| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 10 | 51.0x | 17.3x | Bottom tier | |
Growth | 90 | 27.0% | 7.1% | Top tier | |
Quality | 95 | 20.9% | 4.5% | Top tier | |
Safety | 96 | — | 2.6x | Top tier | |
Capital Return | 36 | 0.00% | 0.06% | Bottom tier | |
Momentum | 49 | 356.5% | -1.6% | Around median | |
Sentiment | 22 | 2 | 3 | Bottom tier |
The floor: what the company is worth if growth stopped today
84% of today's price is what a buyer pays for growth that has not happened yet.
10-year US Treasury yield 4.96% as of 2026-10-22. Estimates computed from company data and analyst targets, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Vicor Corporation develops and manufactures high-density power conversion technologies for high-performance computing, artificial intelligence, industrial, automotive, aerospace, and defense applications. Its model relies on two complementary paths: selling power modules, including Factorized Power Architecture and Vertical Power Delivery solutions, and licensing its intellectual property portfolio to equipment manufacturers and hyperscale computing operators. The module business focuses on a group of 100 customers across four markets and four regions, while licensing adds high-margin revenue that varies between periods depending on the timing of agreements and their accounting treatment.
In Q2 fiscal 2026, product revenue and licensing revenue reached $143.4 million, up 26.9% from Q1 fiscal 2026 and up 1.6% from the comparable quarter, which included a $45 million patent dispute settlement. Advanced product revenue rose 45% sequentially to $94.2 million, representing 65.7% of revenue, while brick product revenue increased 2.4% to $49.2 million and accounted for 34.3%. Consolidated gross margin reached 58%, up 280 basis points sequentially, while net income reached $49.8 million and GAAP diluted earnings per share reached $1.04.
Vicor ended Q2 fiscal 2026 with $453.6 million in cash and cash equivalents and $34 million in operating cash flow, compared with capital expenditures of $11.2 million. Inventories reached $104.5 million after rising 10.2% sequentially, while construction in progress, mostly for manufacturing equipment, reached $18.2 million, with approximately $23.5 million remaining to be spent. This liquidity gives the company the capacity to fund expansion, but management emphasized that achieving its long-term revenue target of $2.5 billion requires a second wafer fabrication facility.
The average analyst price target is $347.5 within a range of $320 to $375, with the consensus rating classified as buy; the average is approximately 9% below the 52-week high of $382.65, while the highest target is close to that high. By comparison, the $8.5 billion market capitalization equals approximately 16.4 times trailing twelve-month revenue of $516.7 million, a valuation that assumes strong execution on the backlog, production capacity expansion, and licensing growth. The wide 52-week range between $47.56 and $382.65 increases repricing risk if the second factory is delayed or adoption of the second generation of Vertical Power Delivery slows, particularly given the absence of a published price-to-earnings ratio in the data.
Figures in the text are as of 2026-08-30; the live price is shown at the top of the page.
Product revenue and licensing revenue reached $143.4 million, up 26.9% from the previous quarter, while net income reached $49.8 million. Advanced product revenue jumped 45% sequentially to $94.2 million, while the latest licensing agreement contributed $15 million. Consolidated gross margin rose 280 basis points sequentially to 58%, despite a 6.1% increase in operating expenses to $48.2 million due to contingent legal expenses associated with the licensing agreement.
Vicor completed the initial chipset for its lead customer at a baseline current density of three amperes per square millimeter. The company is working on customized demonstration systems for other customers, with a roadmap targeting five amperes per square millimeter and a package height of 1.5 millimeters. Management says these specifications outperform competing first-generation solutions that deliver only slightly more than one ampere per square millimeter in practice, but the transition from demonstrations to commercial production has not yet been determined.
Automated analysis for informational purposes only — not investment advice.
Management expects revenue above $600 million in fiscal 2026 and an approximately 10% increase in Q3 fiscal 2026. It explained that the expected growth combines the licensing agreement signed in Q2 fiscal 2026 with product revenue growth, targeting double-digit sequential increases in advanced products. It also said its assumptions regarding additional licenses are conservative and do not necessarily assume that new agreements will be signed before the final decision in the second International Trade Commission case during 2027.
Management said the first Andover facility is approaching full utilization as new equipment continues to be added, and that the $2.5 billion revenue target unequivocally requires a second facility. As of July 21, 2026, the company was evaluating several sites and had submitted offers, none of which had yet been accepted, targeting a site that would allow capacity equal to two or three times that of the first facility in stages. The company plans to begin by approximately doubling capacity and then expand gradually to avoid premature and unnecessary depreciation costs.
The first risk is execution of the second factory at a time when the current facility is approaching capacity, as the location of the new facility had not been finalized as of the July 21, 2026 call. The second is licensing revenue volatility, with accounting recognition moving from $15 million in Q2 fiscal 2026 to $5 million in Q3 fiscal 2026, in addition to future agreements depending partly on intellectual property enforcement. Risks also include pressure on product margins, the possibility that Vertical Power Delivery trials do not convert into confirmed production, and a valuation of approximately 16.4 times trailing twelve-month revenue.
Vicor ended Q2 fiscal 2026 with $453.6 million in cash and cash equivalents after a sequential increase of $49.4 million. Operations generated $34 million in cash compared with capital expenditures of $11.2 million, and the company also received a $14.3 million refund from the CHIPS Act investment tax credit on July 13, 2026. On the demand side, the one-year backlog reached $379.7 million after sequential growth of 26%, while the book-to-bill ratio exceeded one.