Skyworks Solutions (AWM) AI Stock Analysis

Company Guidance

Skyworks expects to close the Qorvo transaction “within the calendar year” and prepare to close “as early as within this fiscal year,” raising “approximately $2 billion” of debt financing, with anticipated synergies of “$500 million or more” and a new “$2 billion” stock repurchase program expiring in January of 2029; for the fourth quarter of fiscal 2026, it expects revenue in the range of $1.01 billion-$1.06 billion, mobile to grow sequentially in the high teens range, broad markets to grow approximately 5% year-over-year and represent approximately 39% of total sales, gross margin in the range of 44%-45%, operating expenses of $235 million-$245 million, approximately $6 million in other expense including approximately $5 million of incremental net interest expense, an effective tax rate of approximately 10%, a diluted share count of 152 million shares, and expected non-GAAP diluted earnings per share of $1.27 at the midpoint revenue outlook of $1,035,000,000; AI data center is tracking ahead of the 50% annual growth outlined last quarter, and the company is sticking with its 50%-55% combined company longer term.