Skyworks Solutions (NASDAQ:SWKS) Shares Gap Down on Analyst Downgrade

Skyworks Solutions, Inc. (NASDAQ:SWKS) gapped down prior to trading on Wednesday after Citigroup lowered their price target on the stock from $77.00 to $64.00. The stock had previously closed at $64.68, but opened at $58.59. Citigroup currently has a neutral rating on the stock. Skyworks Solutions shares last traded at $60.0940, with a volume of 2,453,515 shares.

Several other equities analysts also recently issued reports on SWKS. Royal Bank Of Canada cut their target price on Skyworks Solutions from $80.00 to $70.00 and set a “sector perform” rating on the stock in a research report on Wednesday. TD Cowen increased their price objective on Skyworks Solutions from $65.00 to $75.00 and gave the company a “hold” rating in a report on Wednesday, May 6th. Morgan Stanley lifted their target price on Skyworks Solutions from $69.00 to $76.00 and gave the stock an “equal weight” rating in a report on Wednesday, May 6th. UBS Group increased their price target on shares of Skyworks Solutions from $63.00 to $75.00 and gave the stock a “neutral” rating in a report on Wednesday, May 6th. Finally, Benchmark reissued a “hold” rating on shares of Skyworks Solutions in a research report on Monday. One investment analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, sixteen have issued a Hold rating and three have given a Sell rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus target price of $75.50.

Key Skyworks Solutions News

Here are the key news stories impacting Skyworks Solutions this week:

• Positive Sentiment: Skyworks reported fiscal Q3 revenue of $934.8 million and non-GAAP diluted EPS of $1.08, beating analyst expectations of approximately $926 million and $1.03, respectively. Automotive and data-center markets were cited as growth drivers. Skyworks fiscal third-quarter results
• Positive Sentiment: Fiscal Q4 EPS guidance of $1.27 is above the $1.23 consensus estimate, while revenue guidance of $1.0 billion to $1.1 billion is broadly in line with expectations, suggesting near-term earnings support. Skyworks Q3 earnings call highlights
• Positive Sentiment: The company authorized a new $2 billion share-repurchase program, which could support per-share results and signals confidence in its capital position. Skyworks also announced expected leadership appointments for the combined Skyworks-Qorvo business. Skyworks and Qorvo leadership announcement
• Neutral Sentiment: Regulatory approvals for the Qorvo transaction are progressing, but Skyworks expects to raise roughly $2 billion in acquisition debt financing. The deal could expand scale and product capabilities, though integration, financing and approval risks remain. Skyworks Qorvo combination update
• Negative Sentiment: Revenue fell 3.1% year over year and EPS declined from $1.33 in the prior-year quarter, highlighting continued pressure in parts of Skyworks’ wireless and communications markets.
• Negative Sentiment: Morgan Stanley maintained a Hold rating but cut its price target to $72, citing the dividend suspension and mixed end-market trends. The dividend suspension removes an important income component for shareholders and weighs on sentiment. Morgan Stanley Skyworks price-target update

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the stock. United Services Automobile Association purchased a new stake in Skyworks Solutions in the 1st quarter worth approximately $236,000. Focus Partners Wealth increased its holdings in shares of Skyworks Solutions by 99.0% during the 1st quarter. Focus Partners Wealth now owns 9,451 shares of the semiconductor manufacturer’s stock valued at $611,000 after purchasing an additional 4,702 shares in the last quarter. EverSource Wealth Advisors LLC increased its holdings in shares of Skyworks Solutions by 137.4% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 2,298 shares of the semiconductor manufacturer’s stock valued at $171,000 after purchasing an additional 1,330 shares in the last quarter. Gamco Investors INC. ET AL acquired a new position in shares of Skyworks Solutions in the 2nd quarter valued at $259,000. Finally, Gabelli Funds LLC acquired a new position in shares of Skyworks Solutions in the 2nd quarter valued at $1,004,000. 85.43% of the stock is currently owned by hedge funds and other institutional investors.

Skyworks Solutions Price Performance

The stock’s fifty day moving average is $69.21 and its 200-day moving average is $62.83. The stock has a market capitalization of $9.25 billion, a PE ratio of 25.53 and a beta of 1.50. The company has a debt-to-equity ratio of 0.09, a current ratio of 2.38 and a quick ratio of 1.70.

Skyworks Solutions (NASDAQ:SWKS) last released its quarterly earnings results on Tuesday, July 28th. The semiconductor manufacturer reported $1.08 EPS for the quarter, beating the consensus estimate of $1.03 by $0.05. Skyworks Solutions had a net margin of 8.93% and a return on equity of 11.52%. The company had revenue of $934.80 million for the quarter, compared to analyst estimates of $925.97 million. During the same quarter last year, the business earned $1.33 earnings per share. The firm’s revenue was down 3.1% on a year-over-year basis. Skyworks Solutions has set its Q4 2026 guidance at 1.270-1.270 EPS. As a group, equities analysts predict that Skyworks Solutions, Inc. will post 3.62 earnings per share for the current fiscal year.

Skyworks Solutions Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Tuesday, June 16th. Stockholders of record on Tuesday, May 26th were given a dividend of $0.71 per share. The ex-dividend date was Tuesday, May 26th. This represents a $2.84 dividend on an annualized basis and a dividend yield of 4.6%. Skyworks Solutions’s dividend payout ratio (DPR) is 117.84%.

Skyworks Solutions Company Profile

Skyworks Solutions, Inc is a leading semiconductor company that designs and manufactures analog and mixed-signal semiconductors for use in radio frequency (RF) and mobile communications markets. The company’s portfolio includes power amplifiers, front-end modules, switches, filters, low-noise amplifiers, and other components that enable wireless connectivity in smartphones, tablets, wearables, automotive telematics, and broadband infrastructure. With a focus on energy efficiency and integration, Skyworks serves a broad range of customers in the mobile, Internet of Things (IoT), automotive, connected home, and industrial end markets.

Headquartered in Irvine, California, Skyworks operates a network of design, development, and manufacturing facilities across North America, Europe, and the Asia-Pacific region.