you can definitely convert a directive to a component in Angular, and in many cases, it's a good practice to consider this conversion as your application evolves or when the directive's responsibilities become more complex.

 

 

We should convert directives to components because...

• Logic That Gets More Complex: A component is the way to go if your directive starts taking care of more complicated logic, managing its own state, or needs lifecycle hooks that go beyond basic DOM manipulation. Complex behavior and data management are the intended uses of the components.
• Template Requirement: A directive should be a component if it needs to render a substantial amount of the DOM or its own template. Existing elements are mainly enhanced by directives.
• The @Input() and @Output() properties allow directives to define and manage an input/output API for data binding and communication, while components are ideally suited for this task.
• Readability and Maintainability: A feature's logic and template might become quite large, thus breaking it down into its own component can help keep the code organized, readable, and maintainable.
• Testability: Components are generally easier to test in isolation because they have a defined template and class. Testing directives that heavily rely on the host element's context can be more cumbersome.

 

 

 

How to Convert a Directive to a Component:

Lets we have a directive - 
ng generate directive dr-highlight-element

Using above Directive 

 

 

Lets convert this into component
ng generate component my-highlight

 

update app.component.html