Yahoo Finance Analog Semiconductors Stocks Q1 Recap: Benchmarking Himax (NASDAQ:HIMX)
Wrapping up Q1 earnings, we look at the numbers and key takeaways for the analog semiconductors stocks, including Himax (NASDAQ:HIMX) 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 slower Q1; on average, revenues beat analyst consensus estimates by 1.9%. while next quarter's revenue guidance was in line with consensus. Stocks--especially those trading at higher multiples--had a strong end of 2023, but 2024 has seen periods of volatility. Mixed signals about inflation have led to uncertainty around rate cuts, but analog semiconductors stocks have performed well, with the share prices up 16.5% on average since the previous earnings results.
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 $207.6 million, down 15% year on year, exceeding analysts' expectations by 2%. Despite the top-line beat, it was a slower quarter overall for the company with a decline in its operating margin.
“We believe Q1 will be the low point for this year and see sales starting to pick up in Q2, especially in the automotive sector. With several other upcoming demand catalysts on the horizon, including major sporting events and festival shopping seasons, business momentum is expected to continue to steadily improve throughout the second half,” said Mr. Jordan Wu, President and Chief Executive Officer of Himax.
The stock is up 56.3% since reporting and currently trades at $8.15.
Read our full report on Himax here, it's free.
Best Q1: 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 $76.83 million, down 10.6% year on year, outperforming analysts' expectations by 4.4%. It was a very strong quarter for the company with a significant improvement in its inventory levels and an impressive beat of analysts' EPS estimates.
The market seems happy with the results as the stock is up 32.5% since reporting. It currently trades at $160.
Is now the time to buy Impinj? Access our full analysis of the earnings results here, it's free.
Weakest Q1: 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 $1.33 billion, down 40.6% year on year, falling short of analysts' expectations by 1.2%. It was a weak quarter for the company with underwhelming revenue guidance for the next quarter and a decline in its operating margin.
Microchip Technology posted the weakest performance against analyst estimates and slowest revenue growth in the group. The stock is flat since the results and currently trades at $94.
Read our full analysis of Microchip Technology's results here.
Power Integrations (NASDAQ:POWI)
A leading supplier of parts for electronics such as home appliances, Power Integrations (NASDAQ:POWI) is a semiconductor designer and developer specializing in products used for high-voltage power conversion.
Power Integrations reported revenues of $91.69 million, down 13.7% year on year, surpassing analysts' expectations by 1.9%. Zooming out, it was a decent quarter for the company with an impressive beat of analysts' EPS estimates but a decline in its operating margin.
The stock is up 5.7% since reporting and currently trades at $74.25.
Read our full, actionable report on Power Integrations here, it's free.
ON Semiconductor (NASDAQ:ON)
Spun out of Motorola in 1999 and built through a series of acquisitions, ON Semiconductor (NASDAQ:ON) is a global provider of analog chips specializing in autos, industrial applications, and power management in cloud data centers.
ON Semiconductor reported revenues of $1.86 billion, down 4.9% year on year, in line with analysts' expectations. Overall, it was a weaker quarter for the company with underwhelming revenue guidance for the next quarter and an increase in its inventory levels.
The stock is up 8.9% since reporting and currently trades at $74.10.
Read our full, actionable report on ON Semiconductor here, it's free.
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