NasdaqGS:SWKS

Stock Analysis Report

Executive Summary

Skyworks Solutions, Inc., together with its subsidiaries, designs, develops, manufactures, and markets proprietary semiconductor products, including intellectual property worldwide.

Snowflake

Fundamentals

Flawless balance sheet with proven track record.


Similar Companies

Share Price & News

How has Skyworks Solutions's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

2.8%

SWKS

-0.01%

US Semiconductor

0.4%

US Market


1 Year Return

3.1%

SWKS

21.5%

US Semiconductor

6.9%

US Market

Return vs Industry: SWKS underperformed the US Semiconductor industry which returned 21.5% over the past year.

Return vs Market: SWKS underperformed the US Market which returned 6.9% over the past year.


Shareholder returns

SWKSIndustryMarket
7 Day2.8%-0.01%0.4%
30 Day10.7%-0.4%-1.1%
90 Day7.9%3.3%-0.5%
1 Year5.3%3.1%23.9%21.5%9.3%6.9%
3 Year18.8%13.3%80.5%69.8%45.8%36.4%
5 Year71.2%59.5%132.4%108.4%62.9%45.1%

Price Volatility Vs. Market

How volatile is Skyworks Solutions's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Skyworks Solutions undervalued compared to its fair value and its price relative to the market?

36.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: SWKS ($87.77) is trading below our estimate of fair value ($138.31)

Significantly Undervalued: SWKS is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: SWKS is good value based on its PE Ratio (16.6x) compared to the Semiconductor industry average (27.4x).

PE vs Market: SWKS is good value based on its PE Ratio (16.6x) compared to the US market (17.6x).


Price to Earnings Growth Ratio

Low PEG Ratio: SWKS is poor value based on its PEG Ratio (1.6x)


Price to Book Ratio

PB vs Industry: SWKS is overvalued based on its PB Ratio (3.7x) compared to the US Semiconductor industry average (2.7x).


Next Steps

Future Growth

How is Skyworks Solutions forecast to perform in the next 1 to 3 years based on estimates from 23 analysts?

10.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SWKS's forecast earnings growth (10.3% per year) is above the savings rate (2.7%).

Earnings vs Market: SWKS's earnings (10.3% per year) are forecast to grow slower than the US market (14.6% per year).

High Growth Earnings: SWKS's earnings are forecast to grow, but not significantly.

Revenue vs Market: SWKS's revenue (5.1% per year) is forecast to grow slower than the US market (7.2% per year).

High Growth Revenue: SWKS's revenue (5.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: SWKS's Return on Equity is forecast to be high in 3 years time (26.7%)


Next Steps

Past Performance

How has Skyworks Solutions performed over the past 5 years?

11.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: SWKS's earnings have grown by 11.2% per year over the past 5 years.

Accelerating Growth: SWKS's earnings growth over the past year (1.6%) is below its 5-year average (11.2% per year).

Earnings vs Industry: SWKS earnings growth over the past year (1.6%) exceeded the Semiconductor industry -6.2%.


Return on Equity

High ROE: SWKS's Return on Equity (22.6%) is considered high.


Return on Assets

ROA vs Industry: SWKS has a higher Return on Assets than the Semiconductor industry average last year.


Return on Capital Employed

ROCE Improving: SWKS's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Skyworks Solutions's financial position?


Financial Position Analysis

Short Term Liabilities: SWKS's short term assets ($2.2B) exceeds its short term liabilities ($396.5M)

Long Term Liabilities: SWKS's short term assets (2.2B) exceeds its long term liabilities (345.9M)


Debt to Equity History and Analysis

Debt Level: SWKS is debt free.

Reducing Debt: SWKS has not had any debt for past 5 years.

Debt Coverage: SWKS has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: SWKS has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: SWKS has a high level of physical assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if SWKS's debt is covered by short term assets.


Next Steps

Dividend

What is Skyworks Solutions's current dividend yield, its reliability and sustainability?

2.01%

Current Dividend Yield


Dividend Yield vs Market

company2.0%marketbottom25%1.4%markettop25%3.7%industryaverage2.2%forecastin3Years2.0%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: SWKS's dividend (2.01%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: SWKS's dividend (2.01%) is low compared to the top 25% of dividend payers in the US market (3.73%).

Stable Dividend: Whilst dividend payments have been stable, SWKS has been paying a dividend for less than 10 years.

Growing Dividend: SWKS's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (28.7%), SWKS's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SWKS's dividends in 3 years are forecast to be well covered by earnings (25.1% payout ratio).


Next Steps

Management

What is the CEO of Skyworks Solutions's salary, the management and board of directors tenure and is there insider trading?

3.2yrs

Average management tenure


CEO

Liam Griffin (52yo)

3.4yrs

Tenure

US$9,342,113

Compensation

Mr. Liam K. Griffin has been the President of Skyworks Solutions, Inc. since May 8, 2014 and its Chief Executive Officer since May 11, 2016. Mr. Griffin has been an Independent Director at National Instrum ...


CEO Compensation Analysis

Compensation vs. Market: Liam's total compensation ($USD9.34M) is about average for companies of similar size in the US market ($USD11.18M).

Compensation vs Earnings: Liam's compensation has been consistent with company performance over the past year.


Management Age and Tenure

3.2yrs

Average Tenure

52yo

Average Age

Experienced Management: SWKS's management team is considered experienced (3.2 years average tenure).


Board Age and Tenure

9.4yrs

Average Tenure

59yo

Average Age

Experienced Board: SWKS's board of directors are considered experienced (9.4 years average tenure).


Insider Trading

Insider Buying: SWKS insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$291,55017 Sep 19
Timothy Furey
EntityIndividual
Role
Member of the Board of Directors
Non-Employee Director
Shares3,500
Max PriceUS$83.30
SellUS$183,77518 Jun 19
Timothy Furey
EntityIndividual
Role
Member of the Board of Directors
Non-Employee Director
Shares2,500
Max PriceUS$73.51

Ownership Breakdown


Management Team

  • Mitch Haws (55yo)

    Vice President of Investor Relations

    • Tenure: 3.3yrs
  • Liam Griffin (52yo)

    CEO, President & Director

    • Tenure: 3.4yrs
    • Compensation: US$9.34m
  • Pilar Barrigas

    Head of Media Relations

    • Tenure: 0yrs
  • Peter Gammel (58yo)

    Chief Technology Officer

    • Tenure: 6.6yrs
    • Compensation: US$2.29m
  • Kris Sennesael (50yo)

    Senior VP & CFO

    • Tenure: 3.2yrs
    • Compensation: US$3.33m
  • Kari Durham (51yo)

    Senior Vice President of Human Resources

    • Tenure: 0yrs
  • Carlos Bori (48yo)

    Senior Vice President of Sales & Marketing

    • Tenure: 3.3yrs
    • Compensation: US$3.15m
  • Joel King (45yo)

    Senior VP & GM of Mobile Solutions Business

    • Tenure: 1.8yrs
  • Robert Terry (53yo)

    Senior VP

    • Tenure: 2.9yrs
    • Compensation: US$2.24m
  • Steve Machuga (54yo)

    Vice President of Worldwide Operations

    • Tenure: 2.7yrs

Board Members

  • Rob Schriesheim (58yo)

    Independent Non-Employee Director

    • Tenure: 13.4yrs
    • Compensation: US$300.11k
  • Bala Iyer (62yo)

    Non-Employee Director

    • Tenure: 17.3yrs
    • Compensation: US$297.36k
  • Kevin Beebe (60yo)

    Non-Employee Director

    • Tenure: 15.8yrs
    • Compensation: US$293.61k
  • Dave Aldrich (62yo)

    Chairman of the Board

    • Tenure: 5.4yrs
    • Compensation: US$10.81m
  • Tim Furey (61yo)

    Non-Employee Director

    • Tenure: 21.8yrs
    • Compensation: US$286.61k
  • Dave McGlade (58yo)

    Non-Employee Director

    • Tenure: 14.7yrs
    • Compensation: US$286.61k
  • Liam Griffin (52yo)

    CEO, President & Director

    • Tenure: 3.4yrs
    • Compensation: US$9.34m
  • Chris King (69yo)

    Lead Independent Director

    • Tenure: 0.4yrs
    • Compensation: US$291.61k
  • Alan Batey (56yo)

    Director

    • Tenure: 0.2yrs
  • Kim Stevenson (56yo)

    Independent Director

    • Tenure: 1.3yrs
    • Compensation: US$205.00k

Company Information

Skyworks Solutions, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Skyworks Solutions, Inc.
  • Ticker: SWKS
  • Exchange: NasdaqGS
  • Founded: 1962
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Market Cap: US$15.070b
  • Shares outstanding: 171.70m
  • Website: https:// www.skyworksinc.com

Number of Employees


Location

  • Skyworks Solutions, Inc.
  • 20 Sylvan Road
  • Woburn
  • Massachusetts
  • 1801
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SWKSNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJun 2002
AWMDB (Deutsche Boerse AG)YesCommon StockDEEURJun 2002
SWKSWBAG (Wiener Boerse AG)YesCommon StockATEURJun 2002
0L77LSE (London Stock Exchange)YesCommon StockGBUSDJun 2002

Biography

Skyworks Solutions, Inc., together with its subsidiaries, designs, develops, manufactures, and markets proprietary semiconductor products, including intellectual property worldwide. Its product portfolio i ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/19 23:40
End of Day Share Price2019/10/18 00:00
Earnings2019/06/28
Annual Earnings2018/09/28


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.