OmniVision Shares Jumped: What You Need to Know


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 (NAS: OVTI) surged more than 12% in early trading in anticipation of what most hope is a good earnings report tomorrow night.

So what: The maker of camera image sensors for the iPhone recently admitted that it wasn't the sole supplier to Apple (NAS: AAPL) , a surprise that left many investors cold. Even after today's action, the stock is down more than 60% year to date.

Now what: OmniVision has fallen so far, so fast that an anticipation rally is probably justified. The stock trades for less than half the long-term earnings growth analysts expect. I'm a shareholder, and I can't see selling at that price. What's your take? What you buy shares of OmniVision at current prices? Please weigh in using the comments box below.

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At the time thisarticle was published Fool contributorTim Beyersis a member of theMotley Fool Rule Breakersstock-picking team. He owned shares of Apple and OmniVision at the time of publication. Check out Tim'sportfolio holdingsandFoolish writings, or connect with him onGoogle+or Twitter, where he goes by@milehighfool. You can also get his insightsdelivered directly to your RSS reader.The Motley Fool owns shares of Apple.Motley Fool newsletter serviceshave recommended buying shares of Apple.Motley Fool newsletter serviceshave recommended creating a bull call spread position in Apple. Try any of our Foolish newsletter servicesfree for 30 days. We Fools don't all hold the same opinions, but we all believe thatconsidering a diverse range of insightsmakes us better investors. The Motley Fool has adisclosure policy.

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