Diodes Inc (DIOD)
NASDAQ:DIOD
Want to see DIOD full AI Analyst Report?
Top Page
Diodes
(NASDAQ:DIOD)
Select Model
Select Model
Rating:70Outperform
Price Target:
$123.00
▲(29.69% Upside)
Action:Reiterated
Date:05/13/26
The score is driven primarily by a strong, low-leverage balance sheet and improving operating/cash trends, reinforced by upbeat guidance and positive earnings-call momentum. These strengths are partially offset by a stretched valuation (high P/E with no dividend yield provided) and technical indicators that suggest the stock is extended despite an overall uptrend.
Positive Factors
Conservative Balance Sheet / Low Leverage
Very low debt and a strong cash position give Diodes durable financial flexibility to fund capex, absorb cyclical downturns, invest in fabs or acquisitions, and avoid distress. This capital structure reduces refinancing risk and supports multi-year strategic investments.
Negative Factors
Profitability Below Prior Cycle Levels
Margins and returns remain materially below earlier cycle peaks (net margin ~5.5%, ROE subdued), indicating operating leverage and pricing power have not fully normalized. Sustained margin recovery will be required to convert revenue growth into durable shareholder returns.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative Balance Sheet / Low Leverage
Very low debt and a strong cash position give Diodes durable financial flexibility to fund capex, absorb cyclical downturns, invest in fabs or acquisitions, and avoid distress. This capital structure reduces refinancing risk and supports multi-year strategic investments.
Read all positive factors
Diodes Key Performance Indicators (KPIs)
Diodes (DIOD) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$4.46B
Dividend YieldN/A
Average Volume (3M)682.38K
Price to Earnings (P/E)52.4
Beta (1Y)1.80
Revenue Growth15.97%
EPS Growth234.66%
CountryUS
Employees7,829
SectorTechnology
Sector Strength88
IndustrySemiconductors
Share Statistics
EPS (TTM)1.85
Shares Outstanding45,944,733
10 Day Avg. Volume792,218
30 Day Avg. Volume682,383
Financial Highlights & Ratios
PEG Ratio0.68
Price to Book (P/B)1.22
Price to Sales (P/S)1.54
P/FCF Ratio16.67
Enterprise Value/Market Cap0.93
Enterprise Value/Revenue2.68
Enterprise Value/Gross Profit8.57
Enterprise Value/Ebitda16.55
Forecast
1Y Price Target
$129.50Price Target Upside36.55% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering2
EPS Forecast (FY)2.39
Revenue Forecast (FY)$1.74B
Diodes Business Overview & Revenue Model
Company Description
Diodes Incorporated designs, manufactures, and supplies application-specific standard products in the discrete, logic, analog, and mixed-signal semiconductor markets worldwide. It focuses on low pin count semiconductor devices with one or more act...
How the Company Makes Money
Diodes makes money primarily by designing, manufacturing (through a combination of internal manufacturing and outsourced foundry/assembly-and-test partners), and selling semiconductor components to electronics OEMs and contract manufacturers. Reve...
Diodes Earnings Call Summary
Earnings Call Date:May 07, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Aug 06, 2026
Earnings Call Sentiment Positive
The call presented a strong operational and financial rebound: double-digit YoY revenue growth, margin expansion, meaningful improvement in GAAP and non-GAAP profitability, higher EBITDA and stronger cash generation. Management reiterated design-win momentum across automotive, industrial and AI/data-center markets and provided confident guidance for Q2. Key near-term challenges include an inventory dollar build concentrated in raw materials, FX and investment impairments, some sequential softness in computing (notebooks/motherboards) and a multiyear timeline to fully ramp utilization at two fabs. On balance, positive growth, margin and cash trends outweigh the manageable challenges.Positive Updates
Strong Revenue Growth
Q1 revenue of $405.5M, up 22.1% year-over-year (vs $332.1M) and up 3.5% sequentially (vs $391.6M); sixth consecutive quarter of double-digit YoY growth and the highest YoY increase since Q4 2021.
Negative Updates
Inventory Dollar Build in Raw Materials
Total inventory dollars increased $21.2M sequentially to $492.8M, driven by a $24M increase in raw materials (work-in-process +$0.5M, finished goods -$3.3M), which could reflect forward buying or slower conversion to finished goods.
Read all updates
Q1-2026 Updates
Positive
Negative
Strong Revenue Growth
Q1 revenue of $405.5M, up 22.1% year-over-year (vs $332.1M) and up 3.5% sequentially (vs $391.6M); sixth consecutive quarter of double-digit YoY growth and the highest YoY increase since Q4 2021.
Read all positive updates
Company Guidance
Diodes guided second-quarter revenue of approximately $435 million, plus or minus 3% (the midpoint implies roughly +18.8% year‑over‑year and +7.3% sequential growth), GAAP gross margin of about 32.8% ±1%, and non‑GAAP adjusted EPS of $0.60 ±$0.10; management also reiterated a 2026 expected tax rate of ~18% ±3%, noted annualized CapEx targeting of ~5–9% of revenue (Q1 CapEx was $31.9M, or 7.9% of revenue), and positioned this near‑term guidance against its three‑year targets of $2.0B revenue, $700M gross profit and over $4 of non‑GAAP EPS.Diodes Financial Statement Overview
Summary
Income Statement
58
Neutral
Balance Sheet
86
Very Positive
Cash Flow
63
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 1.56B | 1.48B | 1.31B | 1.66B | 2.00B | 1.81B |
| Gross Profit | 486.53M | 462.44M | 435.86M | 658.18M | 827.24M | 670.36M |
| EBITDA | 251.99M | 230.48M | 202.15M | 420.96M | 532.02M | 445.02M |
| Net Income | 85.54M | 66.14M | 44.02M | 227.18M | 331.28M | 228.76M |
Balance Sheet | ||||||
| Total Assets | 2.50B | 2.45B | 2.39B | 2.37B | 2.29B | 2.19B |
| Cash, Cash Equivalents and Short-Term Investments | 409.39M | 377.03M | 316.13M | 325.63M | 343.79M | 370.14M |
| Total Debt | 104.88M | 95.61M | 91.70M | 98.36M | 213.67M | 334.55M |
| Total Liabilities | 546.86M | 509.69M | 517.33M | 557.98M | 705.39M | 891.77M |
| Stockholders Equity | 1.89B | 1.88B | 1.80B | 1.74B | 1.51B | 1.24B |
Cash Flow | ||||||
| Free Cash Flow | 128.74M | 137.15M | 46.41M | 130.15M | 180.77M | 197.35M |
| Operating Cash Flow | 223.08M | 215.51M | 119.44M | 280.91M | 392.50M | 338.54M |
| Investing Cash Flow | -124.40M | -116.18M | -118.04M | -158.32M | -265.26M | -144.23M |
| Financing Cash Flow | -54.59M | -54.81M | -19.34M | -144.72M | -125.71M | -158.44M |
Diodes Technical Analysis
Neutral
94.84
Price Trends
87.35
Positive
74.09
Positive
62.91
Positive
Market Momentum
2.50
Positive
48.49
Neutral
13.92
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DIOD, the sentiment is Neutral. The current price of 94.84 is below the 20-day moving average (MA) of 104.36, above the 50-day MA of 87.35, and above the 200-day MA of 62.91, indicating a neutral trend. The MACD of 2.50 indicates Positive momentum. The RSI at 48.49 is Neutral, neither overbought nor oversold. The STOCH value of 13.92 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for DIOD.
Diodes Risk Analysis
Diodes disclosed 59 risk factors in its most recent earnings report. Diodes reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Diodes Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
76 Outperform | $3.85B | 215.30 | 2.44% | 2.27% | 3.11% | -54.05% | |
75 Outperform | $8.66B | 3.54 | 20.24% | 2.22% | 36.05% | 80.83% | |
73 Outperform | $4.60B | 77.59 | 9.79% | ― | -11.75% | -41.15% | |
70 Outperform | $4.46B | 52.38 | 4.54% | ― | 15.97% | 234.66% | |
67 Neutral | $9.77B | 93.47 | 6.68% | ― | 9.60% | 25.63% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
55 Neutral | $5.47B | 88.21 | 0.11% | 2.67% | 9.86% | ― |
* Technology Sector Average
DIOD
Diodes
97.15
50.05
106.26%
ACLS
Axcelis Technologies
149.56
90.49
153.19%
FORM
Formfactor
125.31
93.87
298.57%
POWI
Power Integrations
69.13
18.92
37.69%
SIMO
Silicon Motion
258.02
194.47
306.02%
VSH
Vishay Intertechnology
40.16
26.25
188.65%
Diodes Corporate Events
Business Operations and StrategyFinancial Disclosures
Diodes Reports Strong Preliminary Q1 Results and Outlook
Positive
May 12, 2026
On May 7, 2026, Diodes reported preliminary, unaudited first-quarter 2026 results showing revenue of $405.5 million, up 22.1% year-on-year and 3.5% sequentially, marking its fifth straight quarter of double-digit annual growth amid recovering dema...
Executive/Board ChangesShareholder Meetings
Diodes Chairman Resigns After Shareholder Vote; New Chairwoman Appointed
Neutral
May 12, 2026
At Diodes Incorporated’s annual meeting on May 11, 2026, long-serving chairman Dr. Keh-Shew Lu failed to secure majority support, receiving more votes withheld than in favor, and subsequently chose to resign immediately from the board rather...
Business Operations and StrategyFinancial Disclosures
Diodes Reports Strong Q1 2026 Results, Guides Higher
Positive
May 8, 2026
Diodes Incorporated reported preliminary, unaudited financial results for the quarter ended March 31, 2026, with revenue rising to $405.5 million from $332.1 million a year earlier and GAAP gross margin improving to 31.8%. The company swung to GAA...
Financial Disclosures
Diodes Schedules First-Quarter 2026 Earnings Release and Call
Neutral
Apr 16, 2026
On April 16, 2026, Diodes Incorporated announced it will release its first-quarter 2026 financial results on May 7, 2026, with the announcement scheduled for 3:05 p.m. Central Time. The company will host a conference call later that day at 4:00 p....
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.