Skyworks Solutions (NASDAQ:SWKS) Shares Down 9.3% - Should You Sell?

Key Points

• Skyworks Solutions shares fell 9.3% to about $80.09 in midday trading, with volume roughly 55% below the average daily level.
• Analysts remain cautious: the stock has a consensus “Hold” rating and an average price target of $74, with several firms recently lowering targets to between $52 and $70.
• The company exceeded quarterly earnings and revenue estimates, reporting $1.08 in EPS on $934.8 million in revenue, but revenue declined 3.1% year over year and EPS fell from $1.33 in the prior-year quarter.

Shares of Skyworks Solutions, Inc. (NASDAQ:SWKS - Get Free Report) were down 9.3% on Monday . The company traded as low as $80.92 and last traded at $80.0930. Approximately 2,127,342 shares were traded during mid-day trading, a decline of 55% from the average daily volume of 4,735,768 shares. The stock had previously closed at $88.35.

Analysts Set New Price Targets

Several research analysts have recently weighed in on the company. JPMorgan Chase & Co. lowered their target price on Skyworks Solutions from $70.00 to $65.00 and set a "neutral" rating on the stock in a report on Wednesday, July 29th. Royal Bank Of Canada lowered their price objective on Skyworks Solutions from $80.00 to $70.00 and set a "sector perform" rating on the stock in a research note on Wednesday, July 29th. BMO Capital Markets started coverage on Skyworks Solutions in a report on Friday, August 21st. They issued a "market perform" rating and a $70.00 target price for the company. UBS Group raised their target price on Skyworks Solutions from $65.00 to $70.00 and gave the stock a "neutral" rating in a research note on Wednesday, July 29th. Finally, Mizuho lowered their price target on shares of Skyworks Solutions from $55.00 to $52.00 and set an "underperform" rating on the stock in a research report on Wednesday, July 29th. Four equities research analysts have rated the stock with a Buy rating, eighteen have issued a Hold rating and two have assigned a Sell rating to the company's stock. According to MarketBeat, Skyworks Solutions presently has a consensus rating of "Hold" and an average price target of $74.00.

Skyworks Solutions Stock Performance

The firm has a market cap of $12.31 billion, a price-to-earnings ratio of 42.35, a price-to-earnings-growth ratio of 2.43 and a beta of 1.52. The stock has a fifty day moving average price of $66.20 and a 200-day moving average price of $65.10. The company has a quick ratio of 1.94, a current ratio of 3.10 and a debt-to-equity ratio of 0.09.

Skyworks Solutions (NASDAQ:SWKS - Get Free Report) last released its earnings results on Tuesday, July 28th. The semiconductor manufacturer reported $1.08 EPS for the quarter, beating analysts' consensus estimates of $1.03 by $0.05. The company had revenue of $934.80 million during the quarter, compared to the consensus estimate of $925.97 million. Skyworks Solutions had a return on equity of 10.74% and a net margin of 7.23%.Skyworks Solutions's quarterly revenue was down 3.1% compared to the same quarter last year. During the same quarter last year, the company earned $1.33 earnings per share. Skyworks Solutions has set its Q4 2026 guidance at 1.270-1.270 EPS. On average, analysts expect that Skyworks Solutions, Inc. will post 3.64 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Skyworks Solutions

A number of institutional investors have recently modified their holdings of the business. Jackson Creek Investment Advisors LLC acquired a new position in Skyworks Solutions during the 4th quarter valued at about $1,388,000. AlphaQuest LLC raised its holdings in shares of Skyworks Solutions by 662.4% during the fourth quarter. AlphaQuest LLC now owns 53,355 shares of the semiconductor manufacturer's stock valued at $3,383,000 after buying an additional 46,357 shares during the last quarter. Bank of America Corp DE increased its holdings in shares of Skyworks Solutions by 22.8% during the first quarter. Bank of America Corp DE now owns 2,129,451 shares of the semiconductor manufacturer's stock valued at $114,032,000 after purchasing an additional 396,057 shares during the period. Eurizon Capital SGR S.p.A. acquired a new position in shares of Skyworks Solutions during the fourth quarter valued at approximately $27,949,000. Finally, AXQ Capital LP raised its stake in shares of Skyworks Solutions by 960.0% in the 4th quarter. AXQ Capital LP now owns 27,730 shares of the semiconductor manufacturer's stock worth $1,758,000 after buying an additional 25,114 shares in the last quarter. Institutional investors own 85.43% of the company's stock.

Skyworks Solutions Company Profile

Skyworks Solutions, Inc NASDAQ: SWKS is a semiconductor company that develops and manufactures analog and mixed-signal products used to connect people, devices and networks. Its portfolio includes radio-frequency (RF) and wireless connectivity components such as amplifiers, attenuators, filters, switches, modulators, front-end modules and integrated solutions.

The company's products are designed for applications including smartphones and other mobile devices, automotive systems, broadband and wireless infrastructure, industrial equipment, medical devices, smart-home products and the Internet of Things.

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