Skyworks Solutions (SWKS -1.53%) has disappointed investors so far this year, as share prices of the Apple (AAPL 0.01%) component supplier have slipped nearly 12% thanks to the broader sell-off in tech stocks. But the company's latest quarterly report points toward a turnaround.

Share prices of the chipmaker fell 2.5% following the Feb. 3 release of its fiscal 2022 first-quarter results (for the three months ending on Dec. 31), and they have failed to recover since. But savvy investors should treat the pullback as an opportunity. Let's look at the reasons why Skyworks Solutions is primed for a turnaround.

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Skyworks Solutions is about to step on the gas

Skyworks Solutions reported Q1 revenue of $1.51 billion, a quarterly record. The chipmaker's top line was flat year over year but exceeded the consensus estimate of $1.5 billion. The company reported adjusted earnings of $3.14 per share for the quarter, down from $3.36 per share in the prior-year period. Wall Street was looking for adjusted earnings of $3.11 per share.

Skyworks' latest numbers point toward a major slowdown from its fiscal 2021 fourth-quarter results. But investors shouldn't miss the fact that the company was facing tough year-over-year comparisons in Q1 on account of the delayed launch of the iPhone 12 in 2020. Apple's iPhone 12 went on sale in October 2020, leading to a sharp increase in Skyworks' revenue in the first quarter of fiscal 2021, which coincided with the launch of the device.

For comparison, Apple released the iPhone 13 in September 2021, which coincided with Skyworks' fiscal fourth quarter, leading to the terrific top and bottom-line growth during that period. Additionally, supply chain constraints faced by Skyworks and its largest customer Apple, which produced 59% of its total revenue in fiscal 2021, also weighed on the chipmaker's numbers last quarter.

However, Skyworks' guidance indicates that it is about to switch to a higher gear. The company anticipates $1.33 billion in revenue and $2.62 per share in adjusted earnings at the midpoint of its guidance range in the current quarter, which ends in March. That points toward a double-digit increase in the company's earnings and revenue this quarter over fiscal 2021 Q2 revenue of $1.17 billion and non-GAAP earnings of $2.37 per share.

So Skyworks is all set to return to growth in the current quarter. It wouldn't be surprising to see the company maintain its momentum for the remainder of the year and beyond.

These growth drivers should help sustain the momentum

Apple is the biggest catalyst for Skyworks given the amount of revenue the iPhone maker contributes to the latter's top line. Various third-party estimates suggest that Apple's iPhone sales could take off this year, which is a good thing for the chipmaker, as the iPhone 13 models are equipped with a couple of front-end modules from Skyworks.

According to one estimate, Apple could bump its production in the first half of 2022 by 30% over the prior year to meet the robust demand for the device. The company's full-year target reportedly stands at 300 million iPhones, which would be a big increase over the 236 million units it shipped last year. There are some conservative estimates as well, such as the one from Yasuo Nakane of Mizuho Securities, who estimates that Apple could ship 259 million iPhones this year.

Throw in the rumors of a new, budget-friendly, 5G-enabled iPhone SE that's expected to hit the market next month, and Skyworks will have an additional Apple device to cater to. So a potential improvement in the shipments of its largest customer should rub off positively on Skyworks, but there are some other notable catalysts as well.

For instance, Skyworks' 5G chip platform is used by a wide range of smartphone OEMs (original equipment manufacturers) such as Samsung, Vivo, Oppo, and Xiaomi, among others. This puts the company in a solid position to grow its mobile business, which produced 68% of its revenue last quarter, especially considering the secular growth in sales of 5G smartphones.

Skyworks estimates that 5G smartphone subscriptions could jump from an estimated 700 million this year to 4.4 billion in 2027, and the company's client base should help it take advantage of this booming market.

On the other hand, Skyworks' connectivity chips, which are used for powering automotive solutions, the Internet of Things (IoT), wireless infrastructure deployments, and other 5G solutions, are also gaining immense traction. This is evident from the 46% year-over-year growth in Skyworks' revenue from the broad markets segment, which represents sales to non-mobile customers. The segment registered a record $477 million in revenue last quarter, and helped offset the weakness in the mobile business to a great extent.

Skyworks expects this business to keep growing at an impressive pace as its customers launch new products such as routers and its automotive solutions are adopted by electric vehicle manufacturers. Additionally, Skyworks has scored design wins in the industrial IoT space, where the likes of Honeywell, Thales, and Itron are expected to use the chipmaker's solutions in factory automation.

The stock is a solid buy right now

Analysts expect Skyworks' revenue to increase 11% in fiscal 2022 along with earnings growth of 10%, but it wouldn't be surprising to see the company grow at a faster pace given its outlook and the catalysts discussed above. The chipmaker is expected to maintain its double-digit earnings growth rate for the next five years.

All this makes Skyworks an enticing bet right now, as it is trading at just 16 times trailing earnings, a discount to its five-year average earnings multiple of 21. The forward earnings multiple of 11.8 points toward impressive bottom-line growth, so investors looking to add a 5G stock to their portfolios should take a closer look at Skyworks since it is on track to get better in the long run.