Stock fact sheet · data as of
Diodes Incorporated (DIOD): fair value, margin of safety and Wheel Score
Ticker symbol DIOD · Technology · Semiconductors · United States · Blend
Is DIOD undervalued?
Diodes Incorporated (DIOD) closed at 79.46 on 5 Nov 2026, 64% above the GLS average fair value of 48.35. 6 of the 8 models that produced a number value the shares below the current price. A gap this wide usually means the market is paying for growth or a story the trailing numbers do not show yet; the models work from filed results, not forecasts, so they are conservative by design.
The 8 models disagree widely: GLS Growth gives 0.4632 while Graham Growth gives 107.24. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
Ranked against every other company we cover, neither cheapness nor growth clearly wins for DIOD, so the nightly engine files it under Blend (value score 23, growth score 34, out of 100).
Nine valuation models for DIOD
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 34.54 | -57% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 42.35 | -47% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 107.24 | +35% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 46.87 | -41% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 0.4632 | -99% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 83.77 | +5% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 50.73 | -36% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | - | - | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend; no value tonight |
| EPV | 20.83 | -74% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | 16.23 | -80% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 145.67 | +83% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
On financial health DIOD scores 8/9 (Piotroski): most of the nine tests - positive earnings and cash flow, falling debt, rising margins and turnover - are passed, which is the kind of balance sheet a wheel trader is happy to be assigned. The GLS Moat score is 5.7 out of 10: a record that is solid on some of the four parts the score weighs (returns on capital, pricing power, lasting growth, balance sheet) and weaker on others.
Returns on capital are thin or negative - ROIC 3.4%, ROE 3.5%, ROA 2.7% - with debt at 0.05 times equity and a free-cash-flow yield of 3.9%.
Diodes Incorporated pays no dividend, so the DDM model does not apply and a covered-call holder earns only the premium and any price gain. Revenue comes mainly from Distributor 64%, Direct Sales 36% (quarter Q2 FY2026).
Institutional ownership scores 10/10, insider activity 1/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 8 / 9 | ROIC | 3.4% |
|---|---|---|---|
| GLS Moat | 5.7 / 10 | ROE | 3.5% |
| Debt / equity | 0.05 | ROA | 2.7% |
| Free-cash-flow yield | 3.9% | Payout ratio | 0% |
| Institutions | 10 / 10 | Insiders · Congress | 1 · 5 / 10 |
Wheel Score 33: Weak
DIOD scores 33 out of 100 on the Wheel Score, in the Weak band (under 50): it fails filter 3, below fair value - trades 64% above our fair value, and the parts are thin too - value weak, premium good, moat fair, health strong, red flags strong, option trading weak, stability weak. The score is not a judgement on the company; it says the price, quality and premium do not line up for selling puts on it today.
Implied volatility is 75% on the near-the-money contracts 20-60 days out - above the 60% top of the sweet spot. It still passes the 25-80% filter, but the Wheel Score rewards it less because volatility this high usually comes with a reason. Chain open interest is thin - 1,583 contracts across every expiry - so fills at a fair price are not guaranteed; a 30-45-day put may not exist at a usable strike.
Volume runs at 577k shares a day on a market cap of $3.7B, with a beta of 1.90 - a high beta, so the stock tends to move more than the market and a strike can be gapped through; the Stability part of the Wheel Score rates that weak.
| Filter | Wheel Trade Filter | Result | Detail |
|---|---|---|---|
| 1 | Options that actually trade | Passes | Listed options with 1,000+ contracts of open interest and 100+ traded a day |
| 2 | A real business, not a gamble | Passes | Profitable over the last twelve months - not a speculative stock, fund or note |
| 3 | Below fair value | Fails | trades 64% above our fair value |
| 4 | Financially healthy | Passes | Piotroski F-score 6 or more out of 9 (a company with no score on file passes) |
| 5 | Can repay its debt | Passes | Long-term debt repaid from 3 years of operating cash flow or less (6 for real estate and utilities; banks and insurers are not judged on it) |
| 6 | No serious red flags | Passes | Red Flags score 60 or more out of 100 (earnings, margins, debt, analysts, filings and price checked the same way for every stock) |
| 7 | A premium worth selling | Passes | Implied volatility 25-80% (enough premium, not a lottery ticket) |
| 8 | Big enough | Passes | Market cap $1 billion or more |
| 9 | Not a penny stock | Passes | Share price $5 or more |
| How it ranks | Rating | From | |
|---|---|---|---|
| Value | Weak | 64% above fair value | |
| Premium | Good | implied volatility 75% | |
| Moat | Fair | moat 5.7/10 | |
| Health | Strong | Piotroski 8/9 | |
| Red Flags | Strong | Red Flags score 95/100 | |
| Option trading | Weak | 215 contracts a day, 1,583 open interest | |
| Stability | Weak | beta 1.90, $3.7B company |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.
Upcoming events
Diodes Incorporated reports earnings on 5 Nov 2026 (after the close) - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk.
No analyst upgrades or downgrades were recorded in the last 30 days.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Semiconductors
The 12 companies below are the closest to Diodes Incorporated by market cap within the Semiconductors industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| KLIC Kulicke and Soffa Industries, Inc. | 68.44 | 21.71 | -215% | 33Weak | $3.6B |
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| ACMR ACM Research, Inc. | 44.43 | 54.41 | +18% | 31Weak | $2.9B |
| SYNA Synaptics Incorporated | 117.49 | 138.82 | +15% | 23Weak | $4.7B |
| ACLS Axcelis Technologies, Inc. | 92.14 | 62.62 | -47% | 28Weak | $2.8B |
| CAMT Camtek Ltd. | 101.46 | 31.30 | -224% | 30Weak | $4.7B |
| AMBA Ambarella, Inc. | 60.92 | 7.60 | -702% | 24Weak | $2.7B |
| POWI Power Integrations, Inc. | 46.80 | 20.64 | -127% | 35Weak | $2.6B |
| MXL MaxLinear, Inc. | 56.85 | - | - | 20Weak | $5.2B |
| PENG Penguin Solutions, Inc. | 48.35 | 81.39 | +41% | 37Weak | $2.5B |
| NVTS Navitas Semiconductor Corp | 9.33 | - | - | 20Weak | $2.4B |
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Start free See the Sunday ScanQuestions about DIOD
Is DIOD undervalued right now?
No: at 79.46 the stock trades 64% above the GLS average fair value of 48.35 (data as of 5 Nov 2026), well beyond what trailing earnings, cash flow and book value support.
What is the Wheel Score of DIOD and what does it mean?
DIOD scores 33 out of 100 (Weak) - it fails Wheel Trade Filter 3. The Wheel Score ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned - in two parts: the 9 pass/fail Wheel Trade Filters (busy options, a real business, below fair value, Piotroski 6 or more, debt it can repay, a Red Flags score of 60 or more, implied volatility of 25-80%, a $1 billion company, $5 a share) and a ranking of how strongly a stock passes on value, premium, moat, health, red flags, option trading and stability. A stock that fails any filter stays under 70; 70-84 is Good, 85 and above is Prime. The Sunday Scan is the top 10 that pass, sorted by Wheel Score.
What is the GLS fair value for DIOD?
48.35 per share as of 5 Nov 2026 - the simple average of the 8 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Diodes Incorporated report earnings next?
The next earnings report is due on 5 Nov 2026 (after the close), 0 days from the data date of 5 Nov 2026. The Calendars page lists every upcoming report with its time of day.
Does DIOD have listed options, and how liquid are they?
Yes. The nightly snapshot found 52 listed contracts with 1,583 open interest across all expiries and implied volatility of 75% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.