Shares of Skyworks SWKS are ticking higher following strong quarterly results and even better guidance.
D.A. Davidson analyst Thomas Diffely boosted his price target on the stock to $65.00 and reiterated a Buy rating.
Explaining strength in Skywork’s business, Diffely wrote, “The core PA business is ramping due to Apple’s (AAPL - $93.09) upcoming iPhone 6 launch, ongoing 4G LTE buildout in China and even 3G upgrade cycles in some emerging economies… The Integrated Mobile business is benefiting from broad-based content gains and rising device complexity, and the ongoing adoption of 802.11ac. Finally, the proliferation of connectivity (Internet of Things - IoT) continues to drive the high margin Broad Markets segment.”
Related: AMD Down More Than 15% Following Quarterly Report
Diffely now thinks that the robust strength in Skywork’s business will allow the company to earn an annual $5.00 per share in the next couple years.
The $65 price target is based on 15 times 2015 earnings plus net cash.
Shares of Skyworks were last trading at $50.22, up 8.39 percent.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
date | ticker | name | Price Target | Upside/Downside | Recommendation | Firm |
---|
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.