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    Assessing Skyworks Solutions (SWKS) Valuation After Recent Share Price Moves And Long Term Return Pressures

    Simply Wall St·01/07/2026 11:21:30
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    Skyworks Solutions (SWKS) is back in focus after recent share price moves, with the stock reflecting mixed performance over the past month and the past 3 months, prompting investors to reassess expectations and risks.

    See our latest analysis for Skyworks Solutions.

    Against a 1-day share price return of 1.70% and a 7-day share price return of 2.81%, the 1-year total shareholder return of 25.47% and 5-year total shareholder return of 52.33% declines show that, despite recent positive momentum, longer term investors have faced sustained pressure as sentiment and perceived risk around Skyworks has shifted.

    If Skyworks has you rethinking your chip exposure, it can be useful to scan other semiconductor related names through high growth tech and AI stocks to see how the rest of the sector compares.

    With Skyworks posting recent gains but 1-year and 5-year returns still in decline, along with a discount to some valuation estimates, the key question is simple: is this a reset that creates opportunity, or is the market already pricing in future growth?

    Most Popular Narrative: 20.8% Undervalued

    With Skyworks closing at $66.27 against a narrative fair value estimate of $83.63, the valuation gap is tied to very specific long term margin and earnings expectations.

    Analysts expect earnings to reach $520.7 million (and earnings per share of $3.56) by about September 2028, up from $396.2 million today. However, there is a considerable amount of disagreement amongst the analysts, with the most bullish expecting $705.5 million in earnings and the most bearish expecting $251 million.

    Read the complete narrative.

    Curious what kind of revenue mix, margin lift, and earnings multiple would support that gap to fair value? The narrative leans on specific growth, profitability, and valuation hurdles that need to line up. The full breakdown shows exactly how those moving parts connect.

    Result: Fair Value of $83.63 (UNDERVALUED)

    Have a read of the narrative in full and understand what's behind the forecasts.

    However, this hinges on mobile and handset demand holding up, and any pullback from Skyworks’ largest customer or tougher RF pricing could quickly challenge that thesis.

    Find out about the key risks to this Skyworks Solutions narrative.

    Build Your Own Skyworks Solutions Narrative

    If you see the numbers differently or want to stress test your own assumptions, you can build a custom Skyworks view in just a few minutes, starting with Do it your way.

    A great starting point for your Skyworks Solutions research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.

    Looking for more investment ideas?

    If Skyworks has sharpened your focus on where you put capital next, do not stop here. Your next strong idea could be one smart filter away.

    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.