SkyWater Technology (NASDAQ:SKYT) Announces Quarterly Earnings Results

SkyWater Technology (NASDAQ:SKYT) released its earnings results on Friday. The company reported ($0.25) earnings per share for the quarter, missing the consensus estimate of ($0.08) by ($0.17), FiscalAI reports. The firm had revenue of $160.69 million during the quarter, compared to analyst estimates of $146.31 million. SkyWater Technology had a net margin of 26.90% and a negative return on equity of 6.89%.

Here are the key takeaways from SkyWater Technology’s conference call:

• Stockholders approved the agreement and plan of merger involving IonQ and SkyWater, with the proposal receiving the affirmative vote of at least a majority of all shares outstanding.
• The company said the merger-adoption proposal was the only material item requiring a vote, while the separate proposal to adjourn the meeting became unnecessary after the merger vote passed.
• The special meeting had a quorum, with approximately 67% of shares entitled to vote represented in person or by proxy.
• Management said the final voting results will be reported in a Form 8-K filing with the SEC in the next few days.

SkyWater Technology Stock Up 2.0%

Shares of SkyWater Technology stock traded up $0.66 on Friday, reaching $33.72. 710,341 shares of the company were exchanged, compared to its average volume of 1,789,720. SkyWater Technology has a 1-year low of $7.46 and a 1-year high of $36.27. The company has a market cap of $1.66 billion, a P/E ratio of 13.88 and a beta of 3.30. The company has a debt-to-equity ratio of 0.17, a current ratio of 0.60 and a quick ratio of 0.52. The stock’s 50 day moving average price is $29.80 and its 200-day moving average price is $25.06.

Insider Activity at SkyWater Technology

In other news, CFO Steve Manko sold 91,109 shares of the business’s stock in a transaction dated Monday, March 16th. The stock was sold at an average price of $27.84, for a total transaction of $2,536,474.56. Following the completion of the transaction, the chief financial officer directly owned 215,166 shares of the company’s stock, valued at approximately $5,990,221.44. The trade was a 29.75% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Corporate insiders own 37.85% of the company’s stock.

Hedge Funds Weigh In On SkyWater Technology

Institutional investors and hedge funds have recently made changes to their positions in the stock. Federated Hermes Inc. acquired a new position in shares of SkyWater Technology during the second quarter worth about $25,000. Quarry LP acquired a new position in shares of SkyWater Technology during the fourth quarter worth about $25,000. BNP Paribas Financial Markets grew its position in shares of SkyWater Technology by 56.4% during the second quarter. BNP Paribas Financial Markets now owns 2,749 shares of the company’s stock worth $27,000 after buying an additional 991 shares in the last quarter. State of Wyoming acquired a new position in SkyWater Technology in the fourth quarter valued at approximately $35,000. Finally, Russell Investments Group Ltd. boosted its holdings in SkyWater Technology by 814.1% in the third quarter. Russell Investments Group Ltd. now owns 2,468 shares of the company’s stock valued at $46,000 after purchasing an additional 2,198 shares in the last quarter. 70.00% of the stock is owned by institutional investors and hedge funds.

Analysts Set New Price Targets

Several equities analysts have weighed in on SKYT shares. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of SkyWater Technology in a research report on Friday, March 27th. Zacks Research raised SkyWater Technology from a “strong sell” rating to a “hold” rating in a research report on Monday, April 27th. Stifel Nicolaus set a $35.00 target price on SkyWater Technology in a research report on Monday, January 26th. Needham & Company LLC downgraded SkyWater Technology from a “buy” rating to a “hold” rating in a research report on Monday, January 26th. Finally, TD Cowen downgraded SkyWater Technology from a “buy” rating to a “hold” rating and lifted their target price for the company from $24.00 to $35.00 in a research report on Tuesday, January 27th. One equities research analyst has rated the stock with a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the stock has a consensus rating of “Hold” and a consensus price target of $32.00.

About SkyWater Technology

SkyWater Technology Solutions, Inc is a U.S.-based specialty semiconductor foundry headquartered in Bloomington, Minnesota. The company focuses on the development and manufacture of high-reliability integrated circuits using advanced processes on 200-millimeter wafers.

SkyWater’s service offerings span analog/mixed-signal, radio frequency (RF), micro-electromechanical systems (MEMS) and advanced packaging technologies. Its turnkey model includes multi-project wafer (MPW) runs, volume production, design enablement support and assembly and test services, enabling customers to take concepts from prototype to market.

Serving aerospace, defense, automotive, industrial, medical and communications sectors, SkyWater supports applications that demand rigorous performance, quality and traceability.