---
title: "Vishay reports November 4 with a 24% gross margin guide and the stock down 28% from its high"
description: "Vishay guided third-quarter gross margin to 24%, hitting its exit-2026 goal a quarter early, while its stock sits near its post-earnings low. The report before the open on November 4 tests whether AI power demand reprices the boring end of semiconductors."
publisher: "The Inference"
section: "Chips"
published: 2026-10-30T15:36:28.752Z
modified: 2026-10-30T15:36:28.752Z
canonical: https://theinference.org/article/vishay-reports-november-4-with-a-24-gross-margin-guide-and-the-stock-down-28-from-its-high
language: en
keywords: "Vishay, Semiconductors, Earnings, Guidance, Stock Moves"
---

# Vishay reports November 4 with a 24% gross margin guide and the stock down 28% from its high

> Vishay guided third-quarter gross margin to 24%, hitting its exit-2026 goal a quarter early, while its stock sits near its post-earnings low. The report before the open on November 4 tests whether AI power demand reprices the boring end of semiconductors.

## A margin promise meets a 28% drawdown

[Vishay Intertechnology](https://theinference.org/markets/companies/vishay-intertechnology), a components maker in Malvern, Pennsylvania, founded in 1962 by Felix Zandman, builds the least glamorous parts on a circuit board: resistors, diodes, capacitors and power MOSFETs, the transistor switches that manage power flow [6][2][5]. [Results for the fiscal third quarter, ended October 3, land before the New York Stock Exchange opens on Wednesday, November 4](https://www.marketscreener.com/news/vishay-intertechnology-to-announce-third-quarter-results-on-wednesday-november-4-ce785dd9dc8bff26) [5].

![Resistors, diodes, capacitors and a transistor on a printed circuit board](https://storage.googleapis.com/theinference-public/img/e88a5ad1fefcfbfc.jpg)

*Resistors, diodes, capacitors and a transistor: the least glamorous parts on a circuit board, and Vishay's whole business. (Soumyapatra13 via Wikimedia Commons)*

[Management guided gross margin to 24%, plus or minus 50 basis points](https://www.msn.com/en-us/news/other/why-is-vishay-vsh-down-7-1-since-last-earnings-report/ar-AA2bzqf8), hitting its exit-2026 goal a quarter early [4][1]. The market has answered with a 28% three-month drawdown: at $26.71 on October 27, the stock sat about 2% above its post-earnings low of $26.08, down from a twelve-month high of $69.47 [1][2].

The slide began with [the August 5 report](https://www.msn.com/en-us/money/economy/vsh-q2-deep-dive-margin-expansion-amid-missed-revenue-and-strong-forward-guidance/ar-AA29xtJL), when revenue of $888.6 million missed the Street's $904.9 million even as adjusted earnings of $0.19 beat the $0.15 consensus [3][2]. The stock has since bounced to $29.43, still up 103% this year [5].

## The order book keeps backing management

The demand data sides with management. [Book-to-bill, the ratio of orders to shipments, reached 1.32](https://seekingalpha.com/article/4931153-vishay-intertechnology-inc-vsh-q2-2026-earnings-call-transcript), so orders ran 32% ahead of shipments, and backlog rose 18% to $1.9 billion, about 6.1 months of sales [4]. Industrial revenue jumped 30.1% year over year on smart-grid, AI power and high-voltage DC programs [4], and Americas passive-component orders hit a 20-year high on AI power, smart-grid and defense demand [1].

Pricing is what makes the guide testable. Average selling prices rose 2% sequentially, increases are announced on about a third of running part numbers, and there is little sign of customers pulling orders forward to dodge them [1][4][3]. Adjusted revenue of $918.6 million, the company's preferred measure, cleared the top of its own guidance [4].

*Chart: **Revenue has risen six straight quarters; the Street now sits at the top of the guide** Line chart of Vishay quarterly revenue from Q3 2024 through Q2 2026, with the Q3 2026 guidance midpoint shown as an estimate with a range, and a Street-consensus reference line above the midpoint*

*Quarterly GAAP revenue in millions of US dollars from SEC filings; the final point is management guidance at the midpoint of its range, and the reference line is the Street consensus. [1][3][4][9]*

## Consensus at the top of the guide sets up a midpoint miss

The bear case has receipts too. The Street models earnings of $0.29 a share on $971.9 million of revenue, near the top of the $945–975 million guide, so the $960 million midpoint would read as a shortfall [1]. The guide was issued 2% above the Street's $941.6 million estimate; estimates have since climbed past its midpoint [3].

The quarter also faces costs revenue does not: the $830 million equity raise added 17.25 million shares, the effective tax rate is guided to a stubborn 35–40%, and inventory built to $807 million [4][1]. Short interest stands at 11.67% [8]. Management is watching for double ordering as lead times stretch, and recent product releases quote 8 to 16 weeks [1][7]. Into that gap stepped Brooklands Fund Management, [reporting a new stake of 794,600 shares worth about $25.9 million](https://www.marketbeat.com/instant-alerts/filing-vishay-intertechnology-inc-vsh-shares-newly-purchased-by-brooklands-fund-management-ltd-2026-10-30/), its tenth-largest holding [2].

## Twenty-four is the number to watch

Vishay lost $31 million in 2024 on $2.9 billion of sales [6]; a company that spent that year losing money is now promising a 30% gross margin by 2028 [1]. Hold 24% with revenue near the top of the range and a December guide pointing higher, and the turnaround stays intact; miss, and the three-month slide reads as vindication [1].

*Chart: **The 24% gross margin guide is the number November 4 has to prove** Column chart of Vishay gross margin: 19.5% in Q2 2025, 22.6% adjusted in Q2 2026, and 24% guided for Q3 2026*

*Gross margin, percent of revenue; the middle bar is adjusted, the final bar is guidance plus or minus 50 basis points. [1][4]*

The tell on the call is book-to-bill [1]. Comfortably above 1, with distributor inventory holding near 18 weeks, down from 20, says demand is real; a slide toward parity alongside rising channel stock would say customers were ordering twice [1][4].

## Takeaway

Vishay's 24% gross margin guide, issued a quarter ahead of its own 2026 exit target, meets a Street that has bid revenue estimates to the top of the range: November 4's print, and the book-to-bill behind it, decide whether the 28% drawdown was fear or foresight.

## Sources

1. [Earnings Whispers via Finviz, "Vishay's 24% Margin Promise Meets A Skeptical Market As Shares Sink Near Lows", 27 October 2026](https://finviz.com/news/409167/vishays-24-margin-promise-meets-a-skeptical-market-as-shares-sink-near-lows)
2. [MarketBeat, "Vishay Intertechnology, Inc. $VSH Shares Newly Purchased by Brooklands Fund Management Ltd", 30 October 2026](https://www.marketbeat.com/instant-alerts/filing-vishay-intertechnology-inc-vsh-shares-newly-purchased-by-brooklands-fund-management-ltd-2026-10-30/)
3. [StockStory via MSN, "VSH Q2 deep dive: Margin expansion amid missed revenue and strong forward guidance", 5 August 2026](https://www.msn.com/en-us/money/economy/vsh-q2-deep-dive-margin-expansion-amid-missed-revenue-and-strong-forward-guidance/ar-AA29xtJL)
4. [Zacks Investment Research via MSN, "Why is Vishay (VSH) down 7.1% since last earnings report?", 4 September 2026](https://www.msn.com/en-us/news/other/why-is-vishay-vsh-down-7-1-since-last-earnings-report/ar-AA2bzqf8)
5. [GlobeNewswire via MarketScreener, "Vishay Intertechnology To Announce Third Quarter Results on Wednesday, November 4", 6 October 2026](https://www.marketscreener.com/news/vishay-intertechnology-to-announce-third-quarter-results-on-wednesday-november-4-ce785dd9dc8bff26)
6. [Wikipedia, "Vishay Intertechnology", retrieved 30 October 2026](https://en.wikipedia.org/wiki/Vishay_Intertechnology)
7. [StockTitan, "Vishay Intertechnology (VSH) Stock News", retrieved 30 October 2026](https://www.stocktitan.net/news/VSH/)
8. [Seeking Alpha, "Vishay Intertechnology, Inc. (VSH) Q2 2026 Earnings Call Transcript", 5 August 2026](https://seekingalpha.com/article/4931153-vishay-intertechnology-inc-vsh-q2-2026-earnings-call-transcript)
9. [Vishay Intertechnology, quarterly figures from its SEC filings, retrieved 30 October 2026](https://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0000103730)


---

Vishay reports November 4 with a 24% gross margin guide and the stock down 28% from its high — The Inference. Canonical: https://theinference.org/article/vishay-reports-november-4-with-a-24-gross-margin-guide-and-the-stock-down-28-from-its-high