SKYWORKS SOLUTIONS INC (1SWKS.MI) Stock Fundamental Analysis
BIT:1SWKS - Euronext Milan - US83088M1027 - Common Stock - Currency: EUR
Taking everything into account, 1SWKS scores 5 out of 10 in our fundamental rating. 1SWKS was compared to 54 industry peers in the Semiconductors & Semiconductor Equipment industry. While 1SWKS has a great health rating, its profitability is only average at the moment. 1SWKS is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year 1SWKS was profitable.
1SWKS had a positive operating cash flow in the past year.
In the past 5 years 1SWKS has always been profitable.
In the past 5 years 1SWKS always reported a positive cash flow from operatings.
1.2 Ratios
1SWKS's Return On Assets of 5.23% is in line compared to the rest of the industry. 1SWKS outperforms 44.44% of its industry peers.
With a Return On Equity value of 6.94%, 1SWKS is not doing good in the industry: 62.96% of the companies in the same industry are doing better.
With a Return On Invested Capital value of 6.43%, 1SWKS perfoms like the industry average, outperforming 44.44% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for 1SWKS is below the industry average of 16.29%.
The last Return On Invested Capital (6.43%) for 1SWKS is well below the 3 year average (11.51%), which needs to be investigated, but indicates that 1SWKS had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.23% | ||
| ROE | 6.94% | ||
| ROIC | 6.43% |
ROA(3y)11.08%
ROA(5y)13.33%
ROE(3y)16.29%
ROE(5y)19.35%
ROIC(3y)11.51%
ROIC(5y)12.89%
1.3 Margins
With a Profit Margin value of 10.43%, 1SWKS perfoms like the industry average, outperforming 40.74% of the companies in the same industry.
In the last couple of years the Profit Margin of 1SWKS has declined.
1SWKS has a Operating Margin (15.78%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of 1SWKS has declined.
1SWKS has a Gross Margin of 41.18%. This is in the lower half of the industry: 1SWKS underperforms 61.11% of its industry peers.
1SWKS's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.78% | ||
| PM (TTM) | 10.43% | ||
| GM | 41.18% |
OM growth 3Y-15.95%
OM growth 5Y-7.87%
PM growth 3Y-21.35%
PM growth 5Y-10.81%
GM growth 3Y-5.74%
GM growth 5Y-2.81%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), 1SWKS is creating some value.
Compared to 1 year ago, 1SWKS has more shares outstanding
1SWKS has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, 1SWKS has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 5.28 indicates that 1SWKS is not in any danger for bankruptcy at the moment.
1SWKS's Altman-Z score of 5.28 is in line compared to the rest of the industry. 1SWKS outperforms 55.56% of its industry peers.
1SWKS has a debt to FCF ratio of 0.75. This is a very positive value and a sign of high solvency as it would only need 0.75 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.75, 1SWKS belongs to the top of the industry, outperforming 81.48% of the companies in the same industry.
A Debt/Equity ratio of 0.17 indicates that 1SWKS is not too dependend on debt financing.
1SWKS's Debt to Equity ratio of 0.17 is fine compared to the rest of the industry. 1SWKS outperforms 61.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 0.75 | ||
| Altman-Z | 5.28 |
ROIC/WACC0.67
WACC9.56%
2.3 Liquidity
A Current Ratio of 4.95 indicates that 1SWKS has no problem at all paying its short term obligations.
The Current ratio of 1SWKS (4.95) is better than 90.74% of its industry peers.
1SWKS has a Quick Ratio of 3.84. This indicates that 1SWKS is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 3.84, 1SWKS belongs to the top of the industry, outperforming 92.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.95 | ||
| Quick Ratio | 3.84 |
3. Growth
3.1 Past
The earnings per share for 1SWKS have decreased strongly by -24.83% in the last year.
1SWKS shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 0.35% yearly.
Looking at the last year, 1SWKS shows a very negative growth in Revenue. The Revenue has decreased by -12.90% in the last year.
The Revenue has been growing slightly by 4.35% on average over the past years.
EPS 1Y (TTM)-24.83%
EPS 3Y-15.75%
EPS 5Y0.35%
EPS Q2Q%-20%
Revenue 1Y (TTM)-12.9%
Revenue growth 3Y-6.49%
Revenue growth 5Y4.35%
Sales Q2Q%-8.87%
3.2 Future
The Earnings Per Share is expected to grow by 4.30% on average over the next years.
Based on estimates for the next years, 1SWKS will show a small growth in Revenue. The Revenue will grow by 1.46% on average per year.
EPS Next Y-17.51%
EPS Next 2Y-16.84%
EPS Next 3Y-3.96%
EPS Next 5Y4.3%
Revenue Next Year-8.27%
Revenue Next 2Y-7.35%
Revenue Next 3Y-2%
Revenue Next 5Y1.46%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 11.97 indicates a reasonable valuation of 1SWKS.
Compared to the rest of the industry, the Price/Earnings ratio of 1SWKS indicates a rather cheap valuation: 1SWKS is cheaper than 98.15% of the companies listed in the same industry.
1SWKS's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.51.
The Price/Forward Earnings ratio is 15.42, which indicates a correct valuation of 1SWKS.
70.37% of the companies in the same industry are more expensive than 1SWKS, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of 1SWKS to the average of the S&P500 Index (35.58), we can say 1SWKS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.97 | ||
| Fwd PE | 15.42 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1SWKS indicates a somewhat cheap valuation: 1SWKS is cheaper than 74.07% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, 1SWKS is valued cheaply inside the industry as 98.15% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.6 | ||
| EV/EBITDA | 8.71 |
4.3 Compensation for Growth
A cheap valuation may be justified as 1SWKS's earnings are expected to decrease with -3.96% in the coming years.
PEG (NY)N/A
PEG (5Y)33.81
EPS Next 2Y-16.84%
EPS Next 3Y-3.96%
5. Dividend
5.1 Amount
1SWKS has a Yearly Dividend Yield of 3.89%. Purely for dividend investing, there may be better candidates out there.
1SWKS's Dividend Yield is rather good when compared to the industry average which is at 1.19. 1SWKS pays more dividend than 100.00% of the companies in the same industry.
1SWKS's Dividend Yield is rather good when compared to the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.89% |
5.2 History
The dividend of 1SWKS is nicely growing with an annual growth rate of 11.77%!
Dividend Growth(5Y)11.77%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
107.79% of the earnings are spent on dividend by 1SWKS. This is not a sustainable payout ratio.
1SWKS's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP107.79%
EPS Next 2Y-16.84%
EPS Next 3Y-3.96%
BIT:1SWKS (5/26/2025, 7:00:00 PM)
58.17
-6.08 (-9.46%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners102.78%
Inst Owner ChangeN/A
Ins Owners0.24%
Ins Owner ChangeN/A
Market Cap8.73B
Analysts53.75
Price Target60.68 (4.31%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.89% |
Yearly Dividend2.39
Dividend Growth(5Y)11.77%
DP107.79%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.53%
Min EPS beat(2)-0.08%
Max EPS beat(2)1.13%
EPS beat(4)1
Avg EPS beat(4)-0.34%
Min EPS beat(4)-2.17%
Max EPS beat(4)1.13%
EPS beat(8)2
Avg EPS beat(8)-0.04%
EPS beat(12)4
Avg EPS beat(12)-0.13%
EPS beat(16)5
Avg EPS beat(16)-0.28%
Revenue beat(2)0
Avg Revenue beat(2)-1.74%
Min Revenue beat(2)-1.78%
Max Revenue beat(2)-1.7%
Revenue beat(4)0
Avg Revenue beat(4)-1.61%
Min Revenue beat(4)-1.78%
Max Revenue beat(4)-1.4%
Revenue beat(8)0
Avg Revenue beat(8)-1.75%
Revenue beat(12)0
Avg Revenue beat(12)-1.72%
Revenue beat(16)0
Avg Revenue beat(16)-1.61%
PT rev (1m)-15.55%
PT rev (3m)-15.55%
EPS NQ rev (1m)16.84%
EPS NQ rev (3m)16.84%
EPS NY rev (1m)6.15%
EPS NY rev (3m)6.15%
Revenue NQ rev (1m)1.9%
Revenue NQ rev (3m)1.9%
Revenue NY rev (1m)0.31%
Revenue NY rev (3m)0.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.97 | ||
| Fwd PE | 15.42 | ||
| P/S | 2.54 | ||
| P/FCF | 7.6 | ||
| P/OCF | 6.54 | ||
| P/B | 1.69 | ||
| P/tB | 3.44 | ||
| EV/EBITDA | 8.71 |
EPS(TTM)4.86
EY8.35%
EPS(NY)3.77
Fwd EY6.48%
FCF(TTM)7.66
FCFY13.16%
OCF(TTM)8.89
OCFY15.28%
SpS22.87
BVpS34.37
TBVpS16.92
PEG (NY)N/A
PEG (5Y)33.81
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.23% | ||
| ROE | 6.94% | ||
| ROCE | 8.57% | ||
| ROIC | 6.43% | ||
| ROICexc | 8.11% | ||
| ROICexgc | 17% | ||
| OM | 15.78% | ||
| PM (TTM) | 10.43% | ||
| GM | 41.18% | ||
| FCFM | 33.48% |
ROA(3y)11.08%
ROA(5y)13.33%
ROE(3y)16.29%
ROE(5y)19.35%
ROIC(3y)11.51%
ROIC(5y)12.89%
ROICexc(3y)13.12%
ROICexc(5y)15.08%
ROICexgc(3y)26.9%
ROICexgc(5y)29.72%
ROCE(3y)15.35%
ROCE(5y)17.19%
ROICexcg growth 3Y-19.58%
ROICexcg growth 5Y-9.35%
ROICexc growth 3Y-17.2%
ROICexc growth 5Y-13.88%
OM growth 3Y-15.95%
OM growth 5Y-7.87%
PM growth 3Y-21.35%
PM growth 5Y-10.81%
GM growth 3Y-5.74%
GM growth 5Y-2.81%
F-Score4
Asset Turnover0.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 0.75 | ||
| Debt/EBITDA | 0.92 | ||
| Cap/Depr | 46.52% | ||
| Cap/Sales | 5.39% | ||
| Interest Coverage | 24.55 | ||
| Cash Conversion | 142.05% | ||
| Profit Quality | 321.06% | ||
| Current Ratio | 4.95 | ||
| Quick Ratio | 3.84 | ||
| Altman-Z | 5.28 |
F-Score4
WACC9.56%
ROIC/WACC0.67
Cap/Depr(3y)50.97%
Cap/Depr(5y)82.32%
Cap/Sales(3y)6.21%
Cap/Sales(5y)8.65%
Profit Quality(3y)170.68%
Profit Quality(5y)137.14%
High Growth Momentum
Growth
EPS 1Y (TTM)-24.83%
EPS 3Y-15.75%
EPS 5Y0.35%
EPS Q2Q%-20%
EPS Next Y-17.51%
EPS Next 2Y-16.84%
EPS Next 3Y-3.96%
EPS Next 5Y4.3%
Revenue 1Y (TTM)-12.9%
Revenue growth 3Y-6.49%
Revenue growth 5Y4.35%
Sales Q2Q%-8.87%
Revenue Next Year-8.27%
Revenue Next 2Y-7.35%
Revenue Next 3Y-2%
Revenue Next 5Y1.46%
EBIT growth 1Y-34.56%
EBIT growth 3Y-21.4%
EBIT growth 5Y-3.86%
EBIT Next Year-1.72%
EBIT Next 3Y0.66%
EBIT Next 5Y4.02%
FCF growth 1Y6.87%
FCF growth 3Y13.6%
FCF growth 5Y11.7%
OCF growth 1Y-6.06%
OCF growth 3Y0.98%
OCF growth 5Y5.94%