Wrapping up Q4 earnings, we look at the numbers and key takeaways for the analog semiconductors stocks, including Texas Instruments (NASDAQ:TXN) and its peers.
Demand for analog chips is generally linked to the overall level of economic growth, as analog chips serve as the building blocks of most electronic goods and equipment. Unlike digital chip designers, analog chip makers tend to produce the majority of their own chips, as analog chip production does not require expensive leading edge nodes. Less dependent on major secular growth drivers, analog product cycles are much longer, often 5-7 years.
The 15 analog semiconductors stocks we track reported a weaker Q4; on average, revenues beat analyst consensus estimates by 1.69%, while on average next quarter revenue guidance was 2.68% under consensus. Tech stocks have been under pressure as inflation makes their long-dated profits less valuable, but analog semiconductors stocks held their ground better than others, with share prices down 0.19% since the previous earnings results, on average.
Best Q4: Texas Instruments (NASDAQ:TXN)
Headquartered in Dallas, Texas since the 1950s, Texas Instruments (NASDAQ: TXN) is the world’s largest producer of analog semiconductors.
Texas Instruments reported revenues of $4.67 billion, down 3.35% year on year, in line with analyst expectations. It was an ok quarter for the company, with a beat of bottom line estimates but underwhelming revenue guidance for the next quarter.
The stock is down 3.02% since the results and currently trades at $171.75.
Is now the time to buy Texas Instruments? Access our full analysis of the earnings results here, it's free.
Vishay Intertechnology (NYSE:VSH)
Named after the founder's ancestral village in present-day Lithuania, Vishay Intertechnology (NYSE:VSH) manufactures simple chips and electronic components that are building blocks of virtually all types of electronic devices.
Vishay Intertechnology reported revenues of $855.3 million, up 1.45% year on year, missing analyst expectations by 3.1%. It was a weak quarter for the company, with underwhelming revenue guidance for the next quarter and a miss of the top line analyst estimates.
Vishay Intertechnology had the weakest performance against analyst estimates among its peers. The stock is down 11.3% since the results and currently trades at $21.29.
Is now the time to buy Vishay Intertechnology? Access our full analysis of the earnings results here, it's free.
Weakest Q4: Magnachip (NYSE:MX)
With its technology found in common consumer electronics such as TVs and smartphones, Magnachip Semiconductor (NYSE:MX) is a provider of analog and mixed-signal semiconductors.
Magnachip reported revenues of $61 million, down 44.7% year on year, beating analyst expectations by 2.22%. It was a weak quarter for the company, with declining revenue and underwhelming guidance for the next quarter.
Magnachip had the slowest revenue growth in the group. The stock is down 9.06% since the results and currently trades at $9.34.
Read our full analysis of Magnachip's results here.
NXP Semiconductors (NASDAQ:NXPI)
Spun off from Dutch electronics giant Philips in 2006, NXP Semiconductors (NASDAQ: NXPI) is a designer and manufacturer of chips used in autos, industrial manufacturing, mobile devices, and communications infrastructure.
NXP Semiconductors reported revenues of $3.31 billion, up 8.98% year on year, in line with analyst expectations. It was a weak quarter for the company, with underwhelming revenue guidance for the next quarter and an increase in inventory levels.
The stock is down 1.48% since the results and currently trades at $176.83.
Read our full, actionable report on NXP Semiconductors here, it's free.
Microchip Technology (NASDAQ:MCHP)
Spun out from General Instrument in 1987, Microchip Technology (NASDAQ: MCHP) is a leading provider of microcontrollers and integrated circuits used mainly in the automotive world, especially in electric vehicles and their charging devices.
Microchip Technology reported revenues of $2.17 billion, up 23.4% year on year, in line with analyst expectations. It was a mixed quarter for the company, with a meaningful improvement in gross margin but an increase in inventory levels.
The stock is down 2.47% since the results and currently trades at $82.47.
Read our full, actionable report on Microchip Technology here, it's free.
The author has no position in any of the stocks mentioned