"Huawei accounted for 13% and 8% of Qorvo's F'19 and F'18 revenue, respectively," said analyst T. Michael Walkley. "We believe our estimate reductions will likely prove conservative, as we believe the ban will likely get resolved in the coming months."
"Huawei is the third largest customer for Skyworks and accounted for 10% of the company's F'17 revenue but below 10% for F'18, and we believe Huawei could represent roughly 10% of Skyworks revenue going forward should the ban get lifted due to improving 5G infrastructure demand," Walkley said.cut earnings guidance.
"We think the negative revenue impact from lost Huawei sales will likely be higher in 1QFY20 than in 4QFY19 due to there being a full quarter of ban in place," said MKM analyst Michael Genovese. He lowered his price target on the stock to $60 from $72.Keysight Technologies. "What's bad for the U.S. tech Industry isn't a positive for KEYS. China-related uncertainty may be an overhang on the shares in the near term," said Baird analyst Richard Eastman who went from outperform to neutral on the stock.Canaccord- Qorvo, Buy rating, lowered price target to $76 from $87
"Based on the impact from the Commerce Department ban, we are reducing both our Mobile product and IDP estimates with Q1/F'20 revenue declining from $790M to $706M and non-GAAP EPS from $1.29 to $1.01, reflecting the inability to ship to Huawei. While we believe this ban could potentially resolve as part of a broader trade deal in weeks to even months, we have also reduced our F2020 and F2021 estimates given the uncertainty and sharp decline in Qorvo's share price.