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Skyworks Solutions (SWKS) Stock Moves -0.4%: What You Should Know

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In the latest trading session, Skyworks Solutions (SWKS - Free Report) closed at $170.98, marking a -0.4% move from the previous day. This move was narrower than the S&P 500's daily loss of 0.54%.

Coming into today, shares of the chipmaker had gained 5.33% in the past month. In that same time, the Computer and Technology sector gained 6.51%, while the S&P 500 gained 1.91%.

Wall Street will be looking for positivity from SWKS as it approaches its next earnings report date. On that day, SWKS is projected to report earnings of $2.13 per share, which would represent year-over-year growth of 70.4%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.1 billion, up 49.42% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $10.30 per share and revenue of $5 billion. These totals would mark changes of +68.03% and +48.91%, respectively, from last year.

Any recent changes to analyst estimates for SWKS should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. SWKS is currently a Zacks Rank #3 (Hold).

Valuation is also important, so investors should note that SWKS has a Forward P/E ratio of 16.67 right now. For comparison, its industry has an average Forward P/E of 16.67, which means SWKS is trading at a no noticeable deviation to the group.

Also, we should mention that SWKS has a PEG ratio of 0.91. 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 1.22 based on yesterday's closing prices.

The Semiconductors - Radio Frequency industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 202, which puts it in the bottom 21% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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