SkyWater Technology (NASDAQ:SKYT) Shares Gap Up - Time to Buy?

Key Points

• Shares jumped — SKYT gapped up from $18.16 to $18.96 premarket and last traded near $20.70 on heavy volume, and analysts maintain a consensus "Moderate Buy" with an average price target of $21.50 after several target raises.
• Earnings beat but cautious guidance — the company reported $0.24 EPS and $150.7M revenue, beating estimates, yet guided Q4 to -$0.08–-0.04 EPS and analysts expect a full-year EPS of -$0.22.
• Insiders selling while institutions buy — insiders sold about 384,279 shares (~$5.76M) over 90 days (insiders still own 37.85%), even as institutional and hedge-fund ownership rose to roughly 70%, with large stake increases from firms like Millennium.

SkyWater Technology, Inc. (NASDAQ:SKYT - Get Free Report) shares gapped up prior to trading on Friday . The stock had previously closed at $18.16, but opened at $18.96. SkyWater Technology shares last traded at $20.7030, with a volume of 392,935 shares changing hands.

Analysts Set New Price Targets

Several analysts have recently issued reports on the stock. Needham & Company LLC increased their price target on shares of SkyWater Technology from $15.00 to $20.00 and gave the stock a "buy" rating in a research report on Thursday, November 6th. Weiss Ratings restated a "sell (e+)" rating on shares of SkyWater Technology in a report on Monday. Stifel Nicolaus initiated coverage on SkyWater Technology in a research report on Tuesday, October 21st. They set a "buy" rating and a $25.00 price target on the stock. Piper Sandler upped their price objective on SkyWater Technology from $12.00 to $17.00 and gave the company an "overweight" rating in a research note on Thursday, November 6th. Finally, Cowen reiterated a "buy" rating on shares of SkyWater Technology in a research report on Thursday, November 6th. Five equities research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $21.50.

SkyWater Technology Stock Performance

The company has a current ratio of 0.67, a quick ratio of 0.61 and a debt-to-equity ratio of 0.17. The firm has a market cap of $1.00 billion, a PE ratio of 7.99 and a beta of 3.49. The stock's 50 day moving average price is $17.19 and its 200 day moving average price is $14.08.

SkyWater Technology (NASDAQ:SKYT - Get Free Report) last issued its quarterly earnings data on Wednesday, November 5th. The company reported $0.24 earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.17) by $0.41. SkyWater Technology had a net margin of 36.36% and a negative return on equity of 4.96%. The company had revenue of $150.74 million during the quarter, compared to the consensus estimate of $135.50 million. SkyWater Technology has set its Q4 2025 guidance at -0.080-0.040 EPS. As a group, equities analysts forecast that SkyWater Technology, Inc. will post -0.22 earnings per share for the current fiscal year.

Insider Activity at SkyWater Technology

In other SkyWater Technology news, Director Loren A. Unterseher sold 100,000 shares of the firm's stock in a transaction that occurred on Wednesday, November 26th. The stock was sold at an average price of $14.54, for a total transaction of $1,454,000.00. Following the completion of the sale, the director owned 4,487,394 shares in the company, valued at $65,246,708.76. This trade represents a 2.18% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO Steve Manko sold 50,000 shares of SkyWater Technology stock in a transaction on Friday, November 14th. The stock was sold at an average price of $17.40, for a total transaction of $870,000.00. Following the completion of the sale, the chief financial officer owned 277,122 shares of the company's stock, valued at approximately $4,821,922.80. This trade represents a 15.28% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders sold 384,279 shares of company stock valued at $5,759,943. Insiders own 37.85% of the company's stock.

Hedge Funds Weigh In On SkyWater Technology

Several large investors have recently added to or reduced their stakes in SKYT. JPMorgan Chase & Co. increased its stake in SkyWater Technology by 273.6% during the third quarter. JPMorgan Chase & Co. now owns 46,911 shares of the company's stock valued at $875,000 after purchasing an additional 34,355 shares during the last quarter. Tudor Investment Corp ET AL acquired a new position in shares of SkyWater Technology in the 3rd quarter valued at about $1,202,000. NewEdge Advisors LLC boosted its holdings in shares of SkyWater Technology by 10.7% in the 3rd quarter. NewEdge Advisors LLC now owns 10,350 shares of the company's stock valued at $193,000 after buying an additional 1,000 shares during the period. Mairs & Power Inc. grew its position in shares of SkyWater Technology by 12.7% during the 3rd quarter. Mairs & Power Inc. now owns 184,756 shares of the company's stock valued at $3,448,000 after buying an additional 20,836 shares during the last quarter. Finally, Millennium Management LLC raised its stake in SkyWater Technology by 3,396.4% during the third quarter. Millennium Management LLC now owns 775,364 shares of the company's stock worth $14,468,000 after acquiring an additional 753,188 shares during the period. 70.00% of the stock is currently owned by institutional investors.

SkyWater Technology Company Profile

SkyWater Technology Solutions, Inc is a U.S.-based specialty semiconductor foundry headquartered in Bloomington, Minnesota. The company focuses on the development and manufacture of high-reliability integrated circuits using advanced processes on 200-millimeter wafers.

SkyWater's service offerings span analog/mixed-signal, radio frequency (RF), micro-electromechanical systems (MEMS) and advanced packaging technologies. Its turnkey model includes multi-project wafer (MPW) runs, volume production, design enablement support and assembly and test services, enabling customers to take concepts from prototype to market.

Serving aerospace, defense, automotive, industrial, medical and communications sectors, SkyWater supports applications that demand rigorous performance, quality and traceability.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.