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 53 industry peers in the Semiconductors & Semiconductor Equipment industry. 1SWKS is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. 1SWKS is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
1SWKS had positive earnings in the past year.
In the past year 1SWKS had a positive cash flow from operations.
1SWKS had positive earnings in each of the past 5 years.
Each year in the past 5 years 1SWKS had a positive operating cash flow.
1.2 Ratios
The Return On Assets of 1SWKS (5.23%) is comparable to the rest of the industry.
The Return On Equity of 1SWKS (6.94%) is worse than 62.96% of its industry peers.
1SWKS has a Return On Invested Capital of 6.43%. This is comparable to the rest of the industry: 1SWKS outperforms 44.44% of its industry peers.
The Average Return On Invested Capital over the past 3 years for 1SWKS is below the industry average of 15.35%.
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
Looking at the Profit Margin, with a value of 10.43%, 1SWKS is in line with its industry, outperforming 40.74% of the companies in the same industry.
1SWKS's Profit Margin has declined in the last couple of years.
1SWKS has a Operating Margin of 15.78%. This is comparable to the rest of the industry: 1SWKS outperforms 51.85% of its industry peers.
In the last couple of years the Operating Margin of 1SWKS has declined.
With a Gross Margin value of 41.18%, 1SWKS is not doing good in the industry: 61.11% of the companies in the same industry are doing better.
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
1SWKS has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for 1SWKS has been increased compared to 1 year ago.
1SWKS has less shares outstanding than it did 5 years ago.
1SWKS has a better debt/assets ratio than last year.
2.2 Solvency
1SWKS has an Altman-Z score of 5.28. This indicates that 1SWKS is financially healthy and has little risk of 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.
The Debt to FCF ratio of 1SWKS is 0.75, which is an excellent value as it means it would take 1SWKS, only 0.75 years of fcf income to pay off all of its debts.
1SWKS's Debt to FCF ratio of 0.75 is amongst the best of the industry. 1SWKS outperforms 81.48% of its industry peers.
1SWKS has a Debt/Equity ratio of 0.17. This is a healthy value indicating a solid balance between debt and equity.
1SWKS has a Debt to Equity ratio of 0.17. This is in the better half 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
1SWKS has a Current Ratio of 4.95. This indicates that 1SWKS is financially healthy and has no problem in meeting its short term obligations.
1SWKS's Current ratio of 4.95 is amongst the best of the industry. 1SWKS outperforms 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.
1SWKS has a better Quick ratio (3.84) than 92.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.95 | ||
| Quick Ratio | 3.84 |
3. Growth
3.1 Past
1SWKS shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -24.83%.
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.
Measured over the past years, 1SWKS shows a small growth in Revenue. The Revenue has been growing by 4.35% on average per year.
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
Based on estimates for the next years, 1SWKS will show a small growth in Earnings Per Share. The EPS will grow by 4.30% on average per year.
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
1SWKS is valuated reasonably with a Price/Earnings ratio of 11.97.
1SWKS's Price/Earnings ratio is rather cheap when compared to the industry. 1SWKS is cheaper than 98.15% of the companies in the same industry.
1SWKS's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.25.
Based on the Price/Forward Earnings ratio of 15.42, the valuation of 1SWKS can be described as correct.
70.37% of the companies in the same industry are more expensive than 1SWKS, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 36.80. 1SWKS is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.97 | ||
| Fwd PE | 15.42 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1SWKS is valued a bit cheaper than the industry average as 74.07% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, 1SWKS is valued cheaper than 98.15% of the companies in the same industry.
| 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 1.26. 1SWKS pays more dividend than 100.00% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.34, 1SWKS pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.89% |
5.2 History
On average, the dividend of 1SWKS grows each year by 11.77%, which is quite nice.
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%