Semiconductor manufacturer Vishay Intertechnology (NYSE:VSH) will be reporting results tomorrow before market open. Here's what you need to know.
Vishay Intertechnology beat analysts' revenue expectations by 1.4% last quarter, reporting revenues of $746.3 million, down 14.3% year on year. It was a weak quarter for the company, with underwhelming revenue guidance for the next quarter and a decline in its operating margin.
Is Vishay Intertechnology a buy or sell going into earnings? Read our full analysis here, it's free.
This quarter, analysts are expecting Vishay Intertechnology's revenue to decline 15.5% year on year to $753.9 million, a reversal from the 3.3% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.15 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Vishay Intertechnology has missed Wall Street's revenue estimates four times over the last two years.
Looking at Vishay Intertechnology's peers in the analog semiconductors segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Impinj delivered year-on-year revenue growth of 19.2%, beating analysts' expectations by 5.2%, and Monolithic Power Systems reported revenues up 15%, topping estimates by 3.4%. Impinj traded up 4.6% following the results while Monolithic Power Systems was also up 1.2%.
Read our full analysis of Impinj's results here and Monolithic Power Systems's results here.
Inflation progressed towards the Fed's 2% goal at the end of 2023, leading to strong stock market performance. The start of 2024 has been a bumpier ride as the market switches between optimism and pessimism around rate cuts thanks to mixed inflation data, and analog semiconductors stocks have not been spared, with share prices down 18.6% on average over the last month. Vishay Intertechnology is down 3.5% during the same time and is heading into earnings with an average analyst price target of $22.7 (compared to the current share price of $21.73).
Unless you’ve been living under a rock, it should be obvious by now that generative AI is going to have a huge impact on how large corporations do business. While Nvidia and AMD are trading close to all-time highs, we prefer a lesser-known (but still profitable) semiconductor stock benefitting from the rise of AI. Click here to access our free report on our favorite semiconductor growth story.