Gainey McKenna & Egleston Announces A Class Action Lawsuit Has Been Filed Against Skyworks Solutions, Inc. (SWKS)

/EIN News/ -- NEW YORK, March 05, 2025 (GLOBE NEWSWIRE) -- Gainey McKenna & Egleston announces that a securities class action lawsuit has been filed in the United States District Court for the Central District of California on behalf of all persons or entities who purchased the securities of Skyworks Solutions, Inc. (“Skyworks” or the “Company”) (NASDAQ: SWKS) between July 30, 2024 and February 5, 2025, both dates inclusive (the “Class Period”).

The Complaint alleges that Defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose material adverse facts about the Company’s business, operations, and prospects. The Complaint alleges that Defendants created the false impression that they possessed reliable information pertaining to the Company’s projected revenue outlook and anticipated growth while also minimizing risk from smartphone upgrade cycles and macroeconomic fluctuations. The Complaint further alleges that in truth, Skyworks’ optimistic reports of growth, earnings potential, and anticipated margins fell short of reality as they relied far too heavily on the Company’s partnership with its largest customer and launch of that customer’s newest phone. The Complaint alleges that Skyworks was simply not equipped to execute on their perceived growth potential.

According to the Complaint, on February 5, 2025, after market close, Skyworks issued a press release announcing the results of its first quarter fiscal year 2025, which included guidance for the second quarter 2025. The Complaint further alleges that the aforementioned press releases and statements made by the Individual Defendants are in direct contrast to statements they made during the July 30 and November 12, 2024 earnings and shareholder calls. The Complaint alleges that on those calls, Defendants continually praised their alleged growth, foreseeing growth in the Company’s mobile business segment and touting an increase in technology investments and diversification, such as Skyworks’ position in AI in the smartphone cycle, while continually minimizing the risks associated with Skyworks’ dependence on its partnerships with customers. The Complaint alleges that in particular, Skyworks failed to provide adequate warnings to investors regarding the Company’s dependence on its largest customer, including the impact on the Company when this customer did not launch its newest phone with Skyworks, as well as those associated with seasonality and the potential impact of the macroeconomic environment on the Company’s profitability for years to come.

The Complaint alleges that investors and analysts reacted immediately to Skyworks’ revelation. The Complaint further alleges that the price of Skyworks’ common stock declined dramatically from a closing market price of $87.08 per share on February 5, 2025, Skyworks’ stock price fell to $65.60 per share on February 6, 2025, a decline of over 24% in the span of just a single day.

Investors who purchased or otherwise acquired shares of Skyworks should contact the Firm prior to the May 5, 2025 lead plaintiff motion deadline. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation.  If you wish to discuss your rights or interests regarding this class action, please contact Thomas J. McKenna, Esq. or Gregory M. Egleston, Esq. of Gainey McKenna & Egleston at (212) 983-1300, or via e-mail at tjmckenna@gme-law.com or gegleston@gme-law.com.

Please visit our website at http://www.gme-law.com for more information about the firm.