Look At Analyst Expectations For A Better Read On Skyworks Solutions Inc. (NASDAQ: SWKS)


    BlackRock Fund Advisors recently announced the acquisition of new stake in Skyworks Solutions Inc. (NASDAQ:SWKS). The institutional investor has increased its shareholding in the Technology company by 7.31% to 10.04 million shares with purchase of 0.68 million shares. This fresh investment now brings its stake to 6.02% valued currently at $1.28 billion. In addition, Vulcan Value Partners LLC raised its holdings by 1.93 million to 8.67 million shares. And AQR Capital Management LLC has lifted its position by 12.80% or 0.4 million shares – to 3.51 million shares.

    With over 3.16 million Skyworks Solutions Inc. (SWKS) shares trading Thursday and a closing price of $142.19 on the day, the dollar volume was approximately $449.56 million. The shares have shown a positive weekly performance of 5.06% and its price on 07/30/20 gained nearly 4.21%. Currently, there are 167.00M common shares owned by the public and among those 166.02M shares have been available to trade.

    An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 27 analysts who have offered their price forecasts for SWKS have a consensus price objective of $144.65. The analysts have set the share’s price value over the next 12 months at a high of $170.00 and a low of $100.00 should the stock experience a downside. Incidentally, analysts’ outlook for the Skyworks Solutions Inc. stock is 2.30 for the next 12 months. The average price target is -8.68% below its last price level and a downside to the estimated low will see the stock lose -42.19% over that period. But an upside of 16.36% will see the stock hit the forecast high price target while mean target price for the stock is $145.00.

    Insiders at the company have transacted a total of 148 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 64 of these insider trades were purchases, accounting for 423,902 shares. Insider sales of the common stock occurred on 84 occasions, with total insider shares sold totaling 471,832 shares.

    The top 3 mutual fund holders in Skyworks Solutions Inc. are Vanguard Total Stock Market Index, Vanguard Mid Cap Index Fund, and Vanguard 500 Index Fund. Vanguard Total Stock Market Index owns 4.75 million shares of the company’s stock, all valued at over $607.43 million. The company sold -0.16 million shares recently to bring their total holdings to about 2.85% of the shares outstanding. Vanguard Mid Cap Index Fund sold -0.32 million shares to see its total holdings shrink to 4.13 million shares valued at over $527.43 million and representing 2.47% of the shares outstanding. Vanguard 500 Index Fund sold 17532.0 shares to bring its total holdings to over 3.46 million shares at a value of $442.51 million. Vanguard 500 Index Fund now owns shares totaling to 2.07% of the shares outstanding.

    Shares of Skyworks Solutions Inc. (NASDAQ: SWKS) opened at $134.92, down -$1.53 from a prior closing price of $136.45. However, the script later closed the day at $142.19, up 4.21%. The company’s stock has a 5-day price change of 5.06% and 36.88% over the past three months. SWKS shares are trading 17.63% year to date (YTD), with the 12-month market performance up to 66.73% higher. It has a 12-month low price of $67.90 and touched a high of $139.88 over the same period. Currently, 3.16 million shares have been traded, compared to an average intraday trading volume of 2.07 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by 6.99%, 10.94%, and 30.32% respectively.

    Institutional ownership of Skyworks Solutions Inc. (NASDAQ: SWKS) shares accounts for 82.10% of the company’s 167.00M shares outstanding. Mutual fund holders own 38.67%, while other institutional holders and individual stakeholders account for 42.85% and 0.96% respectively.

    It has a market capitalization of $24.39B and a beta (3y monthly) value of 1.27. The stock’s trailing 12-month PE ratio is 30.94, while the earnings-per-share (ttm) stands at $4.60. The company has a PEG of 2.45 and a Quick Ratio of 4.10 with the debt-to-equity ratio at 0.00. Price movements for the stock have been influenced by the stock’s volatility, which stands at 4.00% over the week and 3.01% over the month.

    Analysts forecast that Skyworks Solutions Inc. (SWKS) will achieve an EPS of $1.53 for the current quarter, $1.81 for the next quarter and $6.91 for 2021. The lowest estimate earnings-per-share for the quarter is $1.5 while analysts give the company a high EPS estimate of $1.99. Comparatively, EPS for the current quarter was $1.52 a year ago. Earnings per share for the fiscal year are expected to decrease by -22.10%, and 18.70% over the next financial year. EPS should shrink at an annualized rate of 12.65% over the next five years, compared to 15.80% over the past 5-year period.

    If you are looking to buy this stock, then you may note that the average analyst recommendation by 27 brokerage firm advisors rate Skyworks Solutions Inc. (SWKS) as a “Moderate Buy” at a consensus score of 2.30. Specifically, 14 Wall Street analysts polled rate the stock as a buy, while 10 of the 27 advise that investors “hold,” and 0 rated it as a “Sell.”

    Looking at the support for the SWKS, a number of firms have released research notes about the stock. KeyBanc Capital Markets stated their Overweight rating for the stock in a research note on July 07, 2020, with the firm’s price target at $150. Cowen coverage for the Skyworks Solutions Inc. (SWKS) stock in a research note released on June 26, 2020 offered a Outperform rating with a price target of $130. Argus was of a view on June 18, 2020 that the stock is Buy, while Morgan Stanley gave the stock Equal-Weight rating on June 16, 2020, issuing a price target of $90- $124. Craig Hallum on their part issued Buy rating on March 30, 2020.


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