A month has gone by since the last earnings report for Semtech Corporation SMTC. Shares have added about 4.2% in that time frame.Will the recent positive trend continue leading up to its next earnings release, or is SMTC due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers.Semtech (SMTC) Q1 Earnings Beat Estimates, Revenues Up Y/YSemtech Corporation reported strong fiscal first-quarter 2019 results with earnings and revenues beating the Zacks Consensus Estimate.Non-GAAP earnings of 47 cents per share beat the consensus mark by 1 cent and increased 12% sequentially and 7% year over year. Earnings came toward the higher end of the guided range of 45-47 cents per share.Non-GAAP revenues of $151.9 million increased 7% sequentially and 2% from the prior-year quarter. Revenues were below the guided range of $147-$153 million.The company’s improved profitability was driven by differentiated growth drivers and diversification strategy. Key growth drivers for Semtech are product differentiation, operational flexibility, and a specific focus on fast-growing segments and regions.The numbers in detail:Revenues by End MarketSales to the enterprise computing end market represented 32% of the total revenues and were up sequentially.However, sales to the high-end consumer market represented 25% of the total net revenues and were down sequentially. Roughly 17% of the high-end consumer revenues were attributable to mobile devices and 8% to other consumer systems.The industrial and communications end markets witnessed strong demand, and both increased sequentially, representing 32% and 11% of the total revenues, respectively.Revenues by Product GroupSignal Integrity Product Group revenues contributed 43% to the total sales and increased 2% sequentially. The strong demand for 100-gigabit per second data center and seasonally higher spending from both the PON and base station markets contributed to the growth.Protection Product Group represented 27% of the total revenues and was up sequentially. The product benefited from the increasing use of protection for 10-gig Ethernet ports in enterprise cloud switches, and wireless access points and base stations.Wireless and Sensing Product Group was up 20% sequentially and 17% year over year, contributing 30% to the total revenues.BookingsDuring the quarter, bookings increased sequentially, accounting for roughly 39% of the shipments. Book-to-bill ratio was above 1.Margins and Net IncomeNon-GAAP gross margin was 61.4%, flat sequentially butup 60 basis points (bps) from the year-ago quarter.Semtech’s adjusted operating expenses of $52.5 million increased 2% sequentially, driven by higher variable compensation expenses.The net result was an operating margin of 26.9% that was up 160 bps sequentially and 40 bps year over year.Balance Sheet & Cash FlowSemtech ended the quarter with cash and cash equivalents of $303.3 million, down from $307.9 million in the previous quarter. Accounts receivables were $65.6 million, up from $53.2 million in the prior quarter. Long-term debt was $206.6 million, down from $211.1 million in the last reported quarter.During the quarter, cash flow from operations was $35 million, capital expenditure was $4.9 million and free cash flow totaled $30.1 million.GuidanceFor fiscal second-quarter 2019, on a non-GAAP basis, management expects revenues in the range of $155-$167 million.Non-GAAP gross profit margin is expected within 61-62%. Management projects SG&A expenses within $27-$28 million, and research and development expenses of $24.5-$25.5 million. Non-GAAP earnings per share are expected in the range of 50-58 cents.How Have Estimates Been Moving Since Then?In the past month, investors have witnessed an upward trend in fresh estimates. There have been two revisions higher for the current quarter compared to one lower.Semtech Corporation Price and Consensus Semtech Corporation Price and Consensus | Semtech Corporation QuoteVGM ScoresAt this time, SMTC has a nice Growth Score of B, though it is lagging a lot on the momentum front with a D. The stock was allocated a grade of F on the value side, putting it in the bottom 20% for this investment strategy.Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.The company's stock is suitable solely for growth based on our styles scores.OutlookEstimates have been broadly trending upward for the stock and the magnitude of these revisions has been net zero. Interestingly, SMTC has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Semtech Corporation (SMTC): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research