Silicon Laboratories (SLAB.O): Model Update; Maintain Neutral

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18 Aug 2026 11:23:04 ET │ 12 pages

Silicon Laboratories (SLAB.O)

Model Update; Maintain Neutral

CITI'S TAKE

We update our SLAB model post Jun-Q results. Jun-Q rev/EPS were in

line/+3% above Street consensus, with total revenue up +7% Q/Q driven

by+6% sequential improvement from Industrial & Commercial and +8% in

Home & Life. Gross margin was up Q/Q and Y/Y to 61.9% in Q2 and above

the 56-58% target model range. Due to the pending acquisition by TXN,

the company did not host an earnings call and did not provide Sep-Q

outlook. We continue to see high probability of deal approval. Our

CY26/27 EPS estimates are largely unchanged and our target price

remains at $231, implying a 52x P/E based on updated CY27E EPS.

Maintain Neutral.

Neutral

Price (17 Aug 26 16:00)

US$219.29

Target price

US$231.00

Expected share price return

5.3%

Expected dividend yield

0.0%

Expected total return

5.3%

Market Cap

US$7,317M

Atif MalikAC

EPS (US$)

Q1

Q2

Q3

Q4

FY

FC Cons

VA Cons

2025A

-0.08A

0.11A

0.33A

0.57A

0.94A

0.92A

2026E

0.53A

0.71A

0.82E

0.74E

2.85E

2.92E

2.94E

Previous

0.53A

0.72E

0.85E

0.76E

2.90E

na

2027E

0.82E

1.09E

1.28E

1.26E

4.46E

4.52E

4.50E

Previous

0.84E

1.10E

1.28E

1.25E

4.48E

na

2028E

na

Previous

na

Source: Company Reports and dataCentral, Citi Research. FC Cons: First Call Consensus. VA Cons: Visible Alpha Consensus.

Click here for Visible Alpha consensus data