Talk about your one-stop-shop for semiconductors! Silicon Labs chips go into artificial intelligence systems, Internet of Things connections, wireless gadgets and a host of other devices.
On Tuesday, Silicon Laboratories, commonly known as Silicon Labs, got an upgrade to its stock Relative Strength (RS) Rating, from 67 to 72. It's a good rating and all of its other ratings are even higher.
The upgraded 72 RS Rating shows that Silicon Labs stock topped more than 70% of all stocks for price performance over the last 52 weeks. It brings the stock to within eight points of a major benchmark. Top-performing stocks tend to have an RS Rating above 80 in the early stages of their moves. See if Silicon Laboratories can continue to climb and hit that benchmark.
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Silicon Labs In Top 12% Of All Stocks
Silicon Labs makes analog-intensive mixed-signal chips used in communications, consumer and industrial/automotive markets. Heavy industry use of its unique, versatile chips makes its stock one to watch.
Austin, Texas-based Silicon Labs owns a strong 88 Composite Rating, putting it in the top 12% of all stocks overall. However, The IBD Methodology investors prefer to focus on growth stocks with a 90 or higher Composite. See if it can edge up to that level.
Additionally, the chipmaker has a B- Accumulation/Distribution Rating and a best-possible A SMR Rating (sales + profit margins + return on equity).
One yellow flag is its less than outstanding 73 EPS Rating. It got that because of weak earnings growth that ended last year. For the two most recent quarters Silicon Labs reported EPS growth of 91% and then 121% this last quarter. Analyst consensus is for a whopping 334% surge in earnings on 23% higher revenue for the current quarter, according to FactSet.
Shares Up About 60% In Less Than Five Months
Silicon Labs stock fell to an 82.82 low on April 9 amid the early 2025 market correction. It traded above 132 Tuesday afternoon, a roughly 60% rise in less than 18 weeks. It's working on a consolidation with a 153.71 entry. See if the stock can clear the breakout price in volume at least 40% higher than normal.
Silicon Labs earns the No. 14 rank among its peers in the 40-stock Electronics-Semiconductor Fabless industry group. Astera Labs, Broadcom and Credo Tech Group are among the top Five highly rated stocks in the group.
The proprietary IBD Relative Strength Rating measures technical performance by using a 1 (worst) to 99 (best) score that indicates how a stock's price action over the last 52 weeks matches up against all other stocks.
This article was created automatically with Stats Perform's Wordsmith software using data and article templates supplied by Investor's Business Daily. An IBD journalist may have edited the article.
Please follow James DeTar on Twitter @JimDeTar
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