Skyworks trades at 16x forward earnings with a 4% dividend, is up 13% in a year versus a 28% S&P 500 gain, and remains 55% below its 2021 highs due to smartphone weakness and Apple reliance. It launched timing chips for AI data centers and saw Broad Markets revenue rise 11%.
Skyworks trades at 16x forward earnings with a 4% dividend yield, reflecting an undemanding valuation despite broader semiconductor strength. Its stock has risen 13% over the past year versus a 28% S&P 500 gain and remains 55% below its 2021 highs due to smartphone market weakness and heavy reliance on Apple.
Skyworks recently introduced ultra-precise timing chips designed for optical networking in AI data centers, addressing high-speed data synchronization needs. While this market is smaller than core interconnects, these high-margin chips demonstrate differentiated technology that could gain traction as data center traffic grows.
The company's Broad Markets segment—which includes automotive, industrial and IoT RF components—grew 11% year over year last quarter, driven by rising demand for wireless connectivity in edge and hybrid AI applications. A proposed merger with Qorvo aims to create a larger RF supplier and further diversify Skyworks’ exposure beyond smartphones.
