Apple supplier Qorvo sees swift reversal in stock price after warning of weakness in smartphone parts

Apple supplier Qorvo sees swift reversal in stock price after warning of weakness in smartphone parts


Qorvo logo of a US semiconductor company is seen displayed on a smartphone and pc screen.

Sopa Images | Lightrocket | Getty Images

Shares of semiconductor supplier Qorvo, which counts on Apple for an outsized amount of revenue, plunged in extended trading after the company warned of potentially flat sales to its “largest customer.”

Qorvo’s stock initially popped after the company reported better-than-expected fiscal third quarter earnings. Here’s how the company did compared with analysts’ expectations based on a survey by LSEG:

  • Earnings per share: $1.61, adjusted, vs. $1.20 expected
  • Revenue: $916 million vs. $902 million expected

Qorvo, which makes radio frequency chips used by smartphone manufacturers, offered better-than-expected guidance for the current quarter, saying it expects revenue to come in at $850 million, ahead of the $841 million forecast by analysts. The company expects earnings of $1 per share, versus the 86 cents projected.

However, the stock turned around dramatically soon after the start of the earnings calls, when CEO Bob Bruggeworth told analysts that sales to its top customer would show little if any growth in the fiscal year ending March 2026.

“For FY 2026, we’re currently forecasting revenue at our largest customer to be flat to up modestly,” Bruggeworth said.

The stock was down 3.4% after the call.

Qorvo doesn’t name the customer in its earnings report but the company said in its annual filing last year that Apple accounted for 46% of revenue in fiscal 2024. On the call, Qorvo said its largest customer represented just over half of revenue in the December quarter.

Analysts expect total revenue for fiscal 2026 of $3.85 billion, representing growth of just over 4% from a year earlier, according to LSEG.

Bruggeworth said the company also faces challenges with its Android business. Revenue there will fall by about $150 million to $200 million in fiscal 2026 and by about the same amount the following year.

“Most of that will be in China,” he said.

Earlier this month, activist investor Starboard Value revealed a 7.7% stake in Qorvo.

WATCH: Apple’s superficial problem is there’s not enough demand, says Jim Cramer

Apple's superficial problem is there's not enough demand, says Jim Cramer



Source

Lyft shares pop 20% after buyback; CEO says there are no signs of worry in the consumer
Technology

Lyft shares pop 20% after buyback; CEO says there are no signs of worry in the consumer

Lyft CEO David Risher poses for a portrait in New York City, U.S., April 16, 2025. Kylie Cooper | Reuters Lyft shares climbed 20% Friday after the ride-sharing company upped its share buyback plan and posted better-than-expected gross bookings. During an interview with CNBC’s “Squawk Box,” CEO David Risher said that Lyft isn’t seeing “anything […]

Read More
Pinterest shares rise 15% on better-than-expected guidance
Technology

Pinterest shares rise 15% on better-than-expected guidance

Bill Ready, CEO of Pinterest, rings the opening bell at the New York Stock Exchange on May 15, 2024. Brendan McDermid | Reuters Pinterest shares rose 15% in extended trading Thursday after the company reported first-quarter earnings and provided better-than-expected guidance. Here’s how the company did, compared to analysts’ consensus estimates from LSEG: Revenue: $855 […]

Read More
Celsius CEO Alex Mashinsky sentenced to 12 years in multi-billion-dollar crypto fraud case
Technology

Celsius CEO Alex Mashinsky sentenced to 12 years in multi-billion-dollar crypto fraud case

Alex Mashinsky, former chief executive officer of Celsius Network Ltd., arrives at court in New York, US, on Thursday, May 8, 2025. Yuki Iwamura | Bloomberg | Getty Images Alexander Mashinsky, the former CEO of Celsius Network, was sentenced to 12 years in prison on Thursday after pleading guilty to two counts of fraud, a […]

Read More