Article Summary - The article discusses the challenges of predicting future results and emphasizes the importance of experience and valuable news in making reasonable estimates for Cirrus Logic's December quarter performance [1] - The author shares their extensive investment experience, including surviving major market crashes, and highlights their use of trading systems developed with TradeStation [1] - The author's professional background includes several decades as a process control engineer and holding a JD from an eastern law school [1] Analyst's Position - The analyst holds a beneficial long position in Cirrus Logic (CRUS) through stock ownership, options, or other derivatives [2] - The article represents the analyst's personal opinions and is not influenced by compensation or business relationships with the mentioned company [2] Seeking Alpha's Disclosure - Seeking Alpha clarifies that past performance does not guarantee future results and does not provide investment recommendations or advice [3] - The views expressed in the article may not reflect those of Seeking Alpha as a whole, and the platform is not a licensed securities dealer, broker, or investment adviser [3] - Seeking Alpha's analysts include both professional and individual investors who may not be licensed or certified by any regulatory body [3]

Cirrus Logic Inc. (CRUS) recently teamed up with Intel Corporation (INTC) to unveil a reference design based on the new Intel Core Ultra processors (series 2), formerly codenamed Arrow Lake. The collaboration emphasizes CRUS’ commitment to innovation and delivering premium audio experiences for PC users across mainstream, premium and high-end market segments.Investors responded positively to this partnership, with CRUS’ shares going up 2.7% and closing the session at $105.2 on Jan. 7.The new Intel reference ...

It has been about a month since the last earnings report for Cirrus Logic (CRUS) . Shares have added about 2.7% in that time frame, underperforming the S&P 500.Will the recent positive trend continue leading up to its next earnings release, or is Cirrus Logic due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers. Cirrus Logic Q2 Earnings & Revenues BeatCir ...

Cirrus Logic (NASDAQ: CRUS ) reported record revenue for September followed by a flat quarter-over-quarter and 10% lower year-over-year December guidance. Our title wasn't just concerning Cirrus, but rather it considers the strangeness of two other heavily biased Apple (I have been an investor for several decades enduring the 87 crash, 2000 crash, and 08 crash. I do use trading systems developed with TradeStation. I have enjoyed the rewards from both buy and hold and trading. My professional experiences inc ...

Cirrus Logic, Inc. (CRUS) stock has declined 19.3% in the past month, underperforming its sub-industry and the Zacks Computer and Technology sector's decline of 7.8% and 0.9%, respectively. The S&P 500 Index has returned 0.6% in the same period. The stock has taken a beating (down 8.7%) after reporting second-quarter fiscal 2025 results on Nov. 4. One-Month Price Performance Chart Image Source: Zacks Investment Research Recent investor concerns are mainly due to lower-than-expected guidance for the current ...

Have you evaluated the performance of Cirrus Logic's (CRUS) international operations for the quarter ending September 2024? Given the extensive global presence of this chipmaker, analyzing the patterns in international revenues is crucial for understanding its financial strength and potential for growth.In the current global economy, which is more interconnected than ever, a company's success in penetrating international markets is crucial for its financial health and growth journey. Investors must understa ...

Company Performance - Cirrus Logic's stock has declined nearly 30% since hitting a 52-week high on Aug 29, with shares falling 7% in extended trading after the release of its fiscal 2025 Q2 results [2] - The company reported fiscal Q2 revenue of $542 million, up 13% year-over-year and 45% sequentially, exceeding its guidance midpoint of $520 million [4] - Earnings per share increased 25% year-over-year to $2 25, driven by a 90 basis point improvement in non-GAAP gross margin to 52 2% [8] - However, the company expects fiscal Q3 revenue to decline nearly 18% year-over-year to a midpoint of $510 million, partly due to one less week of revenue compared to the previous fiscal year [9] Customer Concentration - Apple accounted for 90% of Cirrus Logic's revenue last quarter, with the company benefiting from higher unit volumes associated with new iPhone launches [5] - Cirrus is reportedly supplying both audio and power management chips for the latest iPhone generation, indicating diversification beyond audio chips into other niches [6][7] - Despite Apple's iPhone shipments increasing 3 5% in Q3 2024 to 56 million units, Cirrus reported a much stronger year-over-year revenue increase, suggesting higher revenue per iPhone unit [6][7] Industry Trends - Apple's iPhone 16 Pro models have shorter shipping times this year, with the Pro model at 14 days (down from 24 days) and the Pro Max at 19 days (down from 32 days) [11] - Pre-orders for the iPhone 16 Pro and Pro Max models were down 27% and 16% respectively this year, potentially leading Apple to pull back production plans for the holiday quarter [12] - The slow start for the latest iPhone models may be due to the gradual rollout of Apple's AI features, with several features only becoming available next year [14] Future Outlook - The generative AI smartphone market is expected to grow at an annual rate of 78% through 2028, reaching 912 million units by the end of the forecast period [15] - Apple, as the world's second-largest smartphone company with a 17 7% market share, is well-positioned to benefit from the growth of the generative AI smartphone market [6][16] - Cirrus Logic's close ties to Apple and its presence in the growing generative AI smartphone market could drive future growth, with the stock currently trading at an attractive 20 times earnings [16][17]

A downtrend has been apparent in Cirrus Logic (CRUS) lately with too much selling pressure. The stock has declined 13.3% over the past four weeks. However, given the fact that it is now in oversold territory and Wall Street analysts are majorly in agreement about the company's ability to report better earnings than they predicted earlier, the stock could be due for a turnaround.Here is How to Spot Oversold StocksWe use Relative Strength Index (RSI), one of the most commonly used technical indicators, for sp ...

Financial Data and Key Metrics Changes - Cirrus Logic reported record revenue of $541.9 million for Q2 FY '25, which is near the top end of the guidance range, reflecting a 45% sequential increase and a 13% year-over-year increase [9][18][19] - Non-GAAP gross profit was $282.9 million with a gross margin of 52.2%, showing a sequential increase of 160 basis points and a year-over-year increase of 90 basis points [20][22] - Non-GAAP net income reached $125.3 million, resulting in a record earnings per share of $2.25 [22] Business Line Data and Key Metrics Changes - The flagship smartphone audio business saw significant advancements with the introduction of a next-generation custom boosted amplifier and a 22 nanometer smart codec, contributing to improved power efficiency and audio quality [11][12] - The camera controller product line continued to gain traction, with increased content value since its introduction in 2020, benefiting from favorable smartphone market conditions [13] - The laptop business is in early stages but has secured its first high-volume design win with a new PC codec, indicating growth potential in this segment [15][16] Market Data and Key Metrics Changes - The overall smartphone market is experiencing a favorable mix that includes more devices featuring Cirrus Logic's camera controllers, enhancing revenue opportunities [13] - The company anticipates growth in the laptop market, with multiple Tier 1 customers integrating Cirrus Logic components into their devices [15][16] Company Strategy and Development Direction - The company's long-term strategy focuses on maintaining leadership in smartphone audio, expanding high-performance mixed signal functionality, and penetrating new markets [10] - Investments in R&D for advanced power sensing and battery technologies are expected to diversify product offerings and expand market presence [14] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the complexities in comparing December quarter results due to an extra week of production in the September quarter and a shift in fiscal year-end timing [35][36] - The company remains optimistic about future growth, emphasizing the importance of being positioned for growth even if smartphone unit sales remain flat [59][60] Other Important Information - The company ended the quarter with $706.6 million in cash and investments, with no debt outstanding and $300 million undrawn on its revolver [23] - Cirrus Logic plans to continue returning capital to shareholders through stock repurchases, with $224.1 million remaining in its repurchase authorization [27] Q&A Session Summary Question: December quarter expectations and content delivery - Management explained that the December quarter would face challenges due to an extra week of production in September and a comparison to a 14-week December quarter last year, impacting year-over-year comparisons [35][36] Question: Wafer obligations and inventory management - Management confirmed that they expect to build inventory into early FY '26 to fulfill wafer obligations, indicating a long-term selling strategy [40] Question: Impact of largest customer updates on supply chain - Management noted that the transition period is influenced more by the September quarter's timing than by customer updates, with ongoing excitement about new product features [43] Question: Growth opportunities in smartphone and laptop markets - Management highlighted that both content and unit growth are important, with significant opportunities for incremental additions and new sockets in the smartphone market [59][60] Question: Tracking of PC-focused products and revenue expectations - Management indicated that they are on track with low tens of millions in revenue from PC products, with expectations for a meaningful step up in FY '26 [56]

Cirrus Logic (CRUS) came out with quarterly earnings of $2.25 per share, beating the Zacks Consensus Estimate of $2.03 per share. This compares to earnings of $1.80 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 10.84%. A quarter ago, it was expected that this chipmaker would post earnings of $0.62 per share when it actually produced earnings of $1.12, delivering a surprise of 80.65%.Over the last four quarters, the company h ...