Why Skyworks Solutions Shares Fell

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of Skyworks Solutions (Nasdaq: SWKS  ) have fallen by as much as 21% today, after the company updated guidance and kicked off its annual analyst day.

So what: The company is expecting fourth quarter revenue to be right around $420 million, which is actually on the high end of its previously provided guidance, which called for between $415 million and $420 million. Adjusted earnings per share should be $0.52, even above its previous forecast. The company is also hosting its analyst day today.

Now what: That guidance represents just an 8% sequential increase, which is more than rivals like Avago Technologies (Nasdaq: AVGO  ) are expecting, but less than what TriQuint Semiconductor (Nasdaq: TQNT  ) sees in its future. It would seem that something the company is sharing at its analyst day is causing some pessimism among investors. Unfortunately, at this point, there's not a lot of information as to what the precise culprit may be.

Interested in more info on Skyworks Solutions? Add it to your watchlist by clicking here.

Fool contributor Evan Niuholds no position in any company mentioned. Click here to see his holdings and a short bio. The Motley Fool owns shares of TriQuint Semiconductor. The Motley Fool has a disclosure policy. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. Try any of our Foolish newsletter services free for 30 days.


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