Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of OmniVision Technologies
So what: OmniVision's current-quarter revenue outlook missed estimates so badly -- $255 million to $275 million versus the analyst consensus of $306 million -- that investors can't help but assume a big market share loss on the smartphone side. The stock has been under pressure in recent months on fears that Apple
Now what: Expect the pain to continue in the short term. Some Wall Street analysts estimate that OmniVision has likely already lost half of its business from Apple, so don't expect the stock to see an earnings growth-fueled bounce anytime soon. Of course, with the shares now down more than 50% over the past three months alone, OmniVision could be a long-term opportunity worth looking into.
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