Piper Sandler downgrades Skyworks to Neutral on valuation, large customer risks

As previously reported, Piper Sandler downgraded Skyworks to Neutral from Overweight with a $90 price target given valuation and large customer risks. The firm believes handset shipments may continue to be under pressure in the first half of 2024. Piper’s base case is that it will take 1-plus years before Skyworks gets back to its high watermark of $3.5B in revenues for the integrated mobile business, which it reached in 2022. The firm sees sluggish growth at the large North American customer in the first half of 2024.