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Here's Why You Should Add Vishay (VSH) to Your Portfolio

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Vishay Intertechnology, Inc. (VSH - Free Report) is currently one of the top-performing stocks in the technology sector. Markedly, an increase in share price and strong fundamentals signal its bullish run. Therefore, if you haven’t taken advantage of the share price appreciation yet, it’s time you add the stock to your portfolio right now.

The company has performed pretty well over the past year and has the potential to carry on the momentum in the near term as well.

Why is It an Attractive Pick?

Share Price Appreciation: A glimpse of the company’s price trend shows that the stock has had an impressive run on the bourses year to date. Vishay has rallied 37% compared with the S&P 500 market gain of 19.2% in the said period.

Solid Rank: Vishay currently sports a Zacks Rank #1 (Strong Buy). Thus, the company appears to be a compelling investment proposition at the moment.

Northward Estimate Revisions: Three estimates for 2021 have moved north over the past 60 days against no southward revision, reflecting analysts’ confidence in the company. Moreover, the Zacks Consensus Estimate for 2021 earnings has inched up 9.6% in the said period to 91 cents.

Earnings Surprise History: Vishay has an impressive earnings surprise history. The company outpaced the Zacks Consensus Estimate in three out of the trailing four quarters, with an average earnings surprise of 58.9%.

Growth Drivers

Vishay is riding on strength across inductors, MOSFET and opto product lines. Further, robust magnetic offerings — which are driving growth of the specialty business — are contributing well.

Also, expanding presence in industrial, military, and medical end markets owing to strong resistors as well as capacitors is a positive. Additionally, growing opportunities for capacitors in areas of power transmission and electro cars are tailwinds.

Further, recovery in the automotive sector and Asian markets — especially in China — is another positive. Notably, the company’s persistent focus on expanding manufacturing capacities remains a key catalyst.

Other Stocks to Consider

Other top-ranked stocks in the broader technology sector include The Trade Desk Inc. (TTD - Free Report) , Dropbox, Inc. (DBX - Free Report) and Inuvo, Inc. (INUV - Free Report) . While The Trade Desk sports a Zacks Rank #1, the other two stocks carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Long-term earnings growth for The Trade Desk, Dropbox, and Inuvo is currently projected at 25%, 40.9% and 30%, respectively.

These Stocks Are Poised to Soar Past the Pandemic

The COVID-19 outbreak has shifted consumer behavior dramatically, and a handful of high-tech companies have stepped up to keep America running. Right now, investors in these companies have a shot at serious profits. For example, Zoom jumped 108.5% in less than 4 months while most other stocks were sinking.

Our research shows that 5 cutting-edge stocks could skyrocket from the exponential increase in demand for “stay at home” technologies. This could be one of the biggest buying opportunities of this decade, especially for those who get in early.

See the 5 high-tech stocks now>>

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