MALVERN, Pa. - Vishay Intertechnology, Inc. (NYSE:VSH), a significant player in the manufacturing of discrete semiconductors and passive electronic components, has declared a quarterly dividend. The company announced that its Board of Directors has approved a dividend payment of $0.10 per share for both common stock and Class B common stock. The dividend is scheduled to be distributed on September 26, 2024, to shareholders who are on record as of the close of business on September 10, 2024.
Vishay Intertechnology, recognized as one of the largest portfolios of discrete semiconductors and passive electronic components, serves a diverse set of markets.
These include the automotive, industrial, computing, consumer, telecommunications, military, aerospace, and medical sectors. The company's products are integral to a wide range of innovative design solutions within these industries.
As a Fortune 1,000 Company, Vishay prides itself on being "The DNA of tech," highlighting its role as a foundational component supplier in the technology sector. Investors and stakeholders are reminded that the company is publicly traded on the New York Stock Exchange under the ticker symbol VSH.
In other recent news, Vishay Intertechnology's Q2 2024 earnings report showed revenues of $741.2 million, virtually unchanged from the previous quarter. TD Cowen has maintained a Hold rating on the company's shares but has reduced the price target from $24.00 to $22.00 due to the company's less than expected performance.
In addition to these developments, Vishay Intertechnology is making strategic investments for capacity expansion, planned at $2.6 billion from 2023 to 2028. The company aims to increase MOSFET capacity by 12% in 2025 and semiconductor products by 5.5% in 2024.
Moreover, Vishay has broadened its market presence by acquiring Ametherm, which is expected to boost its standing in the electric vehicle and battery management system markets.
Looking ahead, Vishay anticipates revenues for Q3 2024 to be between $725 million and $765 million, with a predicted gross margin of 21.0%. The company is also making progress with its expansion project in Turin, Italy, with commercial diode shipments anticipated soon.
InvestingPro Insights
Vishay Intertechnology's commitment to shareholder returns is underscored by its recent dividend declaration, yet investors may want to consider several financial metrics and analyst insights from InvestingPro as they assess the company's current standing. With a market capitalization of approximately $2.74 billion and a P/E ratio of 16.17, Vishay appears to be valued by the market at a level that reflects its earnings. However, the adjusted P/E ratio for the last twelve months as of Q2 2024 suggests a slightly lower valuation at 14.86.
InvestingPro data indicates a challenging environment for the company, with revenue having declined by 11.76% over the last twelve months as of Q2 2024. This contraction is also reflected in the quarterly revenue growth figure, which shows a decrease of 16.91% in Q2 2024. Despite these headwinds, the company has managed to maintain a gross profit margin of 24.68%, which is indicative of its ability to control costs relative to sales.
InvestingPro Tips for Vishay Intertechnology point out that the stock is currently in oversold territory according to the RSI, and it is trading near its 52-week low. This could suggest a potential buying opportunity for value investors, especially considering that the company has maintained dividend payments for 11 consecutive years, demonstrating a strong commitment to returning value to shareholders. Additionally, Vishay's liquid assets exceed its short-term obligations, providing financial stability. On the flip side, analysts have revised their earnings expectations downwards for the upcoming period, anticipating both a sales decline and a drop in net income for the current year.
For investors seeking further analysis, there are additional InvestingPro Tips available at https://www.investing.com/pro/VSH. These insights could provide a deeper understanding of Vishay's financial health and future prospects.
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