KN

Financial Results Announcement: Knowles Corporation will release its first quarter 2025 financial results on April 24, 2025, followed by a conference call at 3:30 p.m. Central time to discuss the results and outlook.

Company Overview: Knowles is a manufacturer of specialty electronic components, providing high-performance products for various markets including MedTech, Defense, and Industrial, with a focus on reliability and custom engineering.

Current Stock Performance: Knowles Corp (KN) shares have reached an oversold status with an RSI of 28.7, indicating potential buying opportunities as the stock trades around $15.44, close to its 52-week low of $15.13.

Market Context: The S&P 500 ETF (SPY) has a higher RSI of 38.7, suggesting that KN's recent heavy selling may be nearing exhaustion, prompting bullish investors to consider entry points.

Syntiant's Participation in TMT Forum: Syntiant Corp. CEO Kurt Busch will speak at Bernstein’s 3rd Annual Technology, Media and Telecommunications Forum on February 26, discussing the company's growth strategy and recent acquisition of Knowles Corporation's Consumer MEMS Microphones business.

Company Overview: Founded in 2017, Syntiant specializes in low-power edge AI solutions, having raised $270 million and shipped over 100 million processors, aiming to enhance audio and speech applications through integrated hardware and software technologies.

Financial Results Announcement: Knowles Corporation will release its fourth quarter and full year 2024 financial results on February 13, 2025, followed by a conference call at 3:30 p.m. Central time to discuss the outcomes and future outlook.

Company Overview: Knowles is a leading manufacturer of specialty electronic components, providing critical technologies for various markets including MedTech, Defense, and Industrial, with a focus on high-performance capacitors, RF filters, and advanced microphones.

Acquisition Announcement: Syntiant Corp. has acquired Knowles Corporation's Consumer MEMS Microphones business for $150 million, enhancing its position in the MEMS microphone market and expanding its edge AI solutions for voice and audio applications.

Financial Impact and Future Growth: The acquisition is expected to accelerate Syntiant's growth and innovation in intelligent voice and audio solutions, with Knowles' CMM division generating approximately $256 million in revenue in 2023.

Knowles Corporation Sells Consumer MEMS Microphones Business: Knowles Corporation has successfully completed the sale of its Consumer MEMS Microphones business to Syntiant Corp, marking a significant step in its transformation into an industrial technology company focused on higher value markets.

Strategic Shift and Future Focus: The transaction is part of Knowles' strategic evaluation process initiated in September 2023, aiming to enhance its product design and customization capabilities across various demanding applications in MedTech, Defense, and Industrial sectors.

Appointment of New Director: Knowles Corporation has appointed Laura Angelini as an independent director to its Board of Directors, bringing 30 years of experience in the medical device and healthcare industry.

Strategic Focus: Ms. Angelini's expertise is expected to aid Knowles in its strategic transformation towards higher value markets and products, enhancing shareholder value.

Federal Workforce Concerns: U.S. federal employee unions are mobilizing to protect against potential mass firings proposed by Trump and Musk, hoping for bipartisan support from Congress to maintain job protections and funding levels.

Congressional Oversight and Challenges: Despite some Republican interest in spending cuts, there is uncertainty about whether Congress will oppose Trump's plans to streamline government, which could undermine the civil service system and its protections.

Knowles (KN) Analyst Rating: Robert W. Baird analyst Tristan Gerra maintains a Buy rating on Knowles with a price target of $25.00, while the current consensus is a Moderate Buy with an average target of $21.67.

Fortinet (FTNT) Analyst Rating: Wells Fargo analyst Andrew Nowinski holds a Hold rating on Fortinet with a price target of $85.00, and the consensus remains a Moderate Buy with an average target of $86.74, indicating a potential downside from current levels.

Company Participation in Conference: Knowles Corporation will participate in The Baird 2024 Global Industrial Conference in Chicago on November 14, 2024, with CEO Jeff Niew and CFO John Anderson attending.

About Knowles Corporation: Knowles is a leading global supplier of high-performance components, including capacitors and RF filters, serving various markets such as medtech and aerospace, and has been operational since 1946.

Introduction of Breggz ZOHN-1: The Breggz ZOHN-1 is the first luxury wireless hearable that combines Knowles' balanced armature drivers and Mimi's sound personalization software, offering a tailored audio experience that caters to individual hearing profiles while enhancing sound quality.

Focus on Hearing Health: This innovative technology not only provides high-quality sound but also addresses the need for hearing protection by compensating for mild to moderate hearing loss, promoting safer listening practices among users.

Financial Performance: Knowles Corporation reported a 32% increase in third-quarter revenues from continuing operations to $143 million, with net cash from operations reaching $53 million, exceeding guidance expectations.

Strategic Transition: The company signed an agreement to sell its Consumer MEMS Microphones business, marking a strategic shift towards higher-margin markets and products, while anticipating continued revenue growth in the upcoming quarter.

Conference Call Announcement: Knowles Corp. will hold a conference call on October 24, 2024, at 4:30 PM ET to discuss their Q3 24 earnings results.

Access Information: The live webcast can be accessed online, and listeners can join the call via specific phone numbers with a provided conference ID for both live and replay options.

ETF Performance Analysis: The SPDR S&P 600 Small Cap Growth ETF (SLYG) has an implied analyst target price of $103.02, indicating a potential upside of 12.42% from its current trading price of $91.64.

Key Holdings with Upside Potential: Notable underlying holdings such as Knowles Corp, Fox Factory Holding Corp, and Biolife Solutions Inc show significant upside potential based on analysts' target prices, suggesting further investor research is warranted to assess the validity of these targets.

Financial Results Announcement: Knowles Corporation will release its third quarter 2024 financial results on October 24, 2024, followed by a conference call at 3:30 p.m. Central time to discuss the results and outlook.

Company Overview: Knowles is a leading global supplier of high-performance electronics, including capacitors and RF filters, serving various markets such as medtech and electric vehicles, with a focus on innovative solutions and customer service.

Technology Stocks Performance: Technology stocks showed mixed results in premarket trading, with the Technology Select Sector SPDR Fund (XLK) increasing by 2.4%, while the SPDR S&P Semiconductor ETF (XSD) remained inactive.

Company Updates: Coherent's shares rose over 2% due to new product samples, while Endava's shares fell over 3% after disappointing earnings; Knowles' stock dropped more than 5% following an asset acquisition deal by Syntiant.

Sale of CMM Business: Knowles Corp. has agreed to sell its Consumer MEMS Microphones business to Syntiant Corp. for $150 million, which includes $70 million in cash and $80 million in preferred stock.

Strategic Focus: The proceeds from the sale will be used to reduce debt and repurchase shares, as Knowles aims to strengthen its position in industrial technology, particularly in Precision Devices and MedTech & Specialty Audio divisions.

Syntiant's Acquisition: Syntiant Corp. has signed a definitive agreement to acquire certain assets of Knowles Corporation's Consumer MEMS Microphones business for $150 million, aiming to enhance its edge AI capabilities by integrating high-performance microphones into its product offerings.

Market Impact and Future Plans: This acquisition positions Syntiant to provide comprehensive audio solutions for various applications, including smart devices and autonomous vehicles, while tapping into the multi-billion dollar MEMS market and leveraging advanced AI features like voice recognition and noise suppression.

Knowles Corporation's Business Sale: Knowles Corporation has agreed to sell its Consumer MEMS Microphones business to Syntiant Corp for $150 million, as part of its strategy to focus on industrial technology sectors like aerospace and medtech.

Financial Impact and Future Guidance: The sale will allow Knowles to reduce debt and repurchase stock, with the CMM segment being reported as discontinued operations starting in Q3 2024; the company expects revenues from continuing operations to be between $139 to $143 million for that quarter.

Acquisition Details: Syntiant will acquire certain assets of Knowles' Consumer MEMS Microphones unit for $150 million in cash and stock, with the deal expected to close in Q4 2024.

Financial Performance: The Knowles unit reported revenues of $256 million in FY 2023 and $136 million in the first half of 2024.