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Qorvo Inc (QRVO)
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Qorvo (QRVO) AI Stock Analysis

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QRVO

Qorvo

(NASDAQ:QRVO)

Rating:69Neutral
Price Target:
$92.00
▲(8.02% Upside)
Qorvo's overall score of 69 reflects a company with strong operational efficiency and strategic initiatives that are being challenged by overvaluation concerns and revenue growth issues. Positive corporate actions and encouraging earnings guidance are tempered by macroeconomic uncertainties and industry-specific challenges.
Positive Factors
Financial Performance
Qorvo delivered a strong beat and raise performance in its FY1Q26, handily exceeding both the consensus and its own guidance for revenue, gross margin, and EPS.
Product Development
The company reiterated expectations for greater than +10% YOY content growth in the iPhone 17, most notably driven by the inclusion of Qorvo’s envelope tracker PMIC in the upcoming launch.
Negative Factors
Market Decline
The exit of the mid-tier China Android business remains on track, with roughly two-thirds of the $150-200 million decline set to occur in 2H of the year.
Operational Costs
OpEx increases on fab transitions and FX.

Qorvo (QRVO) vs. SPDR S&P 500 ETF (SPY)

Qorvo Business Overview & Revenue Model

Company DescriptionQorvo, Inc. develops and commercializes technologies and products for wireless, wired, and power markets worldwide. The company operates through two segments, Mobile Products, and Infrastructure and Defense Products. It offers mobile devices, such as smartphones, wearables, laptops, tablets and other devices; radio frequency power management integrated circuits, ultra-wideband (UWB) system-on-a-chip (SoC) and system-in-package (SiP) solutions, MEMS-based sensors, antenna tuners, and antennaplexers, as well as discrete multiplexers, duplexers, filters, and switches; and cellular base stations include switch-low noise amplifier (LNA) modules, variable gain amplifiers, integrated power amplifier (PA) Doherty modules, discrete LNAs, and high power GaN amplifiers. The company's also provides SiC products, such as Schottky diodes and transistors for automotive, industrial, IT infrastructure and renewable energy markets; SoC hardware, firmware, and application software for smart home applications; power management solutions include programmable power management integrated circuits (ICs) and power application controllers; RF products and compound semiconductor foundry services to defense primes and other global defense and aerospace customers; RF connectivity and UWB SoC solutions for automotive connectivity; and Wi-Fi products, such as PAs, switches, LNAs and bulk acoustic wave filters, as well as integrated solutions including front end modules (FEMs) and integrated FEMs. It sells its products directly to original equipment manufacturers and original design manufacturers, as well as through a network of sales representative firms and distributors. The company was founded in 1957 and is headquartered in Greensboro, North Carolina.
How the Company Makes MoneyQorvo makes money by designing, manufacturing, and selling a broad portfolio of RF solutions and semiconductor products to original equipment manufacturers (OEMs) and other technology companies. A significant portion of its revenue comes from the sale of components used in mobile devices, such as smartphones and tablets, where its RF modules and filters are essential for wireless communication. Additionally, Qorvo generates income from providing RF solutions for telecommunications infrastructure, including base stations and networking equipment that support 4G and emerging 5G networks. The company also earns revenue in defense and aerospace markets by supplying RF technologies for radar and communications systems. Strategic partnerships and collaborations with leading tech companies further bolster Qorvo's market presence and contribute to its earnings by expanding its product offerings and access to new markets.

Qorvo Earnings Call Summary

Earnings Call Date:Jul 29, 2025
(Q1-2026)
|
% Change Since: 0.59%|
Next Earnings Date:Oct 29, 2025
Earnings Call Sentiment Neutral
The earnings call reflected a strong start to fiscal 2026 with significant performance in several key areas, including content growth at the largest customer, defense and aerospace, and infrastructure. However, challenges remain in the automotive sector, Android revenue, and ongoing restructuring efforts. While the highlights are noteworthy, the lowlights indicate areas of concern that could affect future performance.
Q1-2026 Updates
Positive Updates
Strong First Quarter Performance
Qorvo delivered a strong first quarter of fiscal 2026 with revenue of $819 million, non-GAAP gross margin of 44%, and non-GAAP diluted earnings of $0.92 per share, all exceeding guidance.
Content Growth at Largest Customer
Qorvo achieved more than 10% content growth year-over-year in the fall launch at its largest customer, contributing to strong revenue performance.
Defense and Aerospace Growth
Defense and Aerospace (D&A) remains HPA's largest market by revenue, with expectations of durable year-over-year growth supported by increases in U.S. and allied defense spending.
Wi-Fi 7 and Ultra-Wideband Opportunities
Qorvo secured a Wi-Fi 7 design win in augmented reality glasses and is leveraging its ultra-wideband and Matter portfolio to scale new use cases and diversify revenue.
Infrastructure and DOCSIS 4.0 Momentum
Strong momentum in DOCSIS 4.0 broadband cable access, with Qorvo releasing two new GaN-based power doubler amplifiers.
Improved Financial Metrics
Operating cash flow of $183 million and free cash flow of $145 million were reported, showing financial health and operational efficiency.
Negative Updates
Challenges in Automotive Program
An automotive customer delayed a program ramp that included Qorvo's ultra-wideband SoC, impacting CSG's growth expectations for fiscal 2026.
Decline in Android Revenue
Android revenue declined 18% year-over-year to approximately $240 million, with China-based Android revenue down 29% year-over-year.
Closure of Manufacturing Facilities
Qorvo announced the closure of its Greensboro fab and the transition of SAW filter production to its Richardson, Texas fab, highlighting ongoing restructuring challenges.
Potential Tariff Impacts
Some limited component inventory buffering due to tariff dynamics, potentially impacting future demand and sales.
Company Guidance
During the first quarter of fiscal 2026, Qorvo provided guidance reflecting strong performance across its segments. The company's revenue was reported at $819 million with a non-GAAP gross margin of 44% and non-GAAP diluted earnings of $0.92 per share, surpassing expectations. For the upcoming quarter, Qorvo projects revenue between $975 million and $1.075 billion, with a gross margin of 48% to 50% and EPS of $1.75 to $2.25. Notable highlights include a more than 10% year-over-year content growth at its largest customer and robust demand in defense and aerospace, contributing to a $7 billion sales funnel. Qorvo also highlighted ongoing factory optimizations and cost-saving initiatives, including the closure of its North Carolina fab and the transition of SAW filter production to Texas, with anticipated efficiency benefits starting in fiscal 2027. Despite strong results, the company remains cautious, citing macroeconomic uncertainties and strategic pivots, such as exiting lower-margin Android segments and pushing out certain CSG revenues to fiscal 2027.

Qorvo Financial Statement Overview

Summary
Qorvo maintains a solid balance sheet with moderate leverage and strong cash flow, but faces declining revenues and profitability challenges. The income statement reflects margin compression, while cash flow is a strong point, supporting liquidity and resilience.
Income Statement
68
Positive
Qorvo's income statement reveals a challenging period with declining revenues and net income. The gross profit margin for the recent year is approximately 41.3%, indicating efficient production but reduced compared to past performance. The net profit margin is notably low at 1.5%, reflecting margin compression and profitability challenges. Revenue has decreased by 1.3% year-over-year, showing a declining trend in sales. The EBIT margin remains thin at 2.6%, highlighting pressures on operating profitability.
Balance Sheet
72
Positive
The balance sheet shows a stable financial position with a debt-to-equity ratio of 0.46, indicating moderate leverage. The equity ratio is strong at 57.2%, suggesting financial stability and a solid capital structure. However, the return on equity has decreased to 1.6%, reflecting reduced profitability relative to shareholder investment.
Cash Flow
75
Positive
Qorvo's cash flow statement highlights a robust free cash flow to net income ratio, underscoring strong cash generation relative to profits. Despite a reduction in free cash flow growth, the company's operating cash flow remains positive and supports financial flexibility. The operating cash flow to net income ratio is healthy, indicating effective cash management.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue3.65B3.72B3.77B3.57B4.65B4.02B
Gross Profit1.56B1.54B1.51B1.34B2.29B1.88B
EBITDA300.86M441.06M463.74M531.94M1.61B1.34B
Net Income80.80M55.62M-70.32M103.15M1.03B733.61M
Balance Sheet
Total Assets6.00B5.93B6.55B6.69B7.51B7.22B
Cash, Cash Equivalents and Short-Term Investments1.17B1.02B1.03B808.76M972.59M1.40B
Total Debt1.55B1.55B1.99B2.05B2.05B1.75B
Total Liabilities2.56B2.54B3.00B2.79B2.96B2.59B
Stockholders Equity3.44B3.39B3.56B3.90B4.55B4.63B
Cash Flow
Free Cash Flow587.15M484.60M705.96M684.28M835.78M1.11B
Operating Cash Flow724.06M622.20M833.19M843.23M1.05B1.30B
Investing Cash Flow20.41M36.55M-136.47M-153.41M-595.96M-218.66M
Financing Cash Flow-661.77M-684.36M-459.57M-853.35M-875.51M-401.92M

Qorvo Technical Analysis

Technical Analysis Sentiment
Positive
Last Price85.17
Price Trends
50DMA
83.46
Positive
100DMA
75.96
Positive
200DMA
76.13
Positive
Market Momentum
MACD
0.18
Positive
RSI
48.80
Neutral
STOCH
32.37
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For QRVO, the sentiment is Positive. The current price of 85.17 is below the 20-day moving average (MA) of 86.86, above the 50-day MA of 83.46, and above the 200-day MA of 76.13, indicating a neutral trend. The MACD of 0.18 indicates Positive momentum. The RSI at 48.80 is Neutral, neither overbought nor oversold. The STOCH value of 32.37 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for QRVO.

Qorvo Risk Analysis

Qorvo disclosed 34 risk factors in its most recent earnings report. Qorvo reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Qorvo Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
75
Outperform
$4.03B35.7324.28%1.39%32.63%46.16%
70
Outperform
$0.00138.48-7.70%32.63%-233.25%
70
Outperform
$0.0027.056.61%4.14%-12.90%-51.90%
69
Neutral
$7.87B98.262.33%-8.84%
62
Neutral
$34.81B5.17-10.28%2.07%6.45%-4.84%
60
Neutral
$0.0044.085.72%-18.28%-70.98%
53
Neutral
$5.78B-6.75%-18.82%-195.20%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
QRVO
Qorvo
85.17
-15.43
-15.34%
CAMT
Camtek
88.35
2.88
3.37%
MTSI
MACOM Technology Solutions Holdings
137.28
41.35
43.10%
ON
ON Semiconductor
47.24
-19.15
-28.84%
SWKS
Skyworks Solutions
67.63
-25.47
-27.36%
ALGM
Allegro MicroSystems
31.24
10.76
52.54%

Qorvo Corporate Events

Executive/Board ChangesBusiness Operations and Strategy
Qorvo Approves Performance-Based Stock Units for Executives
Positive
May 21, 2025

On May 15, 2025, Qorvo‘s Compensation Committee approved performance-based restricted stock units (PBRSUs) for fiscal year 2026 under the 2022 Stock Incentive Plan for its executive officers. These PBRSUs are tied to the company’s achievement of key initiatives and gross margin objectives, aiming to enhance long-term stockholder value. The Performance Objective PBRSUs are linked to specific goals like customer design wins, AI tool development, and environmental targets, while the Gross Margin PBRSUs focus on achieving non-GAAP gross margin goals over three fiscal years. This strategic move is expected to align executive performance with company growth and operational efficiency, potentially impacting Qorvo’s market positioning and stakeholder interests.

The most recent analyst rating on (QRVO) stock is a Buy with a $128.00 price target. To see the full list of analyst forecasts on Qorvo stock, see the QRVO Stock Forecast page.

Shareholder Meetings
Qorvo Updates Bylaws to Allow Special Meetings
Neutral
May 20, 2025

On May 16, 2025, Qorvo, Inc.’s Board of Directors approved the Third Amended and Restated Bylaws, effective immediately. The new bylaws allow special meetings of stockholders to be called by those holding at least 25% of the voting power, a change from the previous bylaws that did not permit stockholder-requested meetings.

The most recent analyst rating on (QRVO) stock is a Buy with a $128.00 price target. To see the full list of analyst forecasts on Qorvo stock, see the QRVO Stock Forecast page.

Executive/Board ChangesShareholder Meetings
Qorvo Expands Board, Nominates Peter Feld as Director
Positive
May 19, 2025

On May 16, 2025, Qorvo‘s Board of Directors decided to expand its board to ten members and nominated Peter Feld as a director, recommending shareholders vote for him at the 2025 Annual Meeting. This nomination follows constructive engagement with Starboard Value, with Feld expected to bring valuable technology industry expertise to Qorvo’s board, enhancing its potential for growth and shareholder value.

The most recent analyst rating on (QRVO) stock is a Buy with a $128.00 price target. To see the full list of analyst forecasts on Qorvo stock, see the QRVO Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 01, 2025