Entering text into the input field will update the search result below

Skyworks Solutions: RF Advancements Spur 5G Sales

Apr. 04, 2022 11:27 AM ETSkyworks Solutions, Inc. (SWKS)21 Comments
Khaveen Investments profile picture
Khaveen Investments


  • We expect continued growth for Skyworks driven by a forecasted increase in 5G phone shipments of 28.2% in 2022 and supported by its leading 5G smartphone maker customers.
  • Skyworks is a top RF supplier with a 16% market share and a comprehensive portfolio of SAW and BAW filters, and we forecast its Mobile segment growth at 8.8% in 2022.
  • However, we view the expected advancement in mmWave 5G to account for 20% of 5G share by 2025, which could pose a long-term risk with limited product development at Skyworks compared to competitors.

Skyworks Solutions office nestled in the heart of Silicon Valley. Skyworks Solutions, Inc. is an American semiconductor company

Michael Vi/iStock Editorial via Getty Images

In our previous analysis of Skyworks Solutions, Inc. (NASDAQ:SWKS), we compared the company with Qorvo and determined it to be a beneficiary of the expected rise of 5G. This is because Skyworks derives

This article was written by

Khaveen Investments profile picture
Khaveen Investments is a Global Macro Quantamental Hedge Fund managing a portfolio of globally diversified investments. With a vested interest in hundreds of investments spanning diverse asset classes, countries, sectors, and industries, we wield a multifaceted investment approach that combines top-down and bottom-up methodologies, integrating global macro, fundamental, and quantitative investment strategies. We serve accredited investors throughout the globe, which include HNW Individuals, Corporates, Associations, and Institutions. At the heart of our investment prowess lies specialized expertise in cutting-edge technologies that are reshaping the fabric of numerous industries. Our strategic orientation centers around a spectrum of booming domains, encompassing the transformative realms of Artificial Intelligence, Cloud Computing, 5G, Autonomous & Electric Vehicles, FinTech, Augmented & Virtual Reality, and the Internet of Things.www.khaveen.com

Analyst’s Disclosure: I/we have a beneficial long position in the shares of SWKS either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

No information in this publication is intended as investment, tax, accounting, or legal advice, or as an offer/solicitation to sell or buy. Material provided in this publication is for educational purposes only, and was prepared from sources and data believed to be reliable, but we do not guarantee its accuracy or completeness.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

Comments (21)

Orr77 profile picture
good overview of their business. Took an initial position today.
Skyworks is getting pummeled... Yikes $115? Are they going out of business? I would love an amazing earnings report this quarter.... Pleeze
EricInIL profile picture
10 days, 12% drop, painful... this is an article based on fundamental, but not technical and neglected overall headwind on technology, inflation and interest hike. the valuation system might be correct with QE, but not right now and future months.
Thanks for pulling this together.
“Strong Buy with a target price of $238.54.”

Sounds fair to me. How Skyworks ever dropped below $200 is unbelievable. Skyworks is a fantastic company and growing very nicely. Even the 1.7% dividend is decent.

Long: Skyworks, Marvell and Qorvo
@Hellraiser I wish we just dipped a little below $200.. Yikes we are approaching $100 per share.. Why is Mr. Market punishing this stock right now?
Mbrot profile picture
SWKS will be in mm wave when they choose to be. They can and have moved rapidly in the past. I am convinced they strategically are not pushing hard into that because of current market demand. Long SWKS, QCOM
@Mbrot Current market demand? Their #1 customer uses mmWave in their flagship U.S. handsets. How can that not = market demand for Skyworks?
Mbrot profile picture
@David RG I may go back and find the reference to that if it is not too hard. There are many products, many chips and many phones, and a lot of details about numerous products they supply. SWKS has addressed the mm wave question multiple times.
Mbrot profile picture
@David RG So for the first half of your point, that is the existing market where SWKS is seeing a lot of demand and developing a lot, but not the mm wave part I have this from the call. I will try to find mm wave comments later.

The next question comes from the line of Tristan Gerra with Baird.

Tristan Gerra

So you've talked about the strength and opportunities in the Android ecosystem. A few years ago, you really had a greenfield of opportunities in the 3 to 6 gigahertz range, notably at your key customer. So how should we look at the competitive landscape now with Qualcomm recently announced ultraBAW RS in the sub-70 gig range, MediaTek also getting in that segment. So it feels like that 3 to 6 gig segment is where you've gained a significant share a few years ago starting to get more crowded. And I'm wondering whether there could be ramifications of that, including in the Android ecosystem.

Liam Griffin

Yes. I mean we're actually in a pretty significant growth path with the bulk acoustic wave filtering technology that would populate the 3 to 6 gig range. We also have a great deal of know-how and complexity on both transmit and receive and also the way to integrate the complexity around that. So when you're dealing with the high-end smartphones that would demand that kind of performance, you got to have the isolation, you've got to have the form fit and factor to integrate all of that. Because you're going to carry all of the existing 4G ,5G stuff around it, and then you have to populate when you get to 3 to 6 gig, there's going to be some additional filtering. And that has to all be coexisting in a way that makes perfect sense within the device itself, current consumption, et cetera, size and scale.

So we know how to do that. There's absolutely no gap at all, and we are populating 3 to 6 gig now. And as we mentioned, our BAW filter technology is very robust, extremely competitive in populating some of the most iconic highest-performing phones today. So that same recipe can scale across Android, can go to the highest end, Smartphones, can find itself in applications that are not mobile applications, like automotive, for example. So we have the keys for that. So that's something to work on. The market, in some cases, is just starting to demand this technology. In some cases, the market has been behind the technology.

But now we're starting to see the intersection with the high-performance technology and the needs of the consumer and the market together. And I think that's where things really are going to accelerate.

Tristan Gerra
Very good article.
Nicely done excellent technical explanation of a complex subject, thx. Long SWKS QCOM AVGO. I been looking at adding QRVO to my bucket. I started a small position here. Thx!
Excellent article. I'm long in QRVO, QCOM, abd SWKS
Disagree with this article? Submit your own. To report a factual error in this article, . Your feedback matters to us!

About SWKS

SymbolLast Price% Chg
Market Cap
Yield (TTM)
Rev Growth (YoY)
Short Interest
Prev. Close
Compare to Peers

More on SWKS

Related Stocks

SymbolLast Price% Chg
To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.