Semiconductor maker Diodes declines on planned convertible

Diodes Incorporated

13/08/2026 16:24

** Semiconductor products maker Diodes' DIOD.O shares down 5.6% at $101.08 on Thurs as it seeks capital raise
** Plano, Texas-based firm early Thurs says offering privately $325 mln convertible bonds due Aug 15, 2031
** Co intends to use some net proceeds to pay for capped call transactions and up to $35 mln to repurchase its shares to help stem potential dilution
** It plans to use remainder for general purposes, including potential acquisitions
** Co has roughly $4.7 bln current market cap
** On Aug 5, DIOD posted Q2 rev up 22% yr/yr to $445.5 mln and adj EPS of 70 cents compared to 32 cents profit a yr-ago, driven by expanding content in automotive, industrial and AI server-related applications
** Even with the decline, stock up ~23% in Aug and has roughly doubled YTD
** Three analysts cover the stock, and rating breakdown is 1 "strong buy", 1 "buy", 1 "sell"; there are 2 PTs of $133 and $192, per LSEG data

(Lance Tupper is a Reuters market analyst. The views expressed are his own)
((lance.tupper@tr.com 1-646-279-6380))