Skyworks Solutions (SWKS) AI Stock Analysis

• Market Cap: $11.12B
• Dividend Yield: 3.73%
• Average Volume (3M): 2.47M
• Price to Earnings (P/E): 29.9
• Beta (1Y): 1.44
• Revenue Growth: -8.24%
• EPS Growth: -48.31%
• Country: US
• Employees: 10,100
• Sector: Technology
• Sector Strength: 87
• Industry: Semiconductors
• EPS (TTM): 1.33
• Shares Outstanding: 148,427,570
• 10 Day Avg. Volume: 2,490,037
• 30 Day Avg. Volume: 2,471,279
• PEG Ratio: -0.67
• Price to Book (P/B): 2.50
• Price to Sales (P/S): 3.79
• P/FCF Ratio: 9.49
• Enterprise Value/Market Cap: 1.00
• Enterprise Value/Revenue: 2.82
• Enterprise Value/Gross Profit: 6.84
• Enterprise Value/Ebitda: 13.29
• 1Y Price Target: $70.82
• Price Target Upside: -4.97% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 18

• Rating: 71 Outperform
• Price Target: $79.00 ▲(6.01% Upside)

Skyworks Solutions' overall stock score is driven by strong earnings performance and a robust balance sheet, despite challenges in revenue growth and high valuation. The company's strategic initiatives in manufacturing optimization and segment expansion are promising, but risks such as customer concentration and operational adjustments need careful management.

Positive Factors

Earnings Performance

Skyworks Solutions posted a Q3 revenue of $965M, which is above consensus, and achieved improved earnings leverage with significant EPS growth.

Market Diversification

Automotive design wins at BYD, Ford, Geely, and Nissan for applications such as 5G telematics and infotainment systems can help to diversify revenues longer term.

Product Mix

Skyworks Solutions benefits from stronger seasonal unit volumes and a favorable iPhone mix shift, which drives upside for its Q2 and Q4 outlook.

Negative Factors

Customer Dependency

SWKS revenues are expected to decline at its largest customer due to 20-25% share loss.

Revenue Decline

Skyworks Solutions is expected to see revenue decline at a mid-to-upper single digit pace in both FY25 and FY26, continuing prior years' contraction.

Sustainable Catalysts

There is a lack of a material sustainable catalyst for Skyworks shares, which may affect the company's valuation improvement.

Skyworks Solutions Business Overview & Revenue Model

Company Description

Skyworks Solutions, Inc. is a leading provider of semiconductor solutions for mobile communication applications, primarily serving the wireless industry. The company designs and manufactures a wide range of analog and mixed-signal semiconductors, including power amplifiers, front-end modules, and integrated circuits, which are essential components in smartphones, tablets, and other connected devices. Skyworks operates in the wireless infrastructure, automotive, and Internet of Things (IoT) sectors, focusing on enhancing connectivity and performance in a variety of applications.

How the Company Makes Money

Skyworks Solutions generates revenue through the sale of its semiconductor products, which are utilized in mobile phones, broadband, and other wireless applications. The company's primary revenue streams come from supplying components to major smartphone manufacturers, such as Apple and Samsung, as well as other consumer electronics and automotive companies. They also earn income from the growing IoT market by providing solutions that enable smart devices to communicate effectively. Additionally, partnerships with key players in the industry, along with ongoing investments in research and development, contribute to the company's ability to innovate and maintain a competitive edge, ensuring a steady flow of revenue from both existing and new products.

Skyworks Solutions Financial Statement Overview

Summary

Skyworks Solutions faces challenges with declining revenue and margins, but maintains a robust balance sheet with low leverage. While cash flow generation remains strong, the negative growth in Free Cash Flow is a concern. The company should focus on reversing revenue declines and improving profitability to enhance overall financial health.

Income Statement

Skyworks Solutions has seen a decline in both revenue and net income over the recent periods, with a negative revenue growth rate from 2024 to TTM. The TTM Gross Profit Margin stands at 41.17%, and the Net Profit Margin is 10.43%, indicating shrinking profitability compared to previous years. The EBIT Margin at 11.88% and EBITDA Margin at 21.19% are also lower compared to historical data, emphasizing the pressure on operational efficiency and profitability.

Balance Sheet

The company's balance sheet shows a healthy equity position with a substantial equity base of $5.94 billion, and a Debt-to-Equity Ratio of 0.20, indicating low financial leverage. The Return on Equity (ROE) for TTM is 6.94%, showcasing moderate efficiency in generating profits from equity. The Equity Ratio of 75.34% suggests a strong capitalization with minimal reliance on debt.

Cash Flow

Skyworks Solutions shows a solid cash flow position with an Operating Cash Flow to Net Income Ratio of 3.73, indicating strong cash conversion from earnings. However, Free Cash Flow has decreased over the periods, leading to a negative Free Cash Flow Growth Rate. The Free Cash Flow to Net Income Ratio is 3.23, highlighting effective cash generation relative to net income, despite the declining trend.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.95B	4.18B	4.77B	5.49B	5.11B	3.36B
Gross Profit	1.63B	1.72B	2.11B	2.60B	2.51B	1.61B
EBITDA	837.50M	1.12B	1.76B	2.21B	2.05B	1.26B
Net Income	412.10M	596.00M	982.80M	1.28B	1.50B	814.80M
Balance Sheet
Total Assets	7.89B	8.28B	8.43B	8.91B	8.59B	5.11B
Cash, Cash Equivalents and Short-Term Investments	1.51B	1.56B	734.40M	586.80M	1.03B	980.00M
Total Debt	1.21B	1.20B	1.51B	2.71B	2.24B	150.70M
Total Liabilities	1.95B	1.95B	2.34B	3.44B	3.29B	942.50M
Stockholders Equity	5.94B	6.34B	6.08B	5.47B	5.30B	4.16B
Cash Flow
Free Cash Flow	1.33B	1.67B	1.62B	914.90M	1.12B	806.00M
Operating Cash Flow	1.54B	1.82B	1.86B	1.42B	1.77B	1.20B
Investing Cash Flow	-324.80M	-355.90M	-224.40M	-378.90M	-3.13B	-581.40M
Financing Cash Flow	-1.03B	-819.00M	-1.48B	-1.36B	1.68B	-907.70M

Skyworks Solutions Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 74.52
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SWKS, the sentiment is Positive. The current price of 74.52 is above the 20-day moving average (MA) of 71.48, above the 50-day MA of 73.05, and above the 200-day MA of 74.14, indicating a bullish trend. The MACD of 0.68 indicates Negative momentum. The RSI at 58.51 is Neutral, neither overbought nor oversold. The STOCH value of 83.18 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SWKS.

Skyworks Solutions Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AMKR	76 Outperform	$5.87B	19.37	7.37%	3.18%	-1.20%	-19.46%
CAMT	73 Outperform	$3.80B	30.78	24.28%	1.60%	27.88%	37.85%
TER	73 Outperform	$17.60B	38.37	16.85%	0.43%	4.83%	-9.47%
QRVO	72 Outperform	$8.30B	103.93	2.33%	―	-8.84%	―
SWKS	71 Outperform	$11.12B	29.85	6.61%	3.73%	-8.24%	-48.31%
Sector *	68 Neutral	¥243.52B	15.34	6.64%	2.42%	9.16%	-0.15%
MTSI	58 Neutral	$9.01B	138.48	-5.96%	―	33.50%	-197.38%

Skyworks Solutions Corporate Events

Skyworks Solutions Appoints Interim CFO Robert Schriesheim

On May 29, 2025, Skyworks Solutions, Inc. appointed Robert A. Schriesheim as interim Chief Financial Officer following Mark P. Dentinger’s decision not to join the company due to an unforeseen medical condition. Schriesheim, a long-serving board member, brings extensive experience from previous CFO roles at major companies. His appointment includes a compensation package with a base salary and a Restricted Stock Unit award. This leadership change is expected to maintain stability in the company’s financial operations during the search for a permanent CFO.

The most recent analyst rating on (SWKS) stock is a Sell with a $72.00 price target. To see the full list of analyst forecasts on Skyworks Solutions stock, see the SWKS Stock Forecast page.

Skyworks Solutions Stockholders Approve Key Proposals

At the Annual Meeting, Skyworks Solutions‘ stockholders voted on five proposals. The stockholders elected nine directors to serve until the next annual meeting and ratified KPMG LLP as the independent auditor for the 2025 fiscal year. They approved executive compensation and a proposal for a simple majority vote but rejected a proposal for disclosing Scope 3 greenhouse gas emissions.

The most recent analyst rating on (SWKS) stock is a Sell with a $72.00 price target. To see the full list of analyst forecasts on Skyworks Solutions stock, see the SWKS Stock Forecast page.