Semtech Corp. management misled investors about prospects for active copper cable products, prompting a record stock drop after the semiconductor supplier revealed a disappointing 2026 sales forecast, a shareholder lawsuit said.
Semtech said in a Feb. 7 financial filing that it expected its 2026 CopperEdge product net sales to be lower than its prior floor-case estimate of $50 million due to rack architectural changes. Share prices slipped 31% the next session in its greatest single-day fall since 1993, according to data compiled by Bloomberg.
The company’s filing said the revised estimates came after feedback from a service rack customer—purportedly
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