After spending more than two years at no better than a four-star rank, Cypress Semiconductor
Cypress Semiconductor's strong sales momentum in recent quarters and progress in recovering from the recession are catching the attention of more CAPS members who see big growth potential for the company. It saw sales gains in each of its segments in the second quarter, helping revenue jump 43%, reaching levels it hasn't seen since the third quarter of 2008 at the brink of the financial crisis. Cypress doesn't expect the strong quarter to be a one-time showing either, and looks for the demand to continue.
In addition to the growth of Cypress' silicon solutions for touchscreen smartphones -- which is expected to ramp up further after it recently added significant orders from two more major handset suppliers -- the emerging tablet market is also expected to be a significant revenue opportunity going forward. Similar to peer Atmel
The growth isn't all wrapped up in mobile devices, though. Opportunities for its chip technology include its win for its chips to be in the center panel touchscreen of the Chevrolet Volt. With a strong balance sheet and bright outlook for its markets, CAPS members look for Cypress to continue gaining traction.
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Fool contributor Dave Mock owns no shares of companies mentioned here. Cypress Semiconductor is a Rule Breakers choice. Apple is a Stock Advisor selection. The Fool owns shares of Apple and Texas Instruments.
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