Please ensure Javascript is enabled for purposes of website accessibility

Why Skyworks Solutions Stock Climbed Higher Today

By Evan Niu, CFA - Updated Jan 19, 2021 at 4:11PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Raymond James boosts its price target on the wireless technology specialist.

What happened

Shares of Skyworks Solutions (SWKS 2.79%) have climbed higher today, up by 6% as of 3:30 p.m. EST, after getting a price-target boost from a Wall Street analyst. Raymond James analyst Chris Caso reiterated an outperform rating on the stock while increasing his price target from $170 to $175, which represents approximately 15% upside from Friday's closing price.

So what

Additional details regarding the research note were not immediately available, but investors and analysts have become increasingly bullish on Apple's iPhone sales over the holidays following various data points and research estimates. The Cupertino tech giant is Skyworks' largest customer, representing 56% of  revenue last fiscal year, making Skyworks a favorite Apple supplier play among investors looking to additional ways to invest in the iPhone.

Front and back views of the iPhone 12 in black.

Image source: Apple.

About a month ago, Counterpoint Research released estimates that suggested that the iPhone 12 quickly became the No. 1 5G smartphone in the world after launching in the fall. Shortly after that report, Wedbush analyst Dan Ives put out a research note estimating that iPhone 12 sales topped even its most bullish forecasts. Based on supply-chain checks, Apple's manufacturing partners may have produced 90 million to 95 million iPhones in the fourth quarter, according to Wedbush.

Now what

Skyworks is scheduled to report fiscal first-quarter results on Jan. 28. The company's guidance  calls for revenue of $1.04 billion to $1.07 billion and adjusted earnings per share of $2.06. Analysts are looking for $1.05 billion in sales and $2.08 per share in adjusted profits.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Skyworks Solutions, Inc. Stock Quote
Skyworks Solutions, Inc.
SWKS
$104.54 (2.79%) $2.84
Apple Inc. Stock Quote
Apple Inc.
AAPL
$143.78 (2.32%) $3.26

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning service.

Stock Advisor Returns
332%
 
S&P 500 Returns
118%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 05/26/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.