NasdaqGS:DIOD

Stock Analysis Report

Executive Summary

Diodes Incorporated, together with its subsidiaries, designs, manufactures, and supplies application-specific standard products in the discrete, logic, and analog and mixed-signal semiconductor markets in Asia, North America, and Europe.

Snowflake

Fundamentals

Flawless balance sheet with solid track record.


Similar Companies

Share Price & News

How has Diodes's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.9%

DIOD

1.7%

US Semiconductor

1.0%

US Market


1 Year Return

34.6%

DIOD

19.8%

US Semiconductor

6.7%

US Market

Return vs Industry: DIOD exceeded the US Semiconductor industry which returned 19.8% over the past year.

Return vs Market: DIOD exceeded the US Market which returned 6.7% over the past year.


Share holder returns

DIODIndustryMarket
7 Day0.9%1.7%1.0%
30 Day1.9%-1.5%-1.8%
90 Day12.2%4.9%-1.8%
1 Year34.6%34.6%22.1%19.8%9.1%6.7%
3 Year108.6%108.6%80.8%70.1%46.1%36.6%
5 Year80.4%80.4%143.0%118.0%66.9%48.6%

Price Volatility Vs. Market

How volatile is Diodes's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Diodes undervalued based on future cash flows and its price relative to the stock market?

16.24x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Undervalued: DIOD ($41.42) is trading above our estimate of fair value ($13.73)

Significantly Undervalued: DIOD is trading above our estimate of fair value.


Price Based on Earnings

PE vs Industry: DIOD is good value based on its PE Ratio (16.2x) compared to the Semiconductor industry average (27.9x).

PE vs Market: DIOD is good value based on its PE Ratio (16.2x) compared to the US market (17.5x).


Price Based on Expected Growth

Low PEG Ratio: DIOD is poor value based on its PEG Ratio (1.8x)


Price Based on Value of Assets

PB vs Industry: DIOD is good value based on its PB Ratio (2.1x) compared to the US Semiconductor industry average (2.6x).


Next Steps

Future Growth

How is Diodes expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

8.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Earnings vs Savings Rate: DIOD's forecast earnings growth (8.8% per year) is above the savings rate (2.7%).

Earnings vs Market: DIOD's earnings (8.8% per year) are forecast to grow slower than the US market (14.5% per year).

High Growth Earnings: DIOD's earnings are forecast to grow, but not significantly.

Revenue vs Market: DIOD's revenue (3.4% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: DIOD's revenue (3.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Estimates


Future Return on Equity

High Future ROE: Insufficient data to determine if DIOD's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Diodes performed over the past 5 years?

14.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: DIOD's earnings have grown by 14.4% per year over the past 5 years.

Accelerating Growth: DIOD's earnings growth over the past year (368.8%) exceeds its 5-year average (14.4% per year).

Earnings vs Industry: DIOD earnings growth over the past year (368.8%) exceeded the Semiconductor industry -6.2%.


Return on Equity

High ROE: DIOD's Return on Equity (12.3%) is considered low.


Return on Assets

ROA vs Industry: DIOD has a higher Return on Assets than the Semiconductor industry average last year.


Return on Capital Employed

ROCE Improving: DIOD has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Diodes's financial position?


Financial Position Analysis

Short Term Liabilities: DIOD's short term assets ($756.7M) exceeds its short term liabilities ($275.4M)

Long Term Liabilities: DIOD's short term assets (756.7M) exceeds its long term liabilities (287.6M)


Debt to Equity History and Analysis

Debt Level: DIOD's debt to equity ratio (17.8%) is considered satisfactory

Reducing Debt: DIOD's debt to equity ratio has reduced from 21.1% to 17.8% over the past 5 years.

Debt Coverage: DIOD's debt is well covered by operating cash flow (110.8%).

Interest Coverage: DIOD's interest payments on its debt are well covered by EBIT (29.1x coverage).


Balance Sheet

Inventory Level: DIOD has a high level of physical assets or inventory.

Debt Coverage by Assets: DIOD's debt is covered by short term assets (assets are 4.038480x debt).


Next Steps

  • Explore more healthy companies in the Semiconductors industry.

Dividend

What is Diodes's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.8%industryaverage1.7%forecastin3Yearsn/a

Current dividend yield vs market & industry


Dividend Yield and Payments Analysis

Notable Dividend: Unable to evaluate DIOD's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate DIOD's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if DIOD's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if DIOD's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of DIOD's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of Diodes's salary, the management and board of directors tenure and is there insider trading?

1.8yrs

Average management tenure


CEO

Keh-Shew Lu (72yo)

14.3yrs

Tenure

US$6,145,090

Compensation

Dr. Keh-Shew Lu, Ph.D. has been Chief Executive Officer of Pericom Semiconductor Corp. since November 24, 2015. Dr. Lu serves as the President and Partner of Pu-Shin Investment Corp. Dr. Lu has been the Ch ...


CEO Compensation Analysis

Compensation vs. Market: Keh-Shew's total compensation ($USD6.15M) is about average for companies of similar size in the US market ($USD4.08M).

Compensation vs Earnings: Keh-Shew's compensation has been consistent with company performance over the past year.


Management Age and Tenure

1.8yrs

Average Tenure

57yo

Average Age

Experienced Management: DIOD's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Age and Tenure

14.3yrs

Average Tenure

72yo

Average Age

Experienced Board: DIOD's board of directors are seasoned and experienced ( 14.3 years average tenure).


Insider Trading

Insider Buying: DIOD insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$79,53414 Aug 19
Brett Whitmire
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares2,093
Max PriceUS$38.00
SellUS$412,48030 May 19
Richard White
EntityIndividual
Role
Secretary
Corporate Secretary & Special Assistant to the CEO
Shares13,000
Max PriceUS$31.73
SellUS$126,91730 May 19
Julie Holland
EntityIndividual
Role
Chief Operating Officer
Vice President of Corporate Operations
Shares4,000
Max PriceUS$31.73
SellUS$190,37530 May 19
Francis Tang
EntityIndividual
Shares6,000
Max PriceUS$31.73
SellUS$42,60628 Feb 19
Emily Yang
EntityIndividual
Role
Head of Sales
Vice President of Worldwide Sales & Marketing
Shares996
Max PriceUS$42.80
SellUS$12,94027 Feb 19
Francis Tang
EntityIndividual
Shares300
Max PriceUS$44.00
SellUS$203,01925 Feb 19
Richard White
EntityIndividual
Role
Secretary
Corporate Secretary & Special Assistant to the CEO
Shares4,965
Max PriceUS$40.89
SellUS$186,17225 Feb 19
Francis Tang
EntityIndividual
Shares4,553
Max PriceUS$40.89
SellUS$115,67825 Feb 19
Julie Holland
EntityIndividual
Role
Chief Operating Officer
Vice President of Corporate Operations
Shares2,829
Max PriceUS$40.89
SellUS$85,55425 Feb 19
Clemente Beltran
EntityIndividual
Shares2,037
Max PriceUS$42.00
SellUS$104,84721 Feb 19
Emily Yang
EntityIndividual
Role
Head of Sales
Vice President of Worldwide Sales & Marketing
Shares2,542
Max PriceUS$41.50
SellUS$124,40719 Feb 19
Richard White
EntityIndividual
Role
Secretary
Corporate Secretary & Special Assistant to the CEO
Shares3,041
Max PriceUS$40.91
SellUS$92,74319 Feb 19
Francis Tang
EntityIndividual
Shares2,267
Max PriceUS$40.91
SellUS$132,95819 Feb 19
Julie Holland
EntityIndividual
Role
Chief Operating Officer
Vice President of Corporate Operations
Shares3,250
Max PriceUS$40.91
SellUS$604,16730 Nov 18
Keh-Shew Lu
EntityIndividual
Role
Chief Executive Officer
CEO, President & Director
Shares17,486
Max PriceUS$34.59
SellUS$940,93128 Nov 18
Keh-Shew Lu
EntityIndividual
Role
Chief Executive Officer
CEO, President & Director
Shares28,000
Max PriceUS$33.70

Ownership Breakdown


Management Team

  • Keh-Shew Lu (72yo)

    CEO, President & Director

    • Tenure: 14.3yrs
    • Compensation: US$6.15m
  • Richard White (71yo)

    Corporate Secretary & Special Assistant to the CEO

    • Tenure: 10.4yrs
    • Compensation: US$2.21m
  • Julie Holland (57yo)

    Vice President of Corporate Operations

    • Tenure: 1.8yrs
    • Compensation: US$1.55m
  • Emily Yang (50yo)

    Vice President of Worldwide Sales & Marketing

    • Tenure: 1.8yrs
    • Compensation: US$1.27m
  • Gary Yu

    President of Asia Pacific Region

    • Tenure: 1.8yrs
  • Brett Whitmire (53yo)

    Chief Financial Officer

    • Tenure: 0.6yrs
  • Tim Monaghan

    President of Europe

    • Tenure: 5.8yrs

Board Members

  • Keh-Shew Lu (72yo)

    CEO, President & Director

    • Tenure: 14.3yrs
    • Compensation: US$6.15m
  • Ray Soong (77yo)

    Independent Chairman of the Board

    • Tenure: 26.8yrs
    • Compensation: US$799.61k
  • C. Chen (76yo)

    Independent Vice Chairman of the Board

    • Tenure: 14.3yrs
    • Compensation: US$572.01k
  • Michael Giordano (72yo)

    Independent Director

    • Tenure: 29.8yrs
    • Compensation: US$243.92k
  • Michael Tsai (65yo)

    Independent Director

    • Tenure: 9.4yrs
    • Compensation: US$223.92k
  • Peter Menard (65yo)

    Independent Director

    • Tenure: 1.4yrs
    • Compensation: US$188.92k
  • Christina Sung (65yo)

    Independent Director

    • Tenure: 2.4yrs
    • Compensation: US$233.92k

Company Information

Diodes Incorporated's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Diodes Incorporated
  • Ticker: DIOD
  • Exchange: NasdaqGS
  • Founded: 1959
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Market Cap: US$2.112b
  • Shares outstanding: 51.00m
  • Website: https://www.diodes.com

Number of Employees


Location

  • Diodes Incorporated
  • 4949 Hedgcoxe Road
  • Suite 200
  • Plano
  • Texas
  • 75024
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
DIODNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJan 1968
DDQDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1968

Biography

Diodes Incorporated, together with its subsidiaries, designs, manufactures, and supplies application-specific standard products in the discrete, logic, and analog and mixed-signal semiconductor markets in  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 01:09
End of Day Share Price2019/10/11 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

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