World renowned designer and manufacturer of semiconductor solutions, ANADIGICS, Inc. (ANAD - Analyst Report) recently launched its latest dual-band Power Amplifiers (PA). With the introduction of the product, the company has extended its ProEficient 3G / 4G PA platform.
The power amplifiers delivered by the company are expected to enhance the battery longevity of the smartphones and tablets by providing a platform for optimum power yield capacity. The latest product deploys the company’s InGaP-Plus technique and advanced design process for raising the integration level and minimizing the space required by various applications including 3G and 4G.
Management stated that, with the high usage of 4G data, the battery longevity of mobile devices is declining and power usage is rising continuously. ANADIGICS’ latest product is expected to optimize the battery-life with its customized offerings.
Headquartered in Warren, New Jersey, ANADIGICS is positioned in the fast-growing markets: 3G, 4G, Wi-Fi and CATV. In addition, the company is also raising its product content in markets, where multiple power amplifiers and multiple tuner ICs are required. The continued expanded high demand of wireless connectivity in a growing number of consumer devices, including smart phones and tablets, provide substantial opportunities for growth to ANADIGICS.
However, the turbulent condition existing in the economy may hinder the growth of ANADIGICS in future.The company faces fierce competition from RF Micro Devices Inc. and Skyworks Solutions Inc. (SWKS - Analyst Report), who exhibited striking results, even in such difficult situations.
The current Zacks Consensus Estimates for ANADIGICS is a loss of 27 cents and $1.01 per share for the third quarter of 2012 and for 2012, respectively. The estimates represent a year-over-year growth of (80.00%) for the third quarter of 2012 and (67.78%) for 2012. The company currently retains a Zacks #3 Rank, which translates into a short-term ‘Hold’ rating. However, we maintain a Neutral recommendation on the stock.