Qorvo (NASDAQ:QRVO) Releases Quarterly Earnings Results, Beats Expectations By $0.24 EPS

Qorvo (NASDAQ:QRVO) released its earnings results on Tuesday. The semiconductor company reported $2.17 EPS for the quarter, topping analysts’ consensus estimates of $1.93 by $0.24, FiscalAI reports. The business had revenue of $993.00 million during the quarter, compared to analysts’ expectations of $984.10 million. Qorvo had a net margin of 5.95% and a return on equity of 13.30%. The company’s quarterly revenue was up 8.4% on a year-over-year basis. During the same quarter in the previous year, the company earned $1.61 earnings per share.

Here are the key takeaways from Qorvo’s conference call:

• Qorvo expects a portfolio-driven improvement in profitability, targeting full-year FY2027 gross margins above 50% and EPS approaching $7, driven by a mix shift toward higher-margin HPA businesses and exits of lower-margin lines.
• Management will intentionally reduce exposure to low-margin mass-tier Android, forecasting approximately a $300 million revenue decline in fiscal 2027 and a March-quarter Android drop larger than typical seasonality.
• High-performance analog (HPA) is a key growth driver — Qorvo expects defense & aerospace (D&A) sales of roughly $500 million in FY2027, supported by NDAA programs and strong demand for PMICs, AESA, and infrastructure amplifiers.
• Operational and balance-sheet improvements — early Costa Rica closure, SAW production transfer to Texas, MEMS divestiture, inventory down to $530M, Q3 free cash flow of $237M, and ~$1.3B cash — are intended to reduce capital intensity and support margin expansion.

Qorvo Stock Up 0.4%

Shares of QRVO traded up $0.31 during midday trading on Tuesday, reaching $82.81. The stock had a trading volume of 2,104,193 shares, compared to its average volume of 1,189,551. The company has a market cap of $7.65 billion, a price-to-earnings ratio of 35.85, a PEG ratio of 1.51 and a beta of 1.36. The company’s fifty day simple moving average is $84.64 and its two-hundred day simple moving average is $87.81. Qorvo has a 1-year low of $49.46 and a 1-year high of $106.30. The company has a debt-to-equity ratio of 0.44, a current ratio of 2.95 and a quick ratio of 2.20.

Qorvo News Summary

Here are the key news stories impacting Qorvo this week:

• Positive Sentiment: Qorvo beat consensus on EPS — reported $2.17 per share, well above recent estimates and last year’s $1.61, showing operational leverage and improved profitability. Qorvo (QRVO) Surpasses Q3 Earnings and Revenue Estimates
• Positive Sentiment: Revenue slightly exceeded expectations at about $993M versus consensus near $984M, indicating demand held up in the quarter across key product lines. Qorvo® Announces Fiscal 2026 Third-Quarter Financial Results
• Neutral Sentiment: Analyst notes and metric breakdowns are being published to parse margins, ROE and segment trends — useful for investors deciding if the beat is sustainable, but not immediately market-moving on their own. Qorvo (QRVO) Reports Q3 Earnings: What Key Metrics Have to Say
• Neutral Sentiment: There’s renewed commentary on valuation and longer-term thesis (e.g., “undervalued semiconductor” articles and earnings outlook pieces) that frame longer-term investor views but don’t drive the intraday move. Is Qorvo, Inc. (QRVO) the Most Undervalued Semiconductor Stock to Buy Now?
• Negative Sentiment: Management’s forward commentary/guidance disappointed investors — the outlook was viewed as conservative or weaker than hoped, which triggered selling pressure after the print. Qorvo Stock Tumbles On Q3 Earnings As Outlook Disappoints
• Negative Sentiment: Despite the quarter beat, margins and net-income conversion remain areas to watch (net margin around mid-single digits in the release), so investors focused on profitability trends may stay cautious until guidance clarity improves. Press Release / Q3 Financials

Analyst Ratings Changes

Several analysts recently commented on QRVO shares. Mizuho set a $85.00 price target on Qorvo in a research report on Friday, January 9th. Morgan Stanley set a $110.00 price target on shares of Qorvo and gave the company an “equal weight” rating in a research report on Wednesday, October 29th. Citigroup raised shares of Qorvo from a “sell” rating to a “neutral” rating and upped their target price for the company from $70.00 to $105.00 in a research report on Tuesday, October 28th. JPMorgan Chase & Co. upgraded Qorvo from an “underweight” rating to a “neutral” rating and upped their price target for the stock from $92.00 to $105.00 in a research note on Tuesday, November 4th. Finally, Cfra Research raised shares of Qorvo to a “hold” rating in a research report on Tuesday, October 28th. Three analysts have rated the stock with a Buy rating, fifteen have assigned a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, Qorvo has a consensus rating of “Hold” and a consensus price target of $99.73.

Institutional Trading of Qorvo

Hedge funds and other institutional investors have recently bought and sold shares of the business. State Street Corp boosted its position in shares of Qorvo by 5.0% during the 2nd quarter. State Street Corp now owns 3,704,113 shares of the semiconductor company’s stock worth $314,516,000 after acquiring an additional 175,031 shares in the last quarter. Bank of America Corp DE lifted its stake in Qorvo by 20.2% during the second quarter. Bank of America Corp DE now owns 1,518,964 shares of the semiconductor company’s stock worth $128,975,000 after purchasing an additional 255,068 shares during the last quarter. Woodline Partners LP boosted its holdings in Qorvo by 36.3% in the third quarter. Woodline Partners LP now owns 1,217,407 shares of the semiconductor company’s stock valued at $110,881,000 after purchasing an additional 324,466 shares in the last quarter. Rafferty Asset Management LLC increased its stake in Qorvo by 63.6% in the second quarter. Rafferty Asset Management LLC now owns 1,214,482 shares of the semiconductor company’s stock valued at $103,122,000 after purchasing an additional 472,211 shares during the last quarter. Finally, Marshall Wace LLP increased its stake in Qorvo by 16,066.5% in the third quarter. Marshall Wace LLP now owns 814,630 shares of the semiconductor company’s stock valued at $74,197,000 after purchasing an additional 809,591 shares during the last quarter. 88.57% of the stock is currently owned by institutional investors and hedge funds.

About Qorvo

Qorvo, Inc is a leading provider of advanced radio-frequency (RF), analog and mixed-signal semiconductor solutions. The company designs, develops and manufactures a broad portfolio of components and modules that enable wireless and wired connectivity across mobile devices, network infrastructure, defense systems and Internet of Things (IoT) applications.

Qorvo’s product offerings include RF filters, power amplifiers, switches, integrated front-end modules and other custom mixed-signal devices.