to look at the Zacks Rank for the stock, as this is even more important than the company's VGM Score. Fortunately, SiTime currently has a Zacks Rank of #2 (Buy) thanks to favorable earnings estimate revisions from covering analysts.
Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if SiTime meets the list of requirements. Thus, it seems as though SiTime shares could have a bit more room to run in the near term.
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SiTime Corporation (SITM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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