Another day, another lawsuit. The law offices of Howard G. Smith have announced that a class action lawsuit has been filed on behalf of investors who purchased Skyworks Solutions, Inc. securities between July 30, 2024 to February 5, 2025.
Skyworks investors have until May 5, 2025 to file a lead plaintiff motion. So what does this have to do with Apple? Let me explain.
On February 5, 2025, Skyworks released its first quarter 2025 financial results, reporting a greater than anticipated decline in quarterly revenue and providing lower guidance for the second quarter than expected. The company attributed the results to a “competitive landscape” that had “intensified” in recent years.
On this news, Skyworks’ stock price fell $21.48, or 24.7%, to close at $65.60 per share on February 6, 2025, thereby injuring investors.
The complaint filed in this class action alleges that throughout the class period (July 30, 2024 to February 5, 2025) the defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the company’s business, operations, and prospects. Specifically, the defendants failed to disclose to investors that: (1) its long-standing relationship with Apple, its largest customer, did not guarantee that Apple would maintain its business relationship with Skyworks for its anticipated iPhone launch; (2) Defendants oversold Skyworks’ position and ability to capitalize on AI in the smartphone upgrade cycle; and (3) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
Skyworks Solutions, Inc. is an American semiconductor company headquartered in Irvine, California. The company’s products, such as low-noise and power amplifiers, connectivity switches or radio co-processors, can be used in the automotive, streaming or broadcast industry. Other products include DRM platforms for cars, RF switches as well as power management chips. A GSM power amplifier and a RF switch from Skyworks were used in the iPhone 15.
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