Despite concerns over Samsung Electronics Co Ltd SSNLF weakness and Chinese smartphone saturation, Pacific Crest analyst John Vinh remains bullish on RF suppliers Qorvo Inc (NASDAQ: QRVO) and Skyworks Solutions Inc SWKS 3.49%. Chinese demand is picking up, Apple Inc. AAPL 0.05% is solid and the shift to LTE continues pushing forward.

Earnings

Pacific Crest sees slight upside to earning and guidance for both Qorvo and Skyworks.

“We believe SWKS’ fundamentals remain the most robust, as we expect the company to benefit from its strong content position at Apple and incumbent position in an improving China smartphone demand environment,” Vinh explained. He adds that Wall Street has relatively low quarterly growth expectations for Skyworks (7.1 percent) compared to expectations for Qorvo (11.6 percent).

However, Vinh notes that Qorvo’s recent share price underperformance (-4.45 percent in Q2) and its easier year-over-year Apple comps make Qorvo a compelling buy ahead of earnings as well.

Best Fundamentals

Vinh sees…

Click here to continue reading

Want to learn more about how to profit off the stock market? Or maybe you just want to be able to look sophisticated in front of your coworkers when they ask you what you are reading on your Kindle, and you’d prefer to tell them “Oh, I’m just reading a book about stock market analysis,” rather than the usual “Oh, I’m just looking at pics of my ex-girlfriend on Facebook.” For these reasons and more, check out my book, Beating Wall Street with Common Sense. I don’t have a degree in finance; I have a degree in neuroscience. You don’t have to predict what stocks will do if you can predict what traders will do and be one step ahead of them. I made a 400% return in the stock market over five years using only basic principles of psychology and common sense. Beating Wall Street with Common Sense is now available on Amazon, and tradingcommonsense.com is always available on your local internet!