Skyworks Solutions

Methodology

Skyworks' RF chips for smartphones create earnings sensitivity to handset cycles and Apple concentration. Diversification into automotive and IoT adds stability. The calculation works reasonably well when normalizing for smartphone unit cycles and focusing on content growth plus diversification progress beyond mobile device dependence.

Methodology

Skyworks typically trades at moderate PEG ratios reflecting smartphone market maturity offset by RF content growth and diversification efforts. The metric should account for Apple exposure and 5G upgrade cycle positioning. Compare to analog semiconductor peers while considering Skyworks' customer concentration risks and broad markets opportunities.

Methodology

Skyworks offers a meaningful dividend with management committed to capital returns alongside R&D investments. The dividend adds value supplemented by share buybacks. For analog chip companies, total capital returns through dividends and repurchases matter more than yield alone given cyclical cash generation.