Skyworks beats Q3 revenue, adjusted EPS estimates; sets $2 bln buyback

Overview

• U.S. analog semiconductor maker's fiscal Q3 revenue and adjusted EPS beat analyst expectations

• Company announced new $2 bln stock repurchase program as part of capital allocation framework

• Automotive and data center segments drove broad markets growth in the quarter

Outlook

• Skyworks sees Q4 revenue between $1.01 bln and $1.06 bln

• Company expects Q4 non-GAAP diluted EPS of $1.27 at midpoint of revenue range

• Skyworks board approves new $2 bln stock repurchase program; quarterly dividends suspended

Result Drivers

• AUTOMOTIVE AND DATA CENTER GROWTH - Co said broad markets growth was led by double-digit gains in automotive and data center segments

• MOBILE DEMAND - Co said mobile segment performed well on healthy demand

Company press release: ID:nGNX1yg5G1

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 19 "hold" and 3 "sell" or "strong sell"

• The average consensus recommendation for the semiconductors peer group is "buy."

• Wall Street's median 12-month price target for Skyworks Solutions Inc is $75.00, about 18.2% above its July 27 closing price of $63.44

• The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 11 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)