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Vishay Intertechnology (VSH) Gains But Lags Market: What You Should Know

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In the latest trading session, Vishay Intertechnology (VSH - Free Report) closed at $20.47, marking a +0.49% move from the previous day. This move lagged the S&P 500's daily gain of 0.51%. At the same time, the Dow added 0.44%, and the tech-heavy Nasdaq gained 0.1%.

Heading into today, shares of the chipmaker had gained 5.11% over the past month, outpacing the Computer and Technology sector's gain of 4.34% and lagging the S&P 500's gain of 5.51% in that time.

Investors will be hoping for strength from Vishay Intertechnology as it approaches its next earnings release. The company is expected to report EPS of $0.58, up 26.09% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $843.6 million, up 10.33% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $2.43 per share and revenue of $3.42 billion, which would represent changes of +4.74% and +5.59%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for Vishay Intertechnology. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Vishay Intertechnology is holding a Zacks Rank of #3 (Hold) right now.

Looking at its valuation, Vishay Intertechnology is holding a Forward P/E ratio of 8.38. This valuation marks a discount compared to its industry's average Forward P/E of 15.14.

Also, we should mention that VSH has a PEG ratio of 0.37. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Semiconductor - Discretes industry currently had an average PEG ratio of 0.37 as of yesterday's close.

The Semiconductor - Discretes industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 113, putting it in the top 45% 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.

You can find more information on all of these metrics, and much more, on Zacks.com.


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