Zacks Research Downgrades Diodes (NASDAQ:DIOD) to Strong Sell

Diodes (NASDAQ:DIOD) was downgraded by equities researchers at Zacks Research from a “hold” rating to a “strong sell” rating in a report issued on Wednesday,Zacks.com reports.

Several other equities analysts have also commented on the company. Wall Street Zen lowered Diodes from a “buy” rating to a “hold” rating in a research note on Saturday, November 8th. Truist Financial boosted their price target on shares of Diodes from $54.00 to $67.00 and gave the company a “hold” rating in a report on Wednesday. Benchmark increased their price objective on shares of Diodes from $62.00 to $80.00 and gave the company a “buy” rating in a research note on Wednesday. Finally, Weiss Ratings raised shares of Diodes from a “sell (d+)” rating to a “hold (c-)” rating in a report on Wednesday, January 21st. Two research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, Diodes currently has an average rating of “Hold” and a consensus price target of $65.67.

Diodes Trading Down 7.6%

DIOD stock opened at $72.08 on Wednesday. Diodes has a 12 month low of $32.93 and a 12 month high of $81.71. The firm’s 50-day moving average is $55.37 and its 200 day moving average is $52.99. The company has a market capitalization of $3.31 billion, a PE ratio of 50.76 and a beta of 1.66. The company has a debt-to-equity ratio of 0.01, a current ratio of 3.32 and a quick ratio of 2.09.

Diodes (NASDAQ:DIOD) last issued its earnings results on Tuesday, February 10th. The semiconductor company reported $0.34 EPS for the quarter, topping analysts’ consensus estimates of $0.26 by $0.08. Diodes had a net margin of 4.46% and a return on equity of 2.95%. The business had revenue of $391.58 million for the quarter, compared to the consensus estimate of $380.03 million. During the same period in the prior year, the firm earned $0.27 EPS. The company’s revenue for the quarter was up 15.4% compared to the same quarter last year. On average, research analysts anticipate that Diodes will post 1.82 EPS for the current year.

Insider Activity

In related news, SVP Emily Yang sold 950 shares of the stock in a transaction that occurred on Tuesday, February 3rd. The shares were sold at an average price of $60.85, for a total transaction of $57,807.50. Following the completion of the sale, the senior vice president owned 74,032 shares of the company’s stock, valued at $4,504,847.20. This represents a 1.27% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, insider Jin Zhao sold 525 shares of the firm’s stock in a transaction that occurred on Monday, February 2nd. The shares were sold at an average price of $59.19, for a total transaction of $31,074.75. Following the completion of the sale, the insider owned 49,980 shares of the company’s stock, valued at approximately $2,958,316.20. This trade represents a 1.04% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 5,205 shares of company stock worth $315,853. Insiders own 1.90% of the company’s stock.

Institutional Investors Weigh In On Diodes

A number of large investors have recently modified their holdings of DIOD. Bessemer Group Inc. grew its stake in shares of Diodes by 178,733.7% during the 3rd quarter. Bessemer Group Inc. now owns 366,609 shares of the semiconductor company’s stock worth $19,508,000 after purchasing an additional 366,404 shares during the period. Pacer Advisors Inc. purchased a new stake in Diodes during the third quarter worth $7,393,000. Allianz Asset Management GmbH grew its position in Diodes by 27.0% during the third quarter. Allianz Asset Management GmbH now owns 145,889 shares of the semiconductor company’s stock valued at $7,763,000 after buying an additional 31,013 shares during the period. Rhumbline Advisers grew its position in shares of Diodes by 7.9% during the 2nd quarter. Rhumbline Advisers now owns 146,315 shares of the semiconductor company’s stock valued at $7,739,000 after acquiring an additional 10,744 shares during the period. Finally, Vanguard Personalized Indexing Management LLC boosted its position in Diodes by 51.0% during the second quarter. Vanguard Personalized Indexing Management LLC now owns 8,304 shares of the semiconductor company’s stock worth $439,000 after purchasing an additional 2,806 shares in the last quarter. Hedge funds and other institutional investors own 99.23% of the company’s stock.

Diodes News Summary

Here are the key news stories impacting Diodes this week:

• Positive Sentiment: Q4 results and outlook: Diodes reported better‑than‑expected revenue and EBITDA dynamics and gave strong Q1 guidance plus a new three‑year target framework — the package is credited with the >25% rally. Diodes Shares Climb as AI, Automotive Growth Boosts 4Q, Outlook
• Positive Sentiment: Analyst bullishness: Benchmark raised its price target to $80 and kept a Buy rating; Robert W. Baird reiterated a Buy with an $80 target — supports upside expectations tied to AI and automotive end markets. Benchmark price target raise Baird maintains Buy
• Positive Sentiment: Technical signal: Diodes cleared a key RS benchmark (90+), which can attract momentum/quant funds and technical traders. Diodes clears key benchmark, hitting 90-plus RS rating
• Neutral Sentiment: Earnings call and analysis: Transcripts and slide decks are available; commentary highlights both growth opportunities (AI, automotive) and margin/operational pressures — useful for modeling but mixed in tone. Diodes 2025 Q4 presentation Q4 earnings call transcript
• Neutral Sentiment: Media/analysis coverage: Multiple outlets (The Motley Fool, AAII, Yahoo) explain the rally and try to parse whether the move is sustainable; helpful context but not new fundamental data. Why Diodes Stock Is Skyrocketing Today
• Negative Sentiment: Cautious analyst view: Truist raised its target to $67 but assigned a Hold — a signal some investors see as cautionary versus the more bullish firms. Benzinga note on Truist
• Negative Sentiment: Odd short‑interest reporting: Market data entries show anomalous “0 shares” / NaN changes for Feb short interest — likely a reporting quirk rather than meaningful short‑covering, but it creates short‑interest data uncertainty. (No external article.)

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.