Needham raises Qorvo stock price target to $104 on Apple content gains

Published 30/07/2025, 13:18
Needham raises Qorvo stock price target to $104 on Apple content gains

Investing.com - Needham has raised its price target on Qorvo Inc (NASDAQ:QRVO) to $104.00 from $90.00 while maintaining a Buy rating on the stock. Currently trading at $84.67, InvestingPro analysis indicates the stock appears undervalued based on its Fair Value model.

The research firm cited Qorvo’s strong quarterly performance and raised guidance, attributing the results largely to content gains in Apple (NASDAQ:AAPL) products. Needham noted that internal modem plans appear to be accelerating based on the company’s financial modeling. The company’s solid financial health is reflected in its perfect Piotroski Score of 9, with a healthy current ratio of 2.77x and moderate debt levels.

Qorvo’s High Performance Analog (HPA) segment continued its trend of outperformance, with defense spending remaining strong. The company’s defense opportunity pipeline has increased by $2 billion to more than $7 billion, according to Needham’s analysis.

The Connectivity and Sensors Group (CSG) experienced a significant automotive-related ultra-wideband (UWB) push-out, which Needham estimates will lower the segment’s fiscal year 2026 revenue by approximately $40 million.

Needham’s new $104 price target is based on a 15.5x multiple of Qorvo’s projected fiscal year 2027 earnings per share, with the firm noting that gross margins are improving due to better execution, including favorable product mix and cost reduction initiatives. With a current gross profit margin of 42.04% and strong YTD return of 21.08%, InvestingPro has identified 12 additional investment tips for this stock, available to subscribers.

In other recent news, Qorvo Inc. has reported a strong performance for the first quarter of its fiscal year 2026, significantly surpassing earnings expectations. The company achieved earnings per share (EPS) of $0.92, which is 46.03% above the forecasted $0.63. Additionally, Qorvo’s revenue reached $819 million, exceeding projections of $776.3 million. These results indicate a positive start to the fiscal year for Qorvo. Despite the positive earnings announcement, the stock movement is not discussed further. Investors may find these developments noteworthy as they reflect the company’s current financial health. No mergers or acquisitions were reported in the recent updates. There were also no analyst upgrades or downgrades mentioned at this time.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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