Skyworks Solutions, Inc. (NASDAQ:SWKS) has been assigned an average rating of “Hold” by a group of analysts following the company. According to MarketBeat Ratings, out of twenty-two analysts covering the firm, two recommended selling the stock, seventeen advised holding, two suggested buying, and one assigned a strong buy rating. The average price target for the stock over the next year stands at approximately $82.59.
Several notable changes in ratings have emerged from recent equity research reports. On October 29, 2023, Citigroup upgraded Skyworks Solutions from a “sell” to a “neutral” rating, raising their price target from $66.00 to $105.00. Additionally, Barclays increased the rating from “underweight” to “equal weight” and raised their price objective from $58.00 to $88.00. Similarly, Cfra Research upgraded their rating from a “moderate sell” to a “hold” on October 28, while Weiss Ratings reaffirmed a “hold (c-)” rating on October 8. Stifel Nicolaus set a target price of $72.00 on November 5.
Quarterly Earnings and Financial Performance
Skyworks Solutions recently reported its quarterly earnings on November 4, 2023. The semiconductor manufacturer announced earnings per share (EPS) of $1.76, surpassing the consensus estimate of $1.53 by $0.23. The revenue for the quarter reached $1.10 billion, reflecting a year-over-year increase of 7.3%. In the corresponding quarter from the previous year, the company recorded an EPS of $1.55.
Looking ahead, Skyworks has set its guidance for the first quarter of 2026 at an EPS of $1.40. Analysts project that the company will achieve earnings of $3.70 per share for the current fiscal year.
Dividend Announcement and Insider Trading
In addition to its earnings report, Skyworks Solutions also announced a quarterly dividend of $0.71, which was paid out on December 9, 2023. Shareholders of record as of November 18, 2023 received the dividend, which translates to an annualized amount of $2.84 and a dividend yield of 4.7%. The company’s dividend payout ratio currently stands at 92.51%.
On the insider trading front, Executive Vice President Reza Kasnavi sold 7,332 shares of Skyworks Solutions on November 19, 2023, at an average price of $62.26, resulting in a transaction value of approximately $456,490. Following the sale, Kasnavi retains 26,087 shares valued at about $1.62 million. Additionally, Senior Vice President Robert John Terry sold 4,945 shares on the same day for approximately $307,975.
Institutional Investment Trends
Recent trends indicate that institutional investors have been actively trading shares of Skyworks Solutions. Park Place Capital Corp increased its stake by 62.1%, now owning 368 shares valued at $28,000. Atlantic Union Bankshares Corp and Financial Consulate Inc. have also made new positions, with investments valued around $28,000 and $29,000, respectively.
Clearstead Trust LLC raised its stake by 200.0%, now holding 411 shares worth $31,000. Hedge funds and other institutional investors collectively own 85.43% of Skyworks Solutions’ stock, indicating strong institutional confidence in the company’s performance.
Founded in Irvine, California, Skyworks Solutions specializes in designing and manufacturing analog and mixed-signal semiconductors for the radio frequency (RF) and mobile communications markets. Their product portfolio includes components crucial for wireless connectivity across a variety of devices, including smartphones, tablets, and automotive applications. With facilities across North America, Europe, and the Asia-Pacific region, the company addresses a diverse range of industries, including the Internet of Things (IoT) and automotive telematics.
