Skyworks Solutions Plunging On Dowgrade

Skyworks Solutions Inc. SWKS shares are plunging today, down nearly 7% on news that Sterne Agee cut its rating on the stock, moving to Neutral from Buy, saying the mobile chip market has gotten more competitive. Analyst Vijay Rakesh said in a note this morning, “The overall smartphone market is healthy and growing strong. SWKS has the dominant market share in 3G handsets, but we believe RFMD wins into Samsung S2 Galaxy handsets, LG Optimus and new reference designs with Qualcomm, all of which are traditional partners for SWKS, could create some headwinds for it.” At last check, shares of SWKS were off $1.63 to $23.29, a loss of 6.5% on nearly 7 million shares. Skyworks Solutions, Inc., together with its subsidiaries, offers analog and mixed signal semiconductors worldwide.