GregT

Linear Technology, Maxim Integrated: The Other Lucrative Niche in Semiconductors

Yes, their profit margins are incredible. But take a look at growth before you buy. Their growth over the past several years has been terrible. Consider that they make chips for things like PDA, cell phone, notebook PCs, etc that have grown tremendously over the past 5 and 10 years. Then look at revenunue growth at LLTC and you'll see that it has not kept pace. Great balance sheet and incredible margins, but their stock has traded in the same general range for the last 5 to 8 years because they are not growing. Take away the share repurchases and their EPS growth has been absolutely terrible.