Qorvo Launches Smart Home Connectivity Solution: Will the Stock Gain?

Qorvo, Inc. QRVO recently introduced QPG6200L, an advanced system-on-chip solution, designed to deliver uninterrupted and consistent connectivity for smart home devices. The company has made available the sample and development kits for selected clients, with full-scale production expected to commence early next year.

In today's rapidly growing and ever-evolving smart home environment, customers often tend to install devices that follow distinct wireless protocols such as Matter or Zigbee. Hence, there is a growing requirement of a flexible and interoperable system that enables these devices using different wireless standards to seamlessly communicate and function with each other.

Qorvo's latest product QPG6200L, powered by ConcurrentConnect technology, efficiently addresses these requirements. It ensures smooth compatibility across multiple wireless standards by offering greater radio frequency performance and reliability for a vast array of IoT devices. One of the standout features of the product is its energy efficiency, making it suitable for low-power applications such as battery-operated sensors and energy harvesting devices.

The solution comes with a built-in secure element and PSA Certified Level 2, indicating it adheres to stringent security standards and is well equipped to mitigate common software attacks.

Will This Product Launch Drive QRVO's Share Performance?

QRVO's research and innovation strategy is aligned with broader industry trends, ensuring the interoperability and sustainability of IoT devices. The global smart home device market is growing at a rapid pace and sales are expected to reach around 1.2 billion units by 2028. The launch of energy-efficient, secure and versatile chips like QPG6200L will strengthen its portfolio and boost prospects in this emerging smart home market.

QRVO's Stock Price Movement

The stock has gained 6% over the past year against the industry's decline of 10%.

Image Source: Zacks Investment Research

QRVO's Zacks Rank & Stocks to Consider

Qorvo currently carries a Zacks Rank #3 (Hold).

Arista Networks, Inc. ANET carries a Zacks Rank #2 (Buy) at present. In the last reported quarter, it delivered an earnings surprise of 8.25%.

ANET is engaged in providing cloud networking solutions for data centers and cloud computing environments. The company offers 10/25/40/50/100 Gigabit Ethernet switches and routers optimized for next-generation data center networks.

Ubiquiti Inc. UI sports a Zacks Rank #1 at present. The company offers a comprehensive portfolio of networking products and solutions for service providers and enterprises.

UI's excellent global business model, which is flexible and adaptable to evolving changes in markets, helps it to beat challenges and maximize growth. The company's effective management of its strong global network of more than 100 distributors and master resellers improved its visibility for future demand and inventory management techniques.

Zillow Group, Inc. ZG, carries a Zacks Rank #2 at present. In the last reported quarter, it delivered an earnings surprise of 25.81%.

ZG delivered an earnings surprise of 37.41%, on average, in the trailing four quarters. The company is witnessing solid momentum in rental revenues, driven by growth in both multi and single-family listings, which is a positive factor.

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