The end of an earnings season can be a great time to discover new stocks and assess how companies are handling the current business environment. Let’s take a look at how Analog Devices (NASDAQ:ADI) and the rest of the analog semiconductors stocks fared in Q4.
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 14 analog semiconductors stocks we track reported a mixed Q4. As a group, revenues beat analysts’ consensus estimates by 1.7% while next quarter’s revenue guidance was 7,654% above.
While some analog semiconductors stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 2.8% since the latest earnings results.
Analog Devices (NASDAQ:ADI)
Founded by two MIT graduates, Ray Stata and Matthew Lorber in 1965, Analog Devices (NASDAQ:ADI) is one of the largest providers of high performance analog integrated circuits used mainly in industrial end markets, along with communications, autos, and consumer devices.
Analog Devices reported revenues of $2.42 billion, down 3.6% year on year. This print exceeded analysts’ expectations by 2.9%. Overall, it was a strong quarter for the company with a solid beat of analysts’ EPS estimates and an impressive beat of analysts’ adjusted operating income estimates.
"ADI delivered first quarter revenue, profitability, and earnings per share above the midpoint of our outlook, despite the challenging macro and geopolitical backdrop," said Vincent Roche, CEO and Chair.
The stock is up 4.5% since reporting and currently trades at $230.05.
Is now the time to buy Analog Devices? Access our full analysis of the earnings results here, it’s free.
Best Q4: Himax (NASDAQ:HIMX)
Taiwan-based Himax Technologies (NASDAQ:HIMX) is a leading manufacturer of display driver chips and timing controllers used in TVs, laptops, and mobile phones.
Himax reported revenues of $237.2 million, up 4.2% year on year, outperforming analysts’ expectations by 7.3%. The business had an incredible quarter with a significant improvement in its inventory levels and a solid beat of analysts’ EPS estimates.
The market seems happy with the results as the stock is up 10.8% since reporting. It currently trades at $10.11.
Is now the time to buy Himax? Access our full analysis of the earnings results here, it’s free.
Slowest Q4: 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 $714.7 million, down 9% year on year, falling short of analysts’ expectations by 1.1%. It was a disappointing quarter as it posted a significant miss of analysts’ adjusted operating income and EPS estimates.
Interestingly, the stock is up 3.2% since the results and currently trades at $17.14.
Read our full analysis of Vishay Intertechnology’s results here.
Impinj (NASDAQ:PI)
Founded by Caltech professor Carver Mead and one of his students Chris Diorio, Impinj (NASDAQ:PI) is a maker of radio-frequency identification (RFID) hardware and software.
Impinj reported revenues of $91.57 million, up 29.6% year on year. This number missed analysts’ expectations by 1.4%. Overall, it was a slower quarter as it also logged a significant miss of analysts’ EPS estimates and an increase in its inventory levels.
The stock is down 26.8% since reporting and currently trades at $93.17.
Read our full, actionable report on Impinj here, it’s free.
Sensata Technologies (NYSE:ST)
Originally a temperature sensor control maker and a subsidiary of Texas Instruments for 60 years, Sensata Technology Holdings (NYSE: ST) is a leading supplier of analog sensors used in industrial and transportation applications, best known for its dominant position in the tire pressure monitoring systems in cars.
Sensata Technologies reported revenues of $907.7 million, down 8.5% year on year. This print topped analysts’ expectations by 2.6%. More broadly, it was a satisfactory quarter as it also recorded a decent beat of analysts’ adjusted operating income estimates but an increase in its inventory levels.
The stock is up 11.8% since reporting and currently trades at $28.85.
Read our full, actionable report on Sensata Technologies here, it’s free.
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