Maxim Integrated Products, Inc. (NASDAQ:MXIM) unveiled innovative Single-Inductor Multiple-Output (SIMO) power-management integrated circuits (PMICs). These new PMICs can be used in electronics ranging from wearables, sensors smart-home automation hubs and Internet of things (IoT) devices among others.
The company’s new PMICs, MAX17270, MAX77278, MAX77640/MAX77641 and MAX77680/MAX77681, are not only compact in size but will also aid in extending the battery life of portable products. Notably, the new PMICs will keep a check on the heat emitted from the devices while enhancing their efficiency.
We believe Maxim is poised to gain traction with these new PMICs as these comply with the designer’s product criteria of a compact form, enhanced efficiency and extended battery life. Further, these new products are strengthening the company’s product portfolio.
Coming to price performance, shares of Maxim have returned 4.2% on a year-to-date basis against the industry’s decline of 12%.
Market Growth Prospects
Internet of Things (IoT) devices have been gaining significant traction in recent times.
Per IOT Analytics, the number of IoT devices that are active is expected to grow from 7 billion in 2018 to 10 billion by 2020 and 22 billion by 2025, including devices on the consumer and enterprise side.
IoT has been successful in making an impact across all end markets, including industrial, health care and retail platforms. Per a research report from Frost and Sullivan, IoT in healthcare is gaining significant momentum and is expected to reach $72 billion by 2021 alone.
Maxim is well poised to cater to growing needs in this domain on the back of its robust product portfolio, strengthening IoT capabilities and key offerings.
Maxim Integrated Products, Inc. Price and Consensus
Strengthening Product Portfolio: A Key Catalyst
Maxim’s strengthening product portfolio is the key growth driver for the company. Moreover, enhanced and new products help the company in acquiring clients.
The company has recently ventured into the healthcare market with its wearable platform (MAX-HEALTH-BAND and MAX-ECG-MONITOR) that will provide an insight to users regarding on their electrocardiogram (ECG), heart rate and body temperature.
Maxim also unveiled Lithium-ion (Li-ion) battery fuel gauges to extend the battery life of portable products. Accelerating demand for Li-ion batteries in consumer electronic products is expected to bode well for the company in the near term.
Notably, the company’s well diversified product portfolio will continue to aid its performance in all end markets.
Zacks Rank & Stocks to Consider
Currently, Maxim carries a Zacks Rank #4 (Sell).
Some better-ranked stocks in the broader computer and technology sector include Generac Holdings Inc. (NYSE:GNRC) , SS&C Technologies Holdings, Inc. (NASDAQ:SSNC) and Symantec Corporation (NASDAQ:SYMC) . All the three stocks sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks Rank #1 stocks here.
Expected long-term earnings growth rate for Generac, SS&C and Symantec is 6.5%, 13.5% and 7.9%, respectively.
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +21.9% in 2017, our top stock-picking screens have returned +115.0%, +109.3%, +104.9%, +98.6%, and +67.1%.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - 2017, the composite yearly average gain for these strategies has beaten the market more than 19X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
Symantec Corporation (SYMC): Free Stock Analysis Report
SS&C Technologies Holdings, Inc. (SSNC): Free Stock Analysis Report
Maxim Integrated Products, Inc. (MXIM): Free Stock Analysis Report
Generac Holdlings Inc. (GNRC): Free Stock Analysis Report
Original post