American Century Companies Inc. Reduces Stake in Diodes Incorporated $DIOD

Key Points

• American Century Companies Inc. has reduced its stake in Diodes Incorporated by 24.9%, remaining a significant institutional investor with approximately $15.1 million in holdings.
• Diodes announced a $100 million share buyback plan, indicating management's belief that the stock is undervalued.
• Diodes reported a quarterly EPS of $0.32, surpassing expectations, and its revenue increased by 14.5% year-over-year, reaching $366.2 million.

American Century Companies Inc. lowered its stake in shares of Diodes Incorporated (NASDAQ:DIOD - Free Report) by 24.9% during the first quarter, according to its most recent Form 13F filing with the SEC. The fund owned 349,805 shares of the semiconductor company's stock after selling 116,019 shares during the period. American Century Companies Inc. owned 0.75% of Diodes worth $15,101,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in the stock. Signaturefd LLC lifted its stake in shares of Diodes by 170.1% in the 1st quarter. Signaturefd LLC now owns 597 shares of the semiconductor company's stock valued at $26,000 after purchasing an additional 376 shares during the last quarter. Caitong International Asset Management Co. Ltd acquired a new position in shares of Diodes in the 1st quarter valued at $70,000. Brevan Howard Capital Management LP acquired a new position in shares of Diodes in the 4th quarter valued at $251,000. Y Intercept Hong Kong Ltd acquired a new position in shares of Diodes in the 1st quarter valued at $212,000. Finally, Integrated Investment Consultants LLC acquired a new position in shares of Diodes in the 1st quarter valued at $227,000. Institutional investors and hedge funds own 99.23% of the company's stock.

Analyst Ratings Changes

DIOD has been the topic of several recent analyst reports. Wall Street Zen lowered Diodes from a "buy" rating to a "hold" rating in a research note on Saturday. Zacks Research raised Diodes to a "strong sell" rating in a research note on Friday, August 8th. Finally, Benchmark reaffirmed a "buy" rating and issued a $62.00 price target (up previously from $55.00) on shares of Diodes in a research note on Friday, June 13th. One research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average target price of $55.00.

Diodes Stock Up 1.6%

NASDAQ DIOD traded up $0.88 during trading hours on Wednesday, hitting $56.19. 514,629 shares of the company were exchanged, compared to its average volume of 481,191. The company has a 50 day moving average of $53.32 and a two-hundred day moving average of $48.02. The company has a quick ratio of 2.04, a current ratio of 3.33 and a debt-to-equity ratio of 0.01. Diodes Incorporated has a 52-week low of $32.93 and a 52-week high of $70.98. The firm has a market cap of $2.61 billion, a price-to-earnings ratio of 41.01 and a beta of 1.47.

Diodes (NASDAQ:DIOD - Get Free Report) last issued its quarterly earnings results on Thursday, August 7th. The semiconductor company reported $0.32 earnings per share for the quarter, topping the consensus estimate of $0.24 by $0.08. Diodes had a return on equity of 2.98% and a net margin of 4.59%.The company had revenue of $366.20 million for the quarter, compared to the consensus estimate of $352.08 million. During the same quarter in the prior year, the business earned $0.33 EPS. Diodes's revenue was up 14.5% on a year-over-year basis. Diodes has set its Q3 2025 guidance at EPS. Equities research analysts anticipate that Diodes Incorporated will post 1.82 earnings per share for the current year.

Diodes announced that its Board of Directors has authorized a stock buyback program on Thursday, May 8th that authorizes the company to buyback $100.00 million in outstanding shares. This buyback authorization authorizes the semiconductor company to buy up to 5.4% of its stock through open market purchases. Stock buyback programs are often an indication that the company's board of directors believes its shares are undervalued.

Diodes Profile

Diodes Incorporated, together with its subsidiaries, manufactures and supplies application-specific standard products in the broad discrete, logic, analog, and mixed-signal semiconductor markets worldwide. The company offers discrete semiconductor products, such as MOSFETs, SiC MOSFETs; data line protection, power line protection, thyristers, USB Type-C protection, and transient voltage suppressors; Schottky, small signal switching, Zener, and SiC diodes; bridges, super barrier, Schottky, Schottky bridge, and fast/ultra-fast rectifiers; and bipolar, avalanche, gate driver, and pre-bias transistors.