Qorvo (QRVO) Posts Bullish Q3 FY 2026 Results, Tempered Guidance for Q4

Core Viewpoint - Qorvo Inc. is considered one of the most undervalued stocks, with a recommendation to buy and hold for five years, despite recent mixed financial results and tempered guidance for the upcoming quarter [1]. Financial Performance - Qorvo reported Q3 FY 2026 results with revenue of $993.0 million, reflecting an 8.4% year-over-year increase but a 6.2% decrease sequentially, slightly exceeding consensus expectations [1]. - The adjusted EPS for the quarter was $2.17, surpassing the Street's estimate of $1.86 [1]. Future Guidance - The company provided revenue guidance for Q4 FY 2026, projecting between $775.0 million and $825.0 million, which is below analysts' expectations of $903.8 million [2]. - Expected per-share profit for Q4 is between $1.05 and $1.35, just below the Wall Street projection of $1.37 [2]. Customer Dependency - Qorvo supplies radio-frequency chips to Apple, its largest customer, which accounts for approximately 50% of the company's total revenue [3]. - The lowered revenue expectations are attributed to a seasonal decline in demand from Apple, as noted by Qorvo's CEO Bob Bruggeworth [3]. Strategic Developments - The company is currently involved in a $22 billion cash-and-stock transaction to merge with Skyworks Solutions Inc., a deal announced in October 2025 [3]. Business Focus - Qorvo develops and sells technologies and products for various markets, including wireless, wired, and power sectors, serving industries such as defense, aerospace, and 5G/6G infrastructure [4].