Wireless chips maker Skyworks Solutions (NASDAQ: SWKS) will be reporting results tomorrow after market close. Here’s what you need to know.
Skyworks Solutions met analysts’ revenue expectations last quarter, reporting revenues of $1.07 billion, down 11.1% year on year. It was a very strong quarter for the company, with a significant improvement in its inventory levels and revenue guidance for next quarter exceeding analysts’ expectations.
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 8.9% year on year to $952.9 million, in line with the 9.3% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.20 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate 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 analog semiconductors segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Texas Instruments delivered year-on-year revenue growth of 11.1%, beating analysts’ expectations by 4.1%, and Impinj reported a revenue decline of 3.3%, topping estimates by 3.7%. Texas Instruments traded up 6.7% following the results while Impinj was also up 16.9%.
Read our full analysis of Texas Instruments’s results here and Impinj’s results here.
There has been positive sentiment among investors in the analog semiconductors segment, with share prices up 17.6% on average over the last month. Skyworks Solutions is up 24.8% during the same time and is heading into earnings with an average analyst price target of $67.96 (compared to the current share price of $66.61).
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