Diodes (NASDAQ:DIOD) Announces Quarterly Earnings Results, Beats Estimates By $0.08 EPS

Diodes (NASDAQ:DIOD) released its earnings results on Tuesday. The semiconductor company reported $0.34 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.26 by $0.08, Zacks reports. Diodes had a return on equity of 2.81% and a net margin of 4.49%.The firm had revenue of $391.58 million for the quarter, compared to analyst estimates of $380.03 million. During the same period in the previous year, the company earned $0.27 earnings per share. Diodes’s revenue was up 15.4% compared to the same quarter last year.

Here are the key takeaways from Diodes’ conference call:

• Fourth-quarter revenue of $391.6M rose 15% year?over?year (full?year up 13%), driven by strong computing (AI server) demand and double?digit growth in automotive and industrial, supported by broad design wins and content expansion.
• Management introduced a three?year interim target to reach $2.0B revenue with ~ $700M gross profit (35%+ gross margin) and >$4 non?GAAP EPS, implying ~10.5% revenue CAGR and significant operating leverage if execution and utilization improve.
• Q1 2026 guidance calls for revenue of ~$395M ±3% (?19% YoY) and a gross margin around 31.5%, indicating management expects above?seasonal demand and a fifth consecutive quarter of double?digit YoY growth.
• GAAP gross margin slipped to 31.1% in Q4 (from 32.7% a year ago) and management says future margin expansion depends heavily on reducing underutilization/underload costs and improved manufacturing efficiency, which are execution risks.
• Cash generation strengthened materially — 2025 free cash flow of $137.2M, cash and short?term investments of ~$382M, and ongoing buybacks (partial use of a $100M program) while capex remained within the 5%–9% target range.

Diodes Stock Up 1.0%

DIOD stock opened at $61.70 on Wednesday. The company has a debt-to-equity ratio of 0.01, a current ratio of 3.32 and a quick ratio of 2.09. The firm has a market capitalization of $2.86 billion, a P/E ratio of 44.71 and a beta of 1.66. Diodes has a 52-week low of $32.93 and a 52-week high of $62.67. The company’s 50 day simple moving average is $54.43 and its 200-day simple moving average is $52.68.

Insider Activity

In other news, insider Jin Zhao sold 525 shares of the firm’s stock in a transaction on Monday, February 2nd. The stock was sold at an average price of $59.19, for a total value of $31,074.75. Following the completion of the sale, the insider owned 49,980 shares of the company’s stock, valued at $2,958,316.20. This trade represents a 1.04% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. Also, CEO Gary Yu sold 2,900 shares of the company’s stock in a transaction on Tuesday, February 3rd. The shares were sold at an average price of $60.85, for a total value of $176,465.00. Following the transaction, the chief executive officer directly owned 111,671 shares in the company, valued at $6,795,180.35. The trade was a 2.53% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders have sold 5,205 shares of company stock valued at $315,853. 2.30% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Diodes

A number of institutional investors have recently bought and sold shares of DIOD. EverSource Wealth Advisors LLC increased its position in Diodes by 77.4% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 470 shares of the semiconductor company’s stock valued at $25,000 after purchasing an additional 205 shares during the period. Amundi lifted its position in shares of Diodes by 2.2% in the 3rd quarter. Amundi now owns 16,587 shares of the semiconductor company’s stock worth $879,000 after purchasing an additional 353 shares during the period. California State Teachers Retirement System boosted its stake in shares of Diodes by 0.9% in the 2nd quarter. California State Teachers Retirement System now owns 42,805 shares of the semiconductor company’s stock valued at $2,264,000 after purchasing an additional 397 shares during the last quarter. Geneos Wealth Management Inc. acquired a new stake in shares of Diodes during the second quarter worth $30,000. Finally, AQR Capital Management LLC raised its stake in Diodes by 12.4% during the first quarter. AQR Capital Management LLC now owns 6,028 shares of the semiconductor company’s stock worth $260,000 after buying an additional 663 shares during the last quarter. 99.23% of the stock is currently owned by institutional investors and hedge funds.

Key Diodes News

Here are the key news stories impacting Diodes this week:

• Positive Sentiment: Q1 revenue guidance came in above consensus, giving investors a clearer near-term growth runway; management guided revenue to roughly $383.2M–$406.9M versus the Street at ~$375.7M. Diodes shares surge as strong Q1 guidance outweighs earnings miss
• Positive Sentiment: Top-line beat: Q4 revenue was $391.6M, up 15.4% year-over-year and above consensus—evidence of demand momentum in the company’s end markets. Diodes Incorporated Reports Fourth Quarter Fiscal 2025 Financial Results
• Positive Sentiment: Earnings vs. expectations: Several outlets report adjusted EPS of $0.34, topping consensus and showing year-over-year improvement—this supported the rally alongside the strong revenue read. Diodes (DIOD) Q4 Earnings and Revenues Top Estimates
• Neutral Sentiment: Management commentary and the earnings call transcript are available for details on mix, end-market trends, and margin outlook; these details will guide near-term sentiment. Diodes (DIOD) Q4 2025 Earnings Call Transcript
• Neutral Sentiment: Institutional activity is mixed—Quiver/holdings data show both sizable additions and reductions among funds, so ownership trends could amplify moves in either direction. Diodes Incorporated Releases Q4 2025 Earnings
• Negative Sentiment: Some reports flagged a GAAP EPS figure lower than certain estimates (and one data vendor showed a lower diluted EPS number), creating mixed headlines that could confuse shorter-term traders. Diodes Incorporated Releases Q4 2025 Earnings
• Negative Sentiment: Insider selling has been reported (multiple officers sold shares recently), which is a caution flag for some investors even though overall fundamentals remain solid. Diodes Insider Trading Activity

Wall Street Analysts Forecast Growth

Several equities analysts have recently issued reports on the stock. Wall Street Zen cut shares of Diodes from a “buy” rating to a “hold” rating in a research note on Saturday, November 8th. Zacks Research raised shares of Diodes from a “strong sell” rating to a “hold” rating in a research note on Monday, January 5th. Weiss Ratings upgraded shares of Diodes from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Wednesday, January 21st. Finally, Truist Financial upped their price target on Diodes from $51.00 to $54.00 and gave the company a “hold” rating in a report on Friday, December 19th. Two investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average price target of $55.33.

About Diodes

Diodes Incorporated (NASDAQ: DIOD) is a global manufacturer and supplier of high?performance discrete, logic, analog and mixed?signal semiconductor products. Headquartered in Plano, Texas, the company designs and develops a broad range of discrete components, standard logic functions, power management circuits, interface products and array products. Its portfolio includes rectifiers, MOSFETs, general?purpose diodes, voltage regulators, comparators, buffers and other building blocks for electronic systems.

Diodes Incorporated serves a variety of end markets such as automotive, computing, communications, consumer electronics, industrial and lighting.