Technology Stocks

Evaluating Vishay Intertechnology (NYSE:VSH)’s Stock And Price Performance

Evaluating Vishay Intertechnology (NYSE:VSH) has so far proved to be quite a rewarding performer in the stock market and a stock that investors should keep an eye on. Looking at its short-term performance, Vishay Intertechnology’s stock price closed Friday’s trading session at $19.49 after experiencing a -3.61% drop. The shares have so far achieved a 52-week high of $26.50 which it achieved in July this year and a $16.87 52-week low in October. The company’s stock volatility over the past one week was recorded at 3.92% which is slightly higher than the average 3.47% reported in November.

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Vishay Intertechnology’s current profit margin stands at 2.20%, while its gross margin is 28.80% and its operating margin is at 14.40%. The stock price dropped by -4.65% in the past one week and by -10.80% in the past three months. The firm’s stock price has so far tanked by -7.19% over the last 52 weeks.

Analyst ratings for Vishay

Analysts have given the company a 2.2 buy rating based on a 1 to 5 scale. A 1 and 2 on the scale is considered a “buy” recommendation while a 3 is considered a “hold.” A rating between 4 and 5 is considered a “sell” recommendation. Meanwhile, Zacks Investment Research recently downgraded its Vishay rating from a “buy” to a “hold” rating on Monday. The investment research firm also stated that Vishay Intertechnology has been enjoying the benefits of its strong product portfolio. The research organization also noted that the firm has been expanding its manufacturing capacities throughout all its product segments in an effort to continue pushing its top-line growth. Zacks is optimistic about Vishay’s stock performance despite the rating and the fact that the stock has underperformed over the past one year. The optimism is partly fueled by the fact that there is strong demand from key markets in Europe and America. This means the company will have the chance to selectively raise prices in an attempt to achieve better margins. However, there is a need to factor in the growing competition. Another financial research firm called ValuEngine recently changed its Vishay recommendation from a “sell” to a “strong sell” in its research report which was released on Monday. A research analyst from another firm called One Equity also gave a “sell” rating for Vishay Intertechnology stock. So far the company has a consensus “hold” rating and its average price target is $25.00.

Earnings

Vishay Intertechnology revealed its quarterly earnings figures for its latest quarter on October 30. The company revealed that its profit for the quarter was $0.60 earnings per share which were $0.07 higher than the $0.53 Zacks’ consensus estimate. Its return on equity was 20.82% while its net margin was 2.24%. Vishay’s revenue for the quarter was $780.97 million which was slightly higher than the $779.78 million expected by analysts.

The $0.60 EPS also happens to be significantly better than the $0.42 EPS that Vishay Intertechnology reported the corresponding quarter in 2017. The average analyst expectation is that the company will achieve a $2.05 EPS for its current fiscal year.

About Vishay Intertechnology

Vishay Intertechnology is a leading electronic components manufacturer. The company’s current product lineup includes passive electronic components, discrete semiconductors, strain gages, and foil resistors. The company has been continuously growing through acquisitions and innovation. The company already has a strong track record partly due to its robust product portfolio and its expertise which it has honed since it was formed in 1962. Vishay hopes to continue on a successful path by speeding up new product development and pursuing better market penetration in its markets that offer significant growth potential.

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