Vicor Corp (VICR)
NASDAQ:VICR
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Vicor
(NASDAQ:VICR)
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Rating:77Outperform
Price Target:
$196.00
▲(5.38% Upside)
Action:ReiteratedDate:03/03/26
The score is driven primarily by strong financial quality (especially the very conservative balance sheet) and a constructive earnings outlook supported by improving bookings/backlog and a profitability rebound. This is partially offset by premium valuation (high P/E) and technically overbought conditions that raise near-term downside risk.
Positive Factors
Conservative balance sheet
Extremely low leverage and growing equity provide durable financial flexibility. Over the next 2–6 months this supports funding of fab reservations, working capital needs, and optional capex without stressing solvency, reducing refinancing and liquidity risk during ramps.
Negative Factors
Revenue volatility and inconsistent growth
Historical uneven top-line performance undermines predictability of future revenue and complicates capacity planning. Even with margin strength, inconsistent demand can pressure utilization, delay ramp timing, and make multi-quarter forecasting and investment sizing riskier.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative balance sheet
Extremely low leverage and growing equity provide durable financial flexibility. Over the next 2–6 months this supports funding of fab reservations, working capital needs, and optional capex without stressing solvency, reducing refinancing and liquidity risk during ramps.
Read all positive factors
Vicor (VICR) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$7.17B
Dividend YieldN/A
Average Volume (3M)900.35K
Price to Earnings (P/E)41.4
Beta (1Y)1.90
Revenue Growth11.55%
EPS Growth1745.46%
CountryUS
Employees1,074
SectorTechnology
Sector Strength88
IndustryHardware, Equipment & Parts
Share Statistics
EPS (TTM)1.01
Shares Outstanding33,646,427
10 Day Avg. Volume1,074,993
30 Day Avg. Volume900,346
Financial Highlights & Ratios
PEG Ratio0.02
Price to Book (P/B)6.89
Price to Sales (P/S)12.03
P/FCF Ratio41.12
Enterprise Value/Market Cap0.94
Enterprise Value/Revenue14.85
Enterprise Value/Gross Profit25.92
Enterprise Value/Ebitda56.73
Forecast
1Y Price Target
$201.67Price Target Upside8.42% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering3
EPS Forecast (FY)2.04
Revenue Forecast (FY)$468.98M
Vicor Business Overview & Revenue Model
Company Description
Vicor Corporation, together with its subsidiaries, designs, develops, manufactures, and markets modular power components and power systems for converting electrical power in the United States, Europe, the Asia Pacific, and internationally. The com...
How the Company Makes Money
Vicor makes money primarily by selling power conversion products to OEMs and other customers that need to efficiently convert electricity from one form to another (e.g., AC-DC and DC-DC conversion and related power management). Revenue is generate...
Vicor Earnings Call Summary
Earnings Call Date:Feb 19, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 28, 2026
Earnings Call Sentiment Positive
The call presented a strong recovery and clear momentum: meaningful year-over-year revenue growth, a return to solid profitability, improved gross margins, a robust cash position, and strengthening bookings/backlog. IP licensing became a material contributor and management outlined substantial market opportunities (notably in high-end computing and VPD). Offsetting these positives are short-term timing volatility in royalties (catch-up effects and one-time litigation proceeds), modest declines in brick products, and a significant near-term capacity planning challenge (Fab 1 nearing high utilization with multi-hundred-million-dollar capex and potential multi-year timing for additional owned capacity). On balance, the favorable growth, profitability turnaround, cash strength, backlog improvement and licensing momentum materially outweigh the cited risks and timing issues.Positive Updates
Q4 and Full-Year Revenue Growth
Q4 product revenue was $92.7M, up 4.5% sequentially and up 15.3% year-over-year. Full-year product revenue was $350.3M, up 12.1% YoY. Total product + royalty revenue including a $45M patent litigation settlement was $452.7M for FY2025, up 26.1% YoY from $359.1M.
Negative Updates
Sequential Drop in Q4 Royalty Revenue
Q4 royalty revenue was $14.5M, a 33.1% sequential decrease from $21.7M in Q3 and a 7.8% YoY decrease from $15.8M. Management attributed the QoQ drop to a catch-up amount included in Q3, highlighting timing volatility in licensing receipts.
Read all updates
Q4-2025 Updates
Positive
Negative
Q4 and Full-Year Revenue Growth
Q4 product revenue was $92.7M, up 4.5% sequentially and up 15.3% year-over-year. Full-year product revenue was $350.3M, up 12.1% YoY. Total product + royalty revenue including a $45M patent litigation settlement was $452.7M for FY2025, up 26.1% YoY from $359.1M.
Read all positive updates
Company Guidance
Management said they will not provide quarterly guidance because licensing timing/amounts are unpredictable, but gave directional guidance that 2026 should deliver record bookings, revenues and profitability: book‑to‑bill was >1.2 in Q4 (and rising in Q1) with 1‑year backlog up 15.8% to $176.9M. They expect significantly higher utilization of the first chip fab — targeting roughly 80% (the fab can support slightly >$1.0B of revenue/year, implying an ~ $800M run‑rate at 80%) within about a year — and are taking capacity reservations while exploring a second fab (capacity possibly not available until 2028) or alternate sources; estimated second‑fab investment is on the order of $250–$300M and a campus could support up to ~0.5M sq ft vs the current ~300k sq ft. They reiterated strong licensing momentum (2025 royalty base $57.4M, excluding a $45M one‑time settlement, and an expectation of “hundreds of millions” of future licensing revenue with roughly half a dozen major licensees), ongoing Gen‑4 ramps (lead customer through end‑2026) and Gen‑5 transitions in H2 2026, and noted operational metrics (cash $402.8M, Q4 inventories $91.3M with turns ~1.96, DSOs 44 days, Q4 operating cash flow ~$15.7M, Q4 capex $5.5M, Q4 gross margin 55.4% and FY 57.3%, Q4 operating margin 14.6%).Vicor Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
92
Very Positive
Cash Flow
80
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 407.70M | 359.06M | 405.06M | 399.08M | 359.36M |
| Gross Profit | 214.43M | 184.00M | 204.93M | 180.56M | 178.20M |
| EBITDA | 115.36M | 36.82M | 68.60M | 47.48M | 67.31M |
| Net Income | 118.56M | 6.13M | 53.59M | 25.45M | 56.63M |
Balance Sheet | |||||
| Total Assets | 785.83M | 641.12M | 594.89M | 536.90M | 477.20M |
| Cash, Cash Equivalents and Short-Term Investments | 402.81M | 277.27M | 242.22M | 190.61M | 227.63M |
| Total Debt | 12.78M | 7.34M | 8.23M | 8.46M | 4.78M |
| Total Liabilities | 74.02M | 70.83M | 53.78M | 72.56M | 53.30M |
| Stockholders Equity | 711.56M | 570.07M | 540.87M | 464.09M | 423.60M |
Cash Flow | |||||
| Free Cash Flow | 119.23M | 27.24M | 41.08M | -41.03M | 7.12M |
| Operating Cash Flow | 139.55M | 50.84M | 74.53M | 22.94M | 54.88M |
| Investing Cash Flow | -20.32M | -23.60M | -33.45M | -18.97M | -43.66M |
| Financing Cash Flow | 6.32M | 7.99M | 10.60M | 4.44M | 10.09M |
Vicor Technical Analysis
Neutral
186.00
Price Trends
170.80
Negative
136.31
Positive
94.08
Positive
Market Momentum
1.05
Positive
42.88
Neutral
36.32
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VICR, the sentiment is Neutral. The current price of 186 is above the 20-day moving average (MA) of 182.56, above the 50-day MA of 170.80, and above the 200-day MA of 94.08, indicating a neutral trend. The MACD of 1.05 indicates Positive momentum. The RSI at 42.88 is Neutral, neither overbought nor oversold. The STOCH value of 36.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for VICR.
Vicor Risk Analysis
Vicor disclosed 18 risk factors in its most recent earnings report. Vicor 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
Vicor Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
77 Outperform | $7.17B | 41.35 | 18.74% | ― | 11.55% | 1745.46% | |
76 Outperform | $2.55B | 5.83 | 15.06% | 0.16% | 23.70% | 14.78% | |
76 Outperform | $2.55B | 5.83 | 15.06% | 0.15% | 23.70% | 14.78% | |
68 Neutral | $4.53B | 27.58 | 16.91% | ― | 9.37% | 15.70% | |
68 Neutral | $1.95B | -27.26 | -5.07% | ― | -4.87% | -235.48% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
58 Neutral | $928.21M | 53.09 | 4.25% | ― | 10.76% | ― |
* Technology Sector Average
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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.