Vishay Intertechnology (VSH) Outpaces Stock Market Gains: What You Should Know
Vishay Intertechnology (VSH) closed at $21.15 in the latest trading session, marking a +1.05% move from the prior day. This move outpaced the S&P 500's daily gain of 0.62%. Meanwhile, the Dow gained 0.55%, and the Nasdaq, a tech-heavy index, lost 0.03%.
Prior to today's trading, shares of the chipmaker had lost 3.82% over the past month. This has lagged the Computer and Technology sector's gain of 0.29% and the S&P 500's gain of 0.87% in that time.
Vishay Intertechnology will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.62, up 121.43% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $825 million, up 23.65% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.32 per share and revenue of $3.22 billion. These totals would mark changes of +152.17% and +28.8%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Vishay Intertechnology. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Vishay Intertechnology is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Vishay Intertechnology is currently trading at a Forward P/E ratio of 9.14. This valuation marks a discount compared to its industry's average Forward P/E of 15.91.
It is also worth noting that VSH currently has a PEG ratio of 0.4. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Semiconductor - Discretes stocks are, on average, holding a PEG ratio of 0.4 based on yesterday's closing prices.
The Semiconductor - Discretes industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 57, which puts it in the top 23% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
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