Vicor Corporation (VICR) stock surged 39.54% in trading on Tuesday following the release of its second-quarter financial results, which significantly exceeded analyst expectations. The power module manufacturer reported robust revenue growth, a substantial patent litigation settlement, and an optimistic outlook for its AI-related products.

Vicor reported second-quarter earnings per share of $0.91, dramatically surpassing the consensus estimate of $0.18. Revenue for the quarter reached $141 million, a 64.3% increase year-over-year and well above the analyst expectations of $96.43 million. The company's performance was bolstered by a $45 million patent litigation settlement, which contributed to the revenue increase. Additionally, Vicor saw a significant improvement in its gross margin, which rose to 65.3% from 49.8% in the same period last year, reflecting enhanced profitability and operational efficiency.

Looking ahead, Vicor's CEO, Dr. Patrizio Vinciarelli, expressed optimism about the company's future, particularly in the AI sector. He stated, "We are bringing to fruition high performance ChiPs and 2nd gen VPD for AI applications, which should increase product revenues and utilization of our first ChiP fab." This forward-looking statement, combined with the company's strong quarterly performance and strategic positioning in the growing AI market, has fueled investor enthusiasm and contributed to the significant stock price surge.