OmniVision Still In Sharp Focus

OmniVision (Nasdaq:OVTI) has had its bouts of controversy over the years, but the company is still standing. In fact, the company is not only standing but seems to be thriving as a leading provider of the sensors that enable camera phones, webcams and other imaging devices. That is a good lesson for over-sensitive investors who bristle at the criticisms directed at the companies in their portfolio - for better or worse, ultimately performance tells the story. 


Another Strong Quarter  
OmniVision has a good track record of outperforming analyst expectations and this quarter was no exception. Revenue jumped 30% from the year-ago quarter and 25% on a sequential basis, topping the high end of the analyst's range.

Within that figure, unit shipments jumped 38% while ASPs dropped 10% on a shift in the product mix. This is a good news/bad news aspect of the OmniVision story - while the company's backside illumination technology is first rate, there is always going to be quarter-to-quarter turbulence. That, in turn, may be read by institutional investors as a sign of weakness or business decline, but may be an opportunity for more patient investors to pick up shares. (For more, see Strategies For Quarterly Earnings Season.)  

Please follow the link for the full article:
http://stocks.investopedia.com/stock-analysis/2010/OmniVision-Still-In-Sharp-Focus-OVTI-SNE-AAPL-RIMM-STM-DELL1203.aspx