Qorvo (QRVO) AI Stock Analysis

• Market Cap: $7.24B
• Dividend Yield: N/A
• Average Volume (3M): 1.13M
• Price to Earnings (P/E): 22.0
• Beta (1Y): 1.77
• Revenue Growth: -7.22%
• EPS Growth: N/A
• Country: US
• Employees: 6,200
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): 2.17
• Shares Outstanding: 92,705,680
• 10 Day Avg. Volume: 1,773,821
• 30 Day Avg. Volume: 1,129,633
• PEG Ratio: -0.67
• Price to Book (P/B): 1.99
• Price to Sales (P/S): 1.82
• P/FCF Ratio: 13.96
• Enterprise Value/Market Cap: 1.05
• Enterprise Value/Revenue: 2.04
• Enterprise Value/Gross Profit: 4.60
• Enterprise Value/Ebitda: 10.40
• 1Y Price Target: $85.09
• Price Target Upside: 6.60% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 16
• EPS Forecast (FY): 6.37
• Revenue Forecast (FY): $3.77B

• Rating: 61 Neutral
• Price Target: $87.00 ▲(9.00% Upside)

The score is primarily held back by mixed financial quality (compressed margins and negative FCF growth despite strong revenue growth) and weak-to-neutral technical momentum (negative MACD and trading below key moving averages). These are partially offset by an earnings call emphasizing margin expansion, strong recent cash generation, and profitability targets, plus a potentially positive merger-driven synergy opportunity, while valuation remains relatively high at a 35.6 P/E with no dividend yield provided.

Positive Factors

Gross margin expansion and targets

A sustained ~260bp YoY gross margin gain and management's target above 50% signal structural improvement in product mix and cost efficiency. If maintained, higher gross margins will boost operating leverage, enabling durable profitability even with modest revenue variability.

Strong cash generation and liquidity

Consistent operating cash flow and sizable free cash flow with low capex needs provide a durable cushion to fund R&D, restructure manufacturing, service long-term debt, and pursue strategic initiatives. This liquidity supports multi-quarter execution risk and strategic optionality.

Merger to increase scale and synergies

The Skyworks merger represents a structural change: larger scale, broadened product portfolio, improved factory utilization and domestic manufacturing. Realized synergies and expanded addressable markets can strengthen competitive position and margin sustainability over years.

Negative Factors

Customer concentration risk

More than half of revenue tied to one customer creates durable downside risk: any volume reductions, pricing pressure, or design wins lost at that customer can materially swing revenue and margins. Long-term negotiation leverage and visibility remain constrained.

Planned Android exposure reduction and revenue decline

An intentional $300M cut in lower-margin Android exposure and a mid-single-digit revenue decline reflect a structural trade-off. While mix may improve margins, the company shrinks its top-line base and scale, making margin targets contingent on successful HPA/defense ramp and customer diversification.

Compressed profitability and weak cash flow trends historically

Despite recent operational wins, historically low net and EBIT margins and negative FCF growth indicate structural challenges converting revenue into sustainable profits. Durable improvement requires consistent mix shift, cost control, and execution to restore higher cash conversion rates.

Qorvo Business Overview & Revenue Model

Company Description

Qorvo, 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 Money

Qorvo generates revenue primarily through the sale of its semiconductor products and solutions, which are used in a variety of applications such as mobile communications, automotive, and industrial markets. The company's revenue model is driven by the demand for advanced RF technologies, particularly in the context of the growing 5G infrastructure and the increasing proliferation of IoT devices. Key revenue streams include sales from mobile products, infrastructure and defense products, and advanced technology solutions. Qorvo also benefits from strategic partnerships with major technology firms and network operators, which enhance its market reach and product integration capabilities. Additionally, the company's investment in research and development enables it to innovate and maintain a competitive edge in the rapidly evolving semiconductor landscape.

Qorvo Financial Statement Overview

Summary

Financials indicate an improving cycle: TTM profitability rebounded (gross margin ~43%, EBIT ~9%, net ~6%) and cash generation is solid (TTM operating cash flow ~$732M; free cash flow ~$595M). Balance sheet leverage appears manageable (debt-to-equity ~0.44) with debt reduced to ~1.55B. Main offsets are earnings volatility versus prior peak years and some inconsistency in cash flow coverage across periods.

Income Statement

TTM (Trailing-Twelve-Months) shows a clear profitability rebound versus FY2024, with net income turning positive and margins improving (gross margin ~43%, EBIT margin ~9%, net margin ~6%). Revenue is up sharply in TTM (growth rate shown as +209%), but the longer trend is volatile: strong profitability in FY2021–FY2022 gave way to a major downcycle in FY2023 and a loss in FY2024, with FY2025 annual still showing very thin net margin (~1.5%). Strength is the recent margin recovery; weakness is the cyclicality and the gap versus prior peak profitability.

Balance Sheet

Leverage looks manageable with debt-to-equity around ~0.44 in TTM and equity still substantial (~$3.7B) against ~$6.2B of assets. The company has also reduced debt from FY2023–FY2024 levels (~$2.0B) to ~1.55B more recently, which improves balance-sheet flexibility. The main weakness is that returns on equity remain modest in TTM (~6%), reflecting that profitability has not fully normalized versus FY2021–FY2022.

Cash Flow

Cash generation is a relative bright spot: TTM operating cash flow (~$732M) and free cash flow (~$595M) are solid, with strong stated free-cash-flow growth (+11.4%). Cash conversion is reasonable—free cash flow is roughly ~79% of net income in TTM—supporting quality of earnings. The key watch-out is that operating cash flow has not consistently covered accounting profits across periods (coverage ratio below 1.0 in TTM and FY2025 annual), and free cash flow has been somewhat choppy year to year.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	3.72B	3.77B	3.57B	4.65B	4.02B
Gross Profit	1.54B	1.49B	1.30B	2.29B	1.88B
EBITDA	441.06M	463.74M	531.94M	1.61B	1.34B
Net Income	55.62M	-70.32M	103.15M	1.03B	733.61M
Balance Sheet
Total Assets	5.93B	6.55B	6.69B	7.51B	7.22B
Cash, Cash Equivalents and Short-Term Investments	1.02B	1.03B	808.76M	972.59M	1.40B
Total Debt	1.55B	1.99B	2.05B	2.05B	1.75B
Total Liabilities	2.54B	3.00B	2.79B	2.96B	2.59B
Stockholders Equity	3.39B	3.56B	3.90B	4.55B	4.63B
Cash Flow
Free Cash Flow	484.60M	705.96M	684.28M	835.78M	1.11B
Operating Cash Flow	622.20M	833.19M	843.23M	1.05B	1.30B
Investing Cash Flow	36.55M	-136.47M	-153.41M	-595.96M	-218.66M
Financing Cash Flow	-684.36M	-459.57M	-853.35M	-875.51M	-401.92M

Qorvo Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 79.82
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For QRVO, the sentiment is Negative. The current price of 79.82 is below the 20-day moving average (MA) of 81.33, below the 50-day MA of 84.28, and below the 200-day MA of 84.39, indicating a bearish trend. The MACD of -1.64 indicates Positive momentum. The RSI at 43.42 is Neutral, neither overbought nor oversold. The STOCH value of 33.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for QRVO.

Qorvo Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RMBS	76 Outperform	$12.25B	53.97	19.66%	―	31.05%	30.35%
NVMI	73 Outperform	$13.97B	59.61	23.58%	―	39.37%	40.87%
LSCC	71 Outperform	$11.01B	420.65	3.86%	―	-12.03%	-80.99%
SWKS	63 Neutral	$8.36B	18.13	7.89%	4.37%	-2.18%	-16.84%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
QRVO	61 Neutral	$7.24B	21.96	9.62%	―	-7.22%	―
MTSI	55 Neutral	$16.43B	―	-4.42%	―	32.58%	-173.04%

Qorvo Corporate Events

Qorvo Announces Retention Bonus Amid Skyworks Merger

On November 22, 2025, Qorvo, Inc. announced a retention bonus agreement for its Senior Vice President and Chief Financial Officer, Grant A. Brown, in light of the planned merger with Skyworks Solutions, Inc. The agreement includes a cash retention payment of $986,226, with 60% payable upon the merger’s completion and 40% six months thereafter, contingent on Mr. Brown’s continued employment. This move is aimed at ensuring leadership stability during the merger process.

The most recent analyst rating on (QRVO) stock is a Hold with a $86.00 price target. To see the full list of analyst forecasts on Qorvo stock, see the QRVO Stock Forecast page.

Qorvo Announces Merger with Skyworks Solutions

On October 27, 2025, Qorvo, Inc. announced a merger agreement with Skyworks Solutions, Inc., creating a combined enterprise valued at approximately $22 billion. The merger aims to enhance scale and financial profile, with an expected revenue of $7.7 billion and adjusted EBITDA of $2.1 billion. The transaction will create a $5.1 billion mobile business and a $2.6 billion diversified Broad Markets platform. The merger is anticipated to be immediately accretive to non-GAAP EPS and achieve $500 million in annual cost synergies within 24-36 months post-close. The combined company will strengthen its domestic manufacturing position and improve factory utilization, with Phil Brace serving as CEO and Bob Bruggeworth joining the Board of Directors.

The most recent analyst rating on (QRVO) stock is a Hold with a $95.00 price target. To see the full list of analyst forecasts on Qorvo stock, see the QRVO Stock Forecast page.