Stock Update (NASDAQ:SWKS): Skyworks Solutions Inc Announces Termination of Merger Agreement with PMC-Sierra

Skyworks Solutions Inc (NASDAQ:SWKS), an innovator of high performance analog semiconductors connecting people, places and things, today announced that it decided not to modify its amended and restated merger agreement with PMC-Sierra, Inc. (PMC®) (NASDAQ: PMCS), entered into on October 29, 2015. Today PMC terminated the amended and restated merger agreement and, as a result, Skyworks is entitled to an $88.5 million termination fee from PMC.

Skyworks maintains a highly disciplined approach to the assessment of potential acquisition candidates, and at an increased valuation, PMC no longer meets Skyworks’ financial criteria.

Skyworks’ upwardly revised mid-term target operating model remains unchanged from the annualized non-GAAP earnings per share of $8.00 it provided on its Q4 FY2015 earnings conference call on November 5, 2015. (Original Source)

Shares of Skyworks Solutions closed yesterday at $77.72, down $0.80 or -1.1%. SWKS has a 1-year high of $112.88 and a 1-year low of $64.03. The stock’s 50-day moving average is $78.89 and its 200-day moving average is $91.30.

On the ratings front, Skyworks has been the subject of a number of recent research reports. In a report issued on November 6, Canaccord Genuity analyst Michael Walkley reiterated a Buy rating on SWKS, with a price target of $132, which represents a potential upside of 69.8% from where the stock is currently trading. Separately, on November 4, Brean Murray Carret’s Mike Burton reiterated a Buy rating on the stock and has a price target of $100.

According to, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Michael Walkley and Mike Burton have a total average return of 16.1% and 11.4% respectively. Walkley has a success rate of 61.6% and is ranked #17 out of 3636 analysts, while Burton has a success rate of 56.4% and is ranked #282.

Overall, one research analyst has assigned a Hold rating and 7 research analysts have given a Buy rating to the stock. When considering if perhaps the stock is under or overvalued, the average price target is $115.80 which is 49.0% above where the stock closed yesterday.

Skyworks Solutions Inc, together with its consolidated subsidiaries is an innovator of high reliability analog and mixed signal semiconductors.


Stay Ahead of Everyone Else

Get The Latest Stock News Alerts