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Skyworks Solutions (SWKS) To Report Earnings Tomorrow: Here Is What To Expect


Adam Hejl /
2022/05/02 7:00 am EDT
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Wireless chips maker Skyworks Solutions (NASDAQ: SWKS) will be reporting results tomorrow after market close. Here's what investors should know.

Last quarter Skyworks Solutions reported revenues of $1.51 billion, flat year on year, in line with analyst expectations. It was a weaker quarter for the company, with a slow revenue growth and an underwhelming revenue guidance for the next quarter.

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

This quarter analysts are expecting Skyworks Solutions's revenue to grow 13.6% year on year to $1.33 billion, slowing down from the 52.9% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.63 per share.

Skyworks Solutions Total Revenue

Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company has a history of exceeding Wall St's expectations, beating revenue estimates every single time over the past two years on average by 8.4%.

Looking at Skyworks Solutions's peers in the analog semiconductors segment, some of them have already reported Q2 earnings results, giving us a hint what we can expect. Texas Instruments delivered top-line growth of 14.3% year on year, beating analyst estimates by 3.65% and Sensata Technologies reported revenues up 3.52% year on year, exceeding estimates by 1.57%. Texas Instruments traded down 7.5% on the results. Sensata Technologies was flat on the results. Read our full analysis of Texas Instruments's results here and Sensata Technologies's results here.

The technology sell-off has been putting pressure on stocks since November and while some of the analog semiconductors stocks have fared somewhat better, they have not been spared, with share price declining 11.7% over the last month. Skyworks Solutions is down 15.1% during the same time, and is heading into the earnings with analyst price target of $176.6, compared to share price of $114.

One way to find opportunities in the market is to watch for generational shifts in the economy. Almost every company is slowly finding itself becoming a technology company and facing cybersecurity risks and as a result, the demand for cloud-native cybersecurity is skyrocketing. This company is leading a massive technological shift in the industry and with revenue growth of 70% year on year and best-in-class SaaS metrics it should definitely be on your radar.

The author has no position in any of the stocks mentioned.