Skyworks Solutions (SWKS) AI Stock Analysis

• Market Cap: $10.95B
• Dividend Yield: 3.81%
• Average Volume (3M): 4.23M
• Price to Earnings (P/E): 28.5
• Beta (1Y): 1.47
• Revenue Growth: -12.90%
• EPS Growth: -51.90%
• Country: US
• Employees: 10,100
• Sector: Technology
• Sector Strength: 77
• Industry: Semiconductors
• EPS (TTM): 1.24
• Shares Outstanding: 150,129,150
• 10 Day Avg. Volume: 4,143,813
• 30 Day Avg. Volume: 4,230,163
• PEG Ratio: N/A
• Price to Book (P/B): 1.66
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 8.22
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $67.77
• Price Target Upside: -7.52% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 16

Skyworks Solutions has a solid financial foundation but faces challenges in revenue growth and declining margins. The technical indicators suggest bearish momentum, though valuation remains reasonable with a solid dividend yield. The earnings call highlights growth in diversified sectors but also notes challenges with major customers. Addressing these issues could enhance stock performance.

Positive Factors

5G and smartphone partnerships

Skyworks highlighted securing 5G content in premium Android smartphones such as Samsung Galaxy, Google Pixel, and Oppo.

Broad Markets growth

Broad Markets remain on track for another quarter of sequential growth, with year-over-year trends accelerating, and the company is encouraged by improving bookings, backlog, and positive channel sell-through.

Management changes

Skyworks Solutions is undergoing a significant management refresh, with a new CEO, CFO, and Head of Sales, with optimism that this new team can reinvigorate the company’s competitive vigour.

Negative Factors

Competitive challenges

Investors continue to grapple with the firm’s challenged competitive position, particularly at its largest customer, where Skyworks estimates a greater than 10% dollar content loss in Apple’s iPhone 16 and a 20%-25% dollar content loss in Apple’s upcoming fall model, the iPhone 17.

Content loss in Apple products

There is a material content loss at Apple, which will start to impact numbers in September.

Revenue decline

The company’s revenue is expected to decline at a mid-to-upper single digit pace in both FY25 and FY26, which follows two additional years of low double digit annual contraction in both FY23 and FY24.

Skyworks Solutions Business Overview & Revenue Model

Company Description

Skyworks Solutions, Inc., together with its subsidiaries, designs, develops, manufactures, and markets proprietary semiconductor products, including intellectual property in the United States, China, South Korea, Taiwan, Europe, the Middle East, Africa, and rest of Asia-Pacific. Its product portfolio includes amplifiers, antenna tuners, attenuators, automotive tuners and digital radios, circulators/isolators, DC/DC converters, demodulators, detectors, diodes, wireless analog system on chip products, directional couplers, diversity receive modules, filters, front-end modules, hybrids, light emitting diode drivers, low noise amplifiers, mixers, modulators, optocouplers/optoisolators, phase locked loops, phase shifters, power dividers/combiners, receivers, switches, synthesizers, timing devices, technical ceramics, voltage controlled oscillators/synthesizers, and voltage regulators. The company provides its products for use in the aerospace, automotive, broadband, cellular infrastructure, connected home, entertainment and gaming, industrial, medical, military, smartphone, tablet, and wearable markets. It sells its products through direct sales force, electronic component distributors, and independent sales representatives. The company was incorporated in 1962 and is headquartered in Irvine, California.

How the Company Makes Money

Skyworks Solutions generates revenue primarily through the sale of its semiconductor products to original equipment manufacturers (OEMs) and other technology companies. The company's key revenue streams include product sales in the mobile communications sector, where its components are used in smartphones and other mobile devices, and the broad markets sector, which encompasses automotive, aerospace, and IoT applications. Skyworks maintains significant partnerships with leading technology firms, leveraging these relationships to expand its market reach and drive sales. Additionally, the company's focus on innovation and the development of cutting-edge solutions in wireless technology contribute to its earnings by enabling it to meet the evolving demands of the industry.

Skyworks Solutions Financial Statement Overview

Summary

Skyworks Solutions demonstrates a solid financial foundation with strong profitability margins and low leverage. While the income statement highlights a challenge in revenue growth, the balance sheet and cash flow statements provide comfort with stability and strong cash generation. The company is well-positioned financially, but addressing revenue growth will be key to enhancing future performance.

Income Statement

Skyworks Solutions' income statement shows a declining revenue trend with the latest TTM revenue at $4.045 billion, down from $4.778 billion in the previous annual period. Despite this, the company maintains a strong gross profit margin of approximately 40.94% and a net profit margin of 13% for the TTM. The EBIT margin stands at 13.88% and EBITDA margin at 22.86%, indicating operational efficiency. However, the recent decline in revenue and profits poses a concern for growth stability.

Balance Sheet

The balance sheet reflects a solid equity position with a stockholders' equity of $6.401 billion, resulting in a strong equity ratio of 76.82% in the latest TTM period. The debt-to-equity ratio is conservative at 0.18, suggesting low leverage risk. Return on equity (ROE) is 8.23%, indicating moderate but stable profitability. Overall, the balance sheet is robust, providing financial stability and low leverage risk.

Cash Flow

Skyworks Solutions shows a strong operating cash flow of $1.427 billion in the TTM, with a healthy free cash flow of $1.235 billion. However, the free cash flow has decreased compared to $1.667 billion in the prior annual period, indicating a negative growth trend. The operating cash flow to net income ratio is high at 2.71, showing efficient cash generation relative to net income. Despite the decrease in free cash flow, the company maintains a strong cash flow position.

Breakdown
TTM	Sep 2024	Sep 2023	Sep 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
4.04B	4.18B	4.77B	5.49B	5.11B	3.36B
	Gross Profit
1.66B	1.72B	2.11B	2.60B	2.51B	1.61B
	EBIT
561.40M	637.40M	1.13B	1.53B	1.61B	891.80M
	EBITDA
924.90M	1.12B	1.76B	2.21B	2.05B	1.26B
	Net Income Common Stockholders
526.70M	596.00M	982.80M	1.28B	1.50B	814.80M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.74B	1.56B	734.40M	586.80M	1.03B	980.00M
	Total Assets
8.33B	8.28B	8.43B	8.91B	8.59B	5.11B
	Total Debt
1.19B	1.20B	1.51B	2.71B	2.24B	150.70M
	Net Debt
-409.50M	-168.20M	790.50M	2.14B	1.35B	-829.30M
	Total Liabilities
1.93B	1.95B	2.34B	3.44B	3.29B	942.50M
	Stockholders Equity
6.40B	6.34B	6.08B	5.47B	5.30B	4.16B
Cash Flow		Free Cash Flow
1.23B	1.67B	1.62B	914.90M	1.12B	806.00M
	Operating Cash Flow
1.43B	1.82B	1.86B	1.42B	1.77B	1.20B
	Investing Cash Flow
-324.90M	-355.90M	-224.40M	-378.90M	-3.13B	-581.40M
	Financing Cash Flow
-529.30M	-819.00M	-1.48B	-1.36B	1.68B	-907.70M

Skyworks Solutions Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 73.28
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Negative
• 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 73.28 is above the 20-day moving average (MA) of 67.26, above the 50-day MA of 64.37, and below the 200-day MA of 82.87, indicating a neutral trend. The MACD of 3.08 indicates Negative momentum. The RSI at 70.11 is Negative, neither overbought nor oversold. The STOCH value of 90.25 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
CAMT	79 Outperform	$2.98B	24.70	24.82%	2.04%	32.63%	46.16%
TER	73 Outperform	$13.07B	23.06	21.55%	0.59%	9.61%	28.34%
AMKR	72 Outperform	$4.76B	15.10	7.76%	1.68%	-1.93%	-15.55%
SWKS	71 Outperform	$10.95B	28.48	6.70%	3.81%	-12.90%	-51.90%
MTSI	69 Neutral	$9.12B	138.48	-7.70%	―	32.63%	-233.25%
Sector *	60 Neutral	$11.59B	10.34	-7.15%	2.94%	7.49%	-10.88%
QRVO	57 Neutral	$7.36B	134.19	1.60%	―	-1.34%	―

Skyworks Solutions Corporate Events

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.

Spark’s Take on SWKS Stock

According to Spark, TipRanks’ AI Analyst, SWKS is a Outperform.

Skyworks Solutions has a solid financial foundation but faces challenges in revenue growth and declining margins. The technical indicators suggest bearish momentum, though valuation remains reasonable with a solid dividend yield. The earnings call highlights growth in diversified sectors but also notes challenges with major customers. Addressing these issues could enhance stock performance.

To see Spark’s full report on SWKS stock, click here.

Skyworks Solutions Announces New CFO and Sales VP

On May 7, 2025, Skyworks Solutions, Inc. announced significant changes in its senior management team, with the appointment of Mark P. Dentinger as Senior Vice President and Chief Financial Officer and Todd J. Lepinski as Senior Vice President, Sales and Marketing, both effective June 2, 2025. These appointments are part of the company’s strategic efforts to strengthen its leadership as it navigates the competitive landscape. Dentinger, with extensive experience in financial leadership roles, will succeed Kris Sennesael, who is leaving for another opportunity. Lepinski, bringing a wealth of sales and marketing expertise, will take over from Carlos S. Bori, who will assist in the transition until November 2025. These leadership changes are expected to impact the company’s operations and market positioning positively.

Spark’s Take on SWKS Stock

According to Spark, TipRanks’ AI Analyst, SWKS is a Neutral.

Skyworks Solutions shows a solid financial foundation with strong profitability margins and low leverage, but faces challenges with revenue growth. Technical indicators suggest a bearish trend, but the valuation remains reasonable with a solid dividend yield. The earnings call reflects mixed sentiment, with growth in some segments countered by challenges with a major customer and inventory issues. The overall score reflects the need to address revenue growth and technical weaknesses while valuing the company’s financial stability and strategic leadership changes.

To see Spark’s full report on SWKS stock, click here.

Skyworks Solutions Appoints New Executive VP and CTO

On March 12, 2025, Skyworks Solutions announced the appointment of Reza Kasnavi to the new role of Executive Vice President, Chief Operations and Technology Officer, effective March 15, 2025. This promotion includes an increase in his annual base salary and enhanced cash incentive awards under the company’s Fiscal Year 2025 Executive Incentive Plan, reflecting the company’s focus on achieving target performance metrics for the fiscal year.