Skyworks Solutions (SWKS) closed at $81.32 in the latest trading session, marking a -0.12% move from the prior day. This change was narrower than the S&P 500's daily loss of 0.62%. Meanwhile, the Dow lost 0.25%, and the Nasdaq, a tech-heavy index, lost 0.74%.
Heading into today, shares of the chipmaker had gained 7.36% over the past month, outpacing the Computer and Technology sector's gain of 3.47% and the S&P 500's gain of 2.8% in that time.
Investors will be hoping for strength from SWKS as it approaches its next earnings release, which is expected to be August 7, 2019. The company is expected to report EPS of $1.34, down 18.29% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $765.94 million, down 14.35% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $6.19 per share and revenue of $3.39 billion, which would represent changes of -14.27% and -12.36%, respectively, from the prior year.
Any recent changes to analyst estimates for SWKS should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
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. SWKS is holding a Zacks Rank of #5 (Strong Sell) right now.
In terms of valuation, SWKS is currently trading at a Forward P/E ratio of 13.16. For comparison, its industry has an average Forward P/E of 13.88, which means SWKS is trading at a discount to the group.
Meanwhile, SWKS's PEG ratio is currently 1.39. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Semiconductors - Radio Frequency stocks are, on average, holding a PEG ratio of 1.62 based on yesterday's closing prices.
The Semiconductors - Radio Frequency industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 242, putting it in the bottom 6% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Skyworks Solutions, Inc. (SWKS) : Free Stock Analysis Report
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