Zacks Investment Research Downgrades Skyworks Solutions, Inc. (SWKS) to Hold
Skyworks Solutions, Inc. (NASDAQ:SWKS) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a research report issued to clients and investors on Thursday.
According to Zacks, “Skyworks reported strong third-quarter fiscal 2017 results. Both earnings and revenues increased on a year-over-year basis. Strong demand for Wi-Fi, Zigbee and LTE solutions have helped the company to gain traction. Management provided optimistic guidance for the fourth-quarter. We expect improving growth prospects to help the stock’s momentum in the rest of 2017 and beyond. We note that Skyworks has outperformed the broader market on a year-to-date basis. Further, strategic design wins in IoT, automotive and 5G markets to remain significant positives for the company in the long haul. However, heavy investments in R&D are escalating operating expenses, which is affecting margins. Significant pricing pressure, technological obsolescence and high concentration risks remain additional headwinds.”
A number of other analysts have also commented on SWKS. Vetr lowered Skyworks Solutions from a “strong-buy” rating to a “buy” rating and set a $112.92 price objective for the company. in a report on Thursday, April 20th. Pacific Crest reissued an “overweight” rating on shares of Skyworks Solutions in a report on Monday, April 24th. B. Riley reissued a “buy” rating and set a $120.00 price objective on shares of Skyworks Solutions in a report on Friday, April 28th. Drexel Hamilton boosted their price objective on Skyworks Solutions from $105.00 to $120.00 and gave the stock a “buy” rating in a report on Friday, April 28th. Finally, Craig Hallum boosted their price objective on Skyworks Solutions from $110.00 to $120.00 and gave the stock a “buy” rating in a report on Friday, April 28th. Two investment analysts have rated the stock with a sell rating, six have given a hold rating, twenty have given a buy rating and two have assigned a strong buy rating to the company’s stock. Skyworks Solutions has a consensus rating of “Buy” and an average price target of $110.43.
Skyworks Solutions (NASDAQ:SWKS) traded down 1.96% on Thursday, hitting $103.85. The company had a trading volume of 680,898 shares. Skyworks Solutions has a one year low of $65.76 and a one year high of $112.11. The stock’s 50-day moving average price is $102.97 and its 200 day moving average price is $100.49. The company has a market capitalization of $19.08 billion, a P/E ratio of 19.93 and a beta of 0.82.
Skyworks Solutions (NASDAQ:SWKS) last issued its quarterly earnings data on Thursday, July 20th. The semiconductor manufacturer reported $1.57 EPS for the quarter, topping analysts’ consensus estimates of $1.52 by $0.05. The firm had revenue of $900.80 million during the quarter, compared to analyst estimates of $890.58 million. Skyworks Solutions had a return on equity of 28.67% and a net margin of 27.86%. The company’s revenue for the quarter was up 19.8% on a year-over-year basis. During the same period in the previous year, the company posted $1.24 EPS. On average, analysts expect that Skyworks Solutions will post $6.39 EPS for the current fiscal year.
In other Skyworks Solutions news, Director Christine King sold 3,500 shares of the stock in a transaction on Monday, June 5th. The stock was sold at an average price of $108.84, for a total transaction of $380,940.00. Following the sale, the director now owns 16,436 shares in the company, valued at $1,788,894.24. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Liam Griffin sold 8,056 shares of the stock in a transaction on Tuesday, July 25th. The stock was sold at an average price of $105.31, for a total value of $848,377.36. Following the sale, the insider now owns 54,310 shares in the company, valued at approximately $5,719,386.10. The disclosure for this sale can be found here. Corporate insiders own 0.49% of the company’s stock.
Several large investors have recently bought and sold shares of SWKS. Invictus RG bought a new stake in Skyworks Solutions during the first quarter valued at about $101,000. Winslow Evans & Crocker Inc. increased its stake in Skyworks Solutions by 5.0% in the first quarter. Winslow Evans & Crocker Inc. now owns 1,050 shares of the semiconductor manufacturer’s stock valued at $103,000 after buying an additional 50 shares in the last quarter. WFG Advisors LP increased its stake in Skyworks Solutions by 18.6% in the first quarter. WFG Advisors LP now owns 1,155 shares of the semiconductor manufacturer’s stock valued at $113,000 after buying an additional 181 shares in the last quarter. Sun Life Financial INC increased its stake in Skyworks Solutions by 551.5% in the second quarter. Sun Life Financial INC now owns 1,342 shares of the semiconductor manufacturer’s stock valued at $129,000 after buying an additional 1,136 shares in the last quarter. Finally, TrimTabs Asset Management LLC increased its stake in Skyworks Solutions by 89.0% in the first quarter. TrimTabs Asset Management LLC now owns 1,410 shares of the semiconductor manufacturer’s stock valued at $138,000 after buying an additional 664 shares in the last quarter. Hedge funds and other institutional investors own 81.26% of the company’s stock.
Skyworks Solutions Company Profile
Skyworks Solutions Inc designs, develops, manufactures and markets semiconductor products, including intellectual property. The Company’s analog semiconductors are connecting people, places, and things, spanning a number of new and unimagined applications within the automotive, broadband, cellular infrastructure, connected home, industrial, medical, military, smartphone, tablet and wearable markets.
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