In the latest trading session, Skyworks Solutions (SWKS) closed at $139.97, marking a +1.91% move from the previous day. This change lagged the S&P 500's 2.44% gain on the day. Elsewhere, the Dow gained 1.65%, while the tech-heavy Nasdaq added 0.28%.
Heading into today, shares of the chipmaker had lost 11.84% over the past month, outpacing the Computer and Technology sector's loss of 16.14% and lagging the S&P 500's loss of 9.65% in that time.
Skyworks Solutions will be looking to display strength as it nears its next earnings release, which is expected to be February 3, 2022. The company is expected to report EPS of $3.11, down 7.44% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $1.5 billion, down 0.51% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $11.63 per share and revenue of $5.73 billion, which would represent changes of +10.76% and +12.1%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Skyworks Solutions. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Skyworks Solutions is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Skyworks Solutions is currently trading at a Forward P/E ratio of 11.81. This valuation marks a no noticeable deviation compared to its industry's average Forward P/E of 11.81.
Meanwhile, SWKS's PEG ratio is currently 0.89. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Semiconductors - Radio Frequency industry currently had an average PEG ratio of 0.89 as of yesterday's close.
The Semiconductors - Radio Frequency industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 102, which puts it in the top 40% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow SWKS in the coming trading sessions, be sure to utilize Zacks.com.
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Skyworks Solutions, Inc. (SWKS): Free Stock Analysis Report
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