Tuesday, May 31, 2011

Investopedia: It's Always Something With OmniVision

I've been writing about the markets and individual stocks for a while now, and it always seems like there's something wrong with OmniVision (Nasdaq:OVTI). I remember widespread beliefs that the image sensors that OmniVision makes were destined to become commodities and the company would face ever-shrinking average selling prices (ASPs), margins and earnings. 

Well, as it turns out, industry-leading innovation and the lateral spread of a product into new markets and applications is a pretty good remedy to commoditization. Not only has OmniVision become a leader in the chip sensor business, it has benefited from the introduction of new products like smartphones and tablets as well as deeper penetration into older markets like laptops and webcams. (For more, see Omnivision Hosts A Bear Roast.)


With still more markets yet to penetrate (automotive, security and healthcare), will OmniVision get a little love at last? 



To read the full article, please click the link:
http://stocks.investopedia.com/stock-analysis/2011/Its-Always-Something-With-OmniVision-OVTI-AAPL-MMI-SNE-TSM-LLTC-MU0531.aspx

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