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For the fiscal first quarter, revenues are expected to be in the range of $1.300-$1.350 billion. Revenues are expected to decline sequentially.
Non-GAAP earnings are anticipated to be $2.59 per share at the mid-point of this revenue guidance.
The Zacks Consensus Estimate for fiscal first-quarter revenues is pegged at $1.32 billion, suggesting a 12.81% decline from the figure reported in the year-ago quarter.
The consensus mark for earnings has been steady at $2.59 per share in the past 30 days, suggesting 17.52% growth from the figure reported in the year-ago quarter.
Skyworks’ earnings beat the Zacks Consensus Estimate in all the trailing four quarters, delivering an earnings surprise of 2.13% on average.
Let’s see how things have shaped up for the upcoming announcement.
Factors Likely to Have Influenced Q1 Performance
Robust uptake of 5G, Wi-Fi 6 and 6E solutions is likely to have driven Skyworks’ top line in the fiscal first quarter. Demand has been driven by a growing need for high-speed connectivity amid the pandemic-induced surge in hybrid work environments, video-streaming and web-based learning trends.
Accelerated 5G deployment globally has been a tailwind for Skyworks. Emerging use cases of 5G in end-markets like automotive and industrial IoT, and technologies like virtual reality, gaming and telemedicine are expected to have driven demand for Skyworks’ 5G solutions.
Moreover, momentum for Skyworks’ bulk acoustic wave ("BAW") filters, particularly in mobile and broad markets, is likely to have driven the top-line performance. The company has been witnessing significant design wins for BAW-enabled devices.
However, challenging macroeconomic conditions, rising inflation, the adverse effect of the COVID-related lockdown in China and the negative impact of the Russia-Ukraine conflict on European sales are anticipated to have limited Skyworks' top-line growth.
Moreover, shrinking demand for smartphones is expected to have weighed on top-line growth as well as margin expansion in the to-be-reported quarter.
What Our Model Says
Per the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here.
Skyworks has an Earnings ESP of 0.00% and carries a Zacks Rank #4 (Sell) at present. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks to Consider
Here are a few companies worth considering, as our model shows that these have the right combination of elements to beat on earnings in their upcoming releases:
Image: Bigstock
Skyworks (SWKS) to Report Q1 Earnings: What's in the Cards?
Skyworks Solutions (SWKS - Free Report) is slated to release its first-quarter fiscal 2023 results on Feb 6.
For the fiscal first quarter, revenues are expected to be in the range of $1.300-$1.350 billion. Revenues are expected to decline sequentially.
Non-GAAP earnings are anticipated to be $2.59 per share at the mid-point of this revenue guidance.
The Zacks Consensus Estimate for fiscal first-quarter revenues is pegged at $1.32 billion, suggesting a 12.81% decline from the figure reported in the year-ago quarter.
The consensus mark for earnings has been steady at $2.59 per share in the past 30 days, suggesting 17.52% growth from the figure reported in the year-ago quarter.
Skyworks Solutions, Inc. Price and EPS Surprise
Skyworks Solutions, Inc. price-eps-surprise | Skyworks Solutions, Inc. Quote
Skyworks’ earnings beat the Zacks Consensus Estimate in all the trailing four quarters, delivering an earnings surprise of 2.13% on average.
Let’s see how things have shaped up for the upcoming announcement.
Factors Likely to Have Influenced Q1 Performance
Robust uptake of 5G, Wi-Fi 6 and 6E solutions is likely to have driven Skyworks’ top line in the fiscal first quarter. Demand has been driven by a growing need for high-speed connectivity amid the pandemic-induced surge in hybrid work environments, video-streaming and web-based learning trends.
Accelerated 5G deployment globally has been a tailwind for Skyworks. Emerging use cases of 5G in end-markets like automotive and industrial IoT, and technologies like virtual reality, gaming and telemedicine are expected to have driven demand for Skyworks’ 5G solutions.
Moreover, momentum for Skyworks’ bulk acoustic wave ("BAW") filters, particularly in mobile and broad markets, is likely to have driven the top-line performance. The company has been witnessing significant design wins for BAW-enabled devices.
However, challenging macroeconomic conditions, rising inflation, the adverse effect of the COVID-related lockdown in China and the negative impact of the Russia-Ukraine conflict on European sales are anticipated to have limited Skyworks' top-line growth.
Moreover, shrinking demand for smartphones is expected to have weighed on top-line growth as well as margin expansion in the to-be-reported quarter.
What Our Model Says
Per the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here.
Skyworks has an Earnings ESP of 0.00% and carries a Zacks Rank #4 (Sell) at present. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks to Consider
Here are a few companies worth considering, as our model shows that these have the right combination of elements to beat on earnings in their upcoming releases:
Cambium Networks (CMBM - Free Report) has an Earnings ESP of +9.27% and a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.
Cambium shares have declined 9.9% in the past year. CMBM is set to report its fourth-quarter 2022 results on Feb 16.
Bruker (BRKR - Free Report) has an Earnings ESP of +3.88% and a Zacks Rank of 2, at present.
Bruker shares have gained 8.2% in the past year. BRKR is set to report its fourth-quarter 2022 results on Feb 9.
Perion Network (PERI - Free Report) has an Earnings ESP of +13.40% and a Zacks Rank #3.
Perion shares have gained 76.1% in the past year. PERI is set to report its fourth-quarter 2022 results on Feb 8.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.