Skyworks Solutions (SWKS) Reports Earnings Tomorrow: What To Expect

Radek Strnad /
2024/04/29 3:02 am EDT

Wireless chips maker Skyworks Solutions (NASDAQ: SWKS) will be reporting earnings tomorrow after market hours. Here's what investors should know.

Skyworks Solutions met analysts' revenue expectations last quarter, reporting revenues of $1.20 billion, down 9.6% year on year. It was a mixed quarter for the company, with a stromng improvement in inventory levels. On the other hand, while revenue guidance was roughly in line, EPS guidance was slightly below.

Is Skyworks Solutions a buy or sell going into earnings? Read our full analysis here, it's free.

This quarter, analysts are expecting Skyworks Solutions's revenue to decline 9.2% year on year to $1.05 billion, improving on the 13.7% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.52 per share.

Skyworks Solutions Total Revenue

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they are expecting the business to stay the course heading into earnings. Skyworks Solutions has missed Wall Street's revenue estimates three times over the last two years.

Looking at Skyworks Solutions's peers in the semiconductors segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Texas Instruments's revenues decreased 16.4% year on year, beating analysts' expectations by 1.4%, and Impinj reported a revenue decline of 10.6%, topping Wall Street's consensus estimates by 4.4%. Texas Instruments traded up 5.7% following the results while Impinj was also up 28.8%.

Read our full analysis of Texas Instruments's results here and Impinj's results here.

Stocks, especially growth stocks where cash flows further in the future are more important to the story, had a good end of 2023. But the beginning of 2024 has seen more volatile stock performance due to mixed inflation data, and while some of the semiconductors stocks have fared somewhat better, they have not been spared, with share price declining 2.9% over the last month. Skyworks Solutions is down 3% during the same time and is heading into earnings with an average analyst price target of $115.7 (compared to share price of $103.78).

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