NEW YORK (AP) - Shares of Skyworks Solutions Inc., which makes chips for cell phones and wireless networks, fell Tuesday after it cut its earnings and revenue forecasts for the current quarter, saying customer demand was declining broadly.
The shares fell 57 cents, or 11 percent, to $4.61 in morning trading.
Late Monday, the Woburn, Mass., company said it expects earnings of 15 cents to 17 cents per share for the fiscal first quarter, down from a previous forecast of 23 cents. The estimate excludes items and the cost of stock-based compensation.
Skyworks expects revenue to come in at $210 million to $215 million, down from a forecast of $240 million.
"Our 8 to 10 percent sequential revenue decline is being driven by recent customer inputs and bookings levels, which point to a broad-based slowdown in several of our end markets," said Donald Palette, Skyworks' chief financial officer, in a statement.
Several analysts cut their price targets on the stock in response.
Cody Acree at Stifel Nicolaus wrote that the company is still gaining market share with customers like Nokia Corp. and Research In Motion Ltd., maker of the BlackBerry, and maintained a "Buy" rating while cutting the target price to $12 from $15. |