📊 SWKS Key Takeaways
Is Skyworks Solutions, Inc.. (SWKS) a Good Investment?
Skyworks maintains a fortress balance sheet with strong liquidity and solid free cash flow generation, but faces significant operational headwinds with flat revenue growth and declining profitability that suggest competitive pressure. The company's very low returns on capital (2% ROE, 1.5% ROA) indicate underutilized assets despite stable cash generation.
Skyworks Solutions shows solid underlying financial health, with a strong net cash position, low leverage, ample liquidity, and very strong free cash flow generation relative to revenue. However, flat revenue and meaningful year-over-year declines in net income and EPS indicate weakening earnings quality and margin pressure, which offsets the balance sheet strength. The fundamentals support resilience, but not a clearly improving growth or profitability trajectory.
Why Buy Skyworks Solutions, Inc.. Stock? SWKS Key Strengths
- Fortress balance sheet with minimal leverage (0.09x debt/equity ratio) and $1.4B cash reserves
- Strong liquidity position with 2.38x current ratio and 1.70x quick ratio for operational flexibility
- Robust free cash flow generation of $306.9M with 15.5% FCF margin providing capital optionality
- Adequate gross margin of 41.1% demonstrating reasonable manufacturing efficiency
- Strong interest coverage ratio of 10.5x with minimal debt service risk
- Strong balance sheet with $1.55B in cash, low debt, and debt/equity of just 0.09x
- Healthy liquidity profile with 2.40x current ratio and 1.80x quick ratio
- Robust cash generation with $339.0M in free cash flow and a 32.7% FCF margin
SWKS Stock Risks: Skyworks Solutions, Inc.. Investment Risks
- Revenue stagnation at 0% YoY growth indicating lack of organic expansion in core markets
- Sharp earnings deterioration with net income declining 19.9% YoY and EPS down 16.5% YoY signaling margin compression
- Extremely low return on equity (2%) and return on assets (1.5%) suggesting capital inefficiency and underperforming asset deployment
- Thin operating margin of 7.4% leaves minimal cushion against market disruptions in cyclical semiconductor sector
- Minimal insider activity (1 Form 4 filing in 90 days) suggests low management confidence in current fundamentals
- Revenue is flat year over year, signaling limited near-term growth momentum
- Net income fell 19.9% and diluted EPS declined 16.5%, indicating earnings pressure
- Operating profitability is modest for the sector, with a 10.0% operating margin and low reported ROE/ROA
Key Metrics to Watch
- Quarterly sequential revenue trends and gross margin sustainability amid competitive pressures
- Operating cash flow conversion and free cash flow trajectory as capital expenditures evolve
- Return on equity improvement pathway and management's capital allocation strategy
- Operating margin expansion initiatives and ability to reverse earnings decline
- Debt-to-equity ratio stability and balance sheet utilization for strategic investments or shareholder returns
- Revenue growth acceleration and diversification of end-market demand
- Operating margin and net income trend relative to free cash flow sustainability
Skyworks Solutions, Inc.. (SWKS) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 2.38x current ratio provides a solid financial cushion.
SWKS Profit Margin, ROE & Profitability Analysis
SWKS vs Technology Sector: How Skyworks Solutions, Inc.. Compares
How Skyworks Solutions, Inc.. compares to Technology sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Skyworks Solutions, Inc.. Stock Overvalued? SWKS Valuation Analysis 2026
Based on fundamental analysis, Skyworks Solutions, Inc.. has mixed fundamental signals relative to the Technology sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Skyworks Solutions, Inc.. Balance Sheet: SWKS Debt, Cash & Liquidity
SWKS Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Skyworks Solutions, Inc..'s revenue has remained relatively flat over the 5-year period, with a 7% decline. The most recent EPS of $6.13 reflects profitable operations.
SWKS Revenue Growth, EPS Growth & YoY Performance
SWKS Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q2 2026 | $943.7M | $35.6M | $0.24 |
| Q1 2026 | $1.0B | $79.2M | $0.53 |
| Q3 2025 | $905.5M | $68.7M | $0.70 |
| Q2 2025 | $953.2M | $68.7M | $0.43 |
| Q1 2025 | $1.1B | $162.0M | $1.00 |
| Q3 2024 | $905.5M | $120.9M | $0.75 |
| Q2 2024 | $1.0B | $183.3M | $1.14 |
| Q1 2024 | $1.2B | $231.3M | $1.44 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Skyworks Solutions, Inc.. Dividends, Buybacks & Capital Allocation
SWKS SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Skyworks Solutions, Inc.. (CIK: 0000004127)
📋 Recent SEC Filings
| Date | Form | Document | Action |
|---|---|---|---|
| May 15, 2026 | 4 | xslF345X06/wk-form4_1778875656.xml | View → |
| May 15, 2026 | 4 | xslF345X06/wk-form4_1778875637.xml | View → |
| May 15, 2026 | 4 | xslF345X06/wk-form4_1778875606.xml | View → |
| May 15, 2026 | 4 | xslF345X06/wk-form4_1778875576.xml | View → |
| May 15, 2026 | 4 | xslF345X06/wk-form4_1778875540.xml | View → |
❓ Frequently Asked Questions about SWKS
What is the AI rating for SWKS?
Skyworks Solutions, Inc.. (SWKS) has a Combined AI Rating of HOLD from Claude (HOLD) and ChatGPT (HOLD) with 77% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are SWKS's key strengths?
Claude: Fortress balance sheet with minimal leverage (0.09x debt/equity ratio) and $1.4B cash reserves. Strong liquidity position with 2.38x current ratio and 1.70x quick ratio for operational flexibility. ChatGPT: Strong balance sheet with $1.55B in cash, low debt, and debt/equity of just 0.09x. Healthy liquidity profile with 2.40x current ratio and 1.80x quick ratio.
What are the risks of investing in SWKS?
Claude: Revenue stagnation at 0% YoY growth indicating lack of organic expansion in core markets. Sharp earnings deterioration with net income declining 19.9% YoY and EPS down 16.5% YoY signaling margin compression. ChatGPT: Revenue is flat year over year, signaling limited near-term growth momentum. Net income fell 19.9% and diluted EPS declined 16.5%, indicating earnings pressure.
What is SWKS's revenue and growth?
Skyworks Solutions, Inc.. reported revenue of $2.0B.
Does SWKS pay dividends?
Skyworks Solutions, Inc.. pays dividends, with $213.2M distributed to shareholders in the trailing twelve months.
Where can I find SWKS SEC filings?
Official SEC filings for Skyworks Solutions, Inc.. (CIK: 0000004127) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is SWKS's EPS?
Skyworks Solutions, Inc.. has a diluted EPS of $0.76.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is SWKS a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, Skyworks Solutions, Inc.. has a HOLD rating with 77% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is SWKS stock overvalued or undervalued?
Valuation metrics for SWKS: ROE of 2.0% (sector avg: 22%), net margin of 5.8% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.
Should I buy SWKS stock in 2026?
Our dual AI analysis gives Skyworks Solutions, Inc.. a combined HOLD rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is SWKS's free cash flow?
Skyworks Solutions, Inc..'s operating cash flow is $445.8M, with capital expenditures of $138.9M. FCF margin is 15.5%.
How does SWKS compare to other Technology stocks?
Vs Technology sector averages: Net margin 5.8% (avg: 18%), ROE 2.0% (avg: 22%), current ratio 2.38 (avg: 2.5).