Silicon Motion Technology Corporation SIMO reported fourth-quarter 2021 non-GAAP earnings of $1.90 per American Depositary Share (ADS), which surpassed the Zacks Consensus Estimate by 7.3%. The bottom line increased 120.9% from the year-ago quarter and 11.8% sequentially.Net sales (non-GAAP) of $264.4 million beat the Zacks Consensus Estimate by 0.2%. On a year-over-year basis, sales rallied 83.7% as sales of SSD controllers reached a new record high. Net sales also increased 4% sequentially in the fourth quarter.Though the company was supply-constrained for most of 2021, it created significant incremental value by optimizing its limited foundry wafer supply.Silicon Motion Technology Corporation Price, Consensus and EPS Surprise Silicon Motion Technology Corporation price-consensus-eps-surprise-chart | Silicon Motion Technology Corporation QuotePerformance in DetailManagement noted that sales of SSD controllers increased 15-20% sequentially. Revenues from SSD solutions increased 5-10% quarter over quarter. Revenues from eMMC+UFS controllers declined 5-10% sequentially.In 2021, sales of SSD controllers surged 75-80% year over year. Sales of eMMC+UFS controllers increased 105-110% on a year-over-year basis. SSD solutions’ sales declined 5-10%.MarginsNon-GAAP gross margin of 49.9% expanded 60 basis points (bps) on a year-over-year basis but contracted 30 bps sequentially. Non-GAAP operating expenses, as a percentage of revenues, totaled 19%, expanding 1,080 bps year over year but contracting 270 bps sequentially. Non-GAAP operating margin expanded 900 bps on a year-over-year basis and 150 bps sequentially to 30.9%.Cash Flow & LiquidityAs of Dec 31, 2021, Silicon Motion had cash and cash equivalents of $360 million, with $156.6 million of accrued expenses and other current liabilities. The company generated $176.9 million of cash from operations in 2021 compared with $117.2 million in 2020.On Dec 7, 2021, Silicon Motion’s board of directors authorized a new program to repurchase up to $200 million of its ADS over a six-month period. In December 2021, the company repurchased $50 million of its ADS at an average price of $89.85.OutlookSilicon Motion expanded its SSD controller program engagements with PC OEMs and eMMC/UFS controllers for smartphones, automotive applications and IoT/smart devices. The company is adding to this momentum with the upcoming launch of its next-generation enterprise-class SSD controllers.For the first quarter of 2022, management expects non-GAAP revenues in the range of $225-$238 million. Non-GAAP gross margin is anticipated in the range of 49.5-51.5%. Non-GAAP operating margin is projected in the 27.5-29.5% band.For full-year 2022, management expects non-GAAP revenues in the range of $1,110-$1,200 million. Non-GAAP gross margin is anticipated in the band of 49-51%. Non-GAAP operating margin is estimated to be 29-31%.Zacks Rank & Stocks to ConsiderSilicon Motion currently has a Zacks Rank #5 (Strong Sell).Vocera Communications, Inc. VCRA is a better-ranked stock in the broader Zacks Computer and Technology sector that sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.The Zacks Consensus Estimate for its current-year earnings has been revised 6.2% upward over the past 60 days.Vocera Communications delivered a trailing four-quarter earnings surprise of 109.6%, on average. The stock has returned 77.3% in the past year.SeaChange International, Inc. SEAC carries a Zacks Rank #2 (Buy). The consensus estimate for current-year earnings has been revised 10% upward over the past 60 days.SeaChange International delivered a trailing four-quarter earnings surprise of 37.2%, on average. The stock has, however, moved down 6.6% in the past year.Qualcomm, Inc. QCOM, carrying a Zacks Rank #2, is another solid pick for investors. The consensus estimate for current-year earnings has been revised 0.7% upward over the past 60 days.Qualcomm delivered a trailing four-quarter earnings surprise of 11.2%, on average. It has appreciated 7.3% in the past year.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 QUALCOMM Incorporated (QCOM): Free Stock Analysis Report Silicon Motion Technology Corporation (SIMO): Free Stock Analysis Report SeaChange International, Inc. (SEAC): Free Stock Analysis Report Vocera Communications, Inc. (VCRA): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research